Frequently Asked Questions About
Commercial General Liability Insurance
How much does commercial insurance cost?
Costs can vary widely based on industry and are also determined by zip code and often payroll and/or gross sales. Request a free quote to get an exact number.
What kind of business insurance do I need?
Most business owners need General Liability Insurance at the very least. If you have any non-owner employees, you will need workers compensation insurance too.
What is a Certificate of Insurance?
A Certificate of Insurance is proof of coverage. It lists the type and amount of liability coverage you have and other policy information when a third party requests it.
Is business insurance tax deductible?
Yes. you can deduct the cost of commercial insurance premiums. The IRS considers insurance a cost of doing business as long it benefits the business & serves a business purpose.
IT Consultant Insurance Texas
IT Consultant Insurance Texas. IT consultants, computer consultants, and other similar professionals design and plan computer systems, software, and other types of technology, but they often fail to plan for the potential liabilities and risks that they face in their professional lives. Oftentimes, it is the job of these professionals to recommend or purchase items on a client's behalf, install systems, or even train the end users of computer systems. Each of these activities can leave the IT consultant open to liability and financial stress. First, you must know what your risks are - as not all of your risks as a information technology consultant can be covered simply by buying a basic IT consultant insurance Texas policy.
IT consultant insurance Texas protects your shop from lawsuits with rates as low as $27/mo. Get a fast quote and your certificate of insurance now.
Why You Need TX IT Consultant Insurance
Commonly, computer consultants and IT consultants perform a variety of tasks, including:
- Design consulting
- Computer systems integration tasks
- Integration and design of information management systems
- Local area network system implementation
- Design and integration of office automation systems
These consultants face a plethora of different business risks, just as any business faces. Consultants need IT consultant insurance Texas to reduce the risks and protect themselves and their businesses from potential fallout should a problem arise with a client.
Common Perils for the IT Consultant
IT companies and computer consultants put themselves at risk in a variety of ways. They are subject to:
- Design consulting
- Oversights, errors, mistakes and other negligent acts that lead to network downtime and unhappy clients
- Breakdown of communication and misunderstandings with clientele
- Accidents and injuries in the workplace
- Vandalism and theft of property
- Property damage, fires, and weather events
Insurance for IT Consultants
IT consultant insurance protects the business from the exposed risks that crop up in the everyday operation of your business.
One type of insurance that IT consultants should consider is commercial general liability insurance. This type of insurance offers broad protection for the business from any claims of damage to from third parties, including both property damage and bodily injury claims. For example, if an employee causes damage to a customer's computer system while providing services at a client's place of business, he subjects himself to claims of damages that result. In this instance, the commercial general liability policy kicks in and pays. Similarly, if a delivery person, vendor, or a client falls on the premises, then your policy will pay for any related costs and medical expenses if a claim results from the event.
Your perils as an IT consultant are not limited to these instances; there are many more. Even when a claim is unsubstantiated against you, you still need to provide a defense in court when a claim is lodged. Court costs, attorney fees, and any judgments against you can devastate your business' finances. With a policy in place, the computer consultant can rely on his insurance policy to protect them and pay any expenses related to any lawsuits that are filed, up to your policy limits. This type of IT consultant insurance Texas policy can also provide a buffer of protection against any copyright infringement claims, libel claims, slander accusations and similar occurrences.
Insurance is important whether you lease your business space, own the building, or work from home. Protection is vital, since it protects the business not only from liable claims, but also for damage to your building and the contents of the building, including any office equipment, fixtures, supplies, and computers. Whether the damage results from weather, fire, vandalism, theft, or other covered causes, your insurance is your protection from financial ruin. Most policies for IT consultants also provide for coverage of costs when your business operations are interrupted. For example, if your building burns down, then you may be covered for relocation expenses while you find a new place to operate.
A business owner's policy, or BOP, is a type of policy that is idea for certain small businesses. A BOP insurance policy for IT consultants combines several types of valuable coverage into one policy, including general liability coverage, business interruption coverage, and property coverage, usually at a price that is affordable for the business' budget. An independent agent can help you find the right level of coverage for your business needs and make sure that you are fully protected from financial stress if the unexpected happens.
Is Cyber Liability Insurance Right for You?
Any business doing computer work in cyber space should consider cyber liability insurance. This type of insurance pays for data loss, cyber hacks, breaches of information, and computer viruses, should a client file a claim against you and allege that the system that you provided to them is at fault. Even if you are not held ultimately responsible for the losses experienced by your customers, you should be able to provide a defense for yourself. This type of IT consultant insurance Texas policy pays for the cost of litigation and other types of expenses if you face a liability in a cyber lawsuit.
Errors and Omissions Insurance for IT Consultants
As an IT consultant, you know that your clients expect you to perform at a level of expertise that is standard in the industry. The client can end up suing you for non-delivery of services rendered or promised and for negligence arising from any advice that you give them. Some potential errors and omissions claims often arise from:
- Designing a network with serious deficiencies instead of the promised network
- Performing backup that leads to data loss for the client
- The design of a network that is vulnerable to an attack by a virus or a hack by criminals
- Failure to complete a project as established by a contract
- Exceeding the time length provided for the project or going outside the project's budget
No matter whether you work as a freelancer providing IT consulting services or you are working as part of a larger organization, finding the right level of coverage is important. Discuss your particular needs with an independent agent to get the coverage you need.
Texas Economic Outlook & Requirements For Commercial Insurance
If you are considering opening up a business in the Lone Star State, you first want to make sure that it is a sound location for your operations. That means that you should understand some key information related to the state's economy, as well as the types of insurance coverages that businesses are legally required to carry.
Economic Outlook For The State Of Texas
In terms of the economy, Texas offers fantastic news for those who are thinking about starting up a business in this state. That's because the Lone Star State has the second largest economy of all 50 states in the nation. The gross state product is valued at an estimated at over $1.706 trillion in 2018. In 2015, the state was the headquarters for six of the top 50 Fortune 500 companies.
As expected, several industries contribute to the economy of Texas. One of the most notable industries is agriculture. In fact, this state has the highest production of cattle, sheep, and goat products. It is also the largest producer of cotton and cereal crops. Other crops that this state is famed for include cantaloupes, watermelons, and grapefruits.
Other leading industries in the State of Texas include:
- Computer Technology
If you are considering going into business in TX, having an operation in any of these industries will likely afford you success.
Commercial Insurance Regulations For Business Owners In TX
The Texas Department of Insurance regulates is the main insurance regulatory agency in the Lone Star State. Texas is quite lenient when it comes to insurance requirements for business owners. In fact, there is only one type of insurance that business owners are legally required to carry, and that is commercial auto insurance. If you are planning on using a vehicle for anything related to your business, whether it's making deliveries, transporting goods, or meeting with clients, you must have a commercial auto insurance policy.
While Workers' Compensation coverage is required in every other state, in TX, is it not mandated; however, if you decide not to carry this type of coverage, you will be required to offer your employees some type of incentive package in the event that the do become injured or develop a work-related illness.
Additional Resources For Information Technology & Internet Insurance
Learn about small business IT technology insurance policies that help protect IT businesses, consultants & subcontractors from the unique risks that small tech businesses face when they work.
- Application Development
- Computer Electronic Repair
- Computer Programming
- Computer System / Network Developer
- Cyber Liability
- Data Breach
- Internet Business
- IT Consultant
- Online Store
- Software Developer
- Technology Services
- Website Design
Some the more popular IT businesses do IT contracting or freelancing work. These businesses have specific risks they face, and can have huge exposures to uncommon risks. Even if the business is very careful, a small oversight or mistake can lead to a large and expensive lawsuit.
For information technology companies, like some of the more popular ones listed below, data security is paramount:
Application Development (Mobile & Web), Business Intelligence / Data Mining Businesses, Computer Installation & Repair, Computer Programming, Computer Retail Store, Data Analysts, Architects & Scientists, Database Administrators, Frontend Developers, Hosting, IT Business Consulting, IT Project Management, IT Staffing, IT Training, Information Technology Consulting, Life Sciences & R&D, Network Architects, Network Security Consultants, System & Network Design, Technical Writing and Web Site Development.
The IT business segment has a critical need for professional liability and errors and omissions coverage. If coverage applies, the insurer has several rights and duties such as providing a legal defense against claims and suits brought by parties claiming damages. The insurer is permitted to investigate all claims to determine whether they are covered by the policy and they may choose to litigate, deny or settle claims.
Most policies providing coverage for electronic data liability, computer professional liability, and computer errors and omissions are claims-made contracts.
Request a free IT Consultant Insurance Texas quote in Abilene, Allen, Alvin, Amarillo, Arlington, Austin, Balch Springs, Baytown, Beaumont, Bedford, Benbrook, Big Spring, Brownsville, Bryan, Burleson, Carrollton, Cedar Hill, Cedar Park, Cleburne, College Station, Colleyville, Conroe, Coppell, Copperas Cove, Corpus Christi, Corsicana, Dallas, DeSoto, Deer Park, Del Rio, Denison, Denton, Duncanville, Eagle Pass, Edinburg, El Paso, Euless, Farmers Branch, Flower Mound town, Fort Worth, Friendswood, Frisco, Galveston, Garland, Georgetown, Grand Prairie, Grapevine, Greenville, Haltom City, Harker Heights, Harlingen, Houston, Huntsville, Hurst, Irving, Keller, Kerrville, Killeen, Kingsville, Kyle, La Porte, Lake Jackson, Lancaster, Laredo, League City, Leander, Lewisville, Little Elm, Longview, Lubbock, Lufkin, Mansfield, Marshall, McAllen, McKinney, Mesquite, Midland, Mission, Missouri City, Nacogdoches, New Braunfels, North Richland Hills, Odessa, Paris, Pasadena, Pearland, Pflugerville, Pharr, Plainview, Plano, Port Arthur, Richardson, Rockwall, Rosenberg, Round Rock, Rowlett, Sachse, San Angelo, San Antonio, San Benito, San Juan, San Marcos, Schertz, Seguin, Sherman, Socorro, Southlake, Sugar Land, Temple, Texarkana, Texas City, The Colony, Tyler, University Park, Victoria, Waco, Watauga, Waxahachie, Weatherford, Weslaco, Wichita Falls, Wylie and all other cities in TX - The Lone Star State.
Quotes from leading small business insurance carriers including: ACE, AmTrust, Chubb, Cincinnati, CNA, Colony, Employers, Evanston, Fireman's, Foremost, Guard, Hanover, Hiscox, Liberty Mutual, LLoyd's of London, Markel, MSA, Nationwide, Penn America, Philadelphia, Prime, Progressive, Scottsdale, The Hartford, Travelers, USLI, Utica First, Western World, Zurich & others.