Computer System Network Developer Insurance Policy Information

Computer System Network Developer Insurance As a computer system / network developer, you know the ins and outs of networking and computer system design. From small businesses to large corporations, you wire and install cabling for data, voice jacks, routers, and wireless antennas. The many moving pieces involved in your projects opens up your company up to potential mistakes, oversights, or accidents. These could mean costly liability suits for your system network design business.
Computer system network developer insurance offers a solution when various risks threaten the health of your company. You need adequate protection to defend yourself against a claim. A single claim can cost thousands of dollars, interrupt your ability to continue working, and tarnish your reputation - even if you're innocent. It's not a risk worth taking.
Computer system network developer insurance protects your firm from lawsuits with rates as low as $27/mo. Get a fast quote and your certificate of insurance now.
Below are some answers to commonly asked computer system network developer insurance questions:
- What Is Computer System Network Developer Insurance?
- How Much Does Computer System Network Developer Insurance Cost?
- Why Do Network Developers Need Insurance?
- What Type Of Insurance Do Network Developers Need?
- What Does Computer System Network Developer Insurance Cover & Pay For?
What Is Computer System Network Developer Insurance?
Computer system network developer insurance is a type of insurance coverage specifically designed for individuals or companies who develop and maintain computer networks. This type of insurance provides protection against the financial losses and other damages that may arise from the use of these networks.
The coverage may include protection against data breaches, hacking incidents, intellectual property theft, loss of revenue due to system downtime, and other risks associated with the operation of computer networks. The coverage may also include legal and defense costs in the event of a lawsuit or other legal action against the network developer.
How Much Does Computer System Network Developer Insurance Cost?
The average price of a standard $1,000,000/$2,000,000 General Liability Insurance policy for small computer system network developers ranges from $27 to $59 per month based on location, size, payroll, sales and experience.
Why Do Network Developers Need Insurance?
here are some reasons why network developers need insurance:
Liability Coverage: Network developers are responsible for the security and reliability of the network they create. In case of a network failure or a data breach, they may face legal consequences and be sued for damages. Liability insurance can provide coverage for these types of losses.
Technology Errors and Omissions Coverage: This type of insurance covers errors and omissions in the software or programming that can cause harm to others, such as lost data, intellectual property theft, or unauthorized access to confidential information.
Cyber Liability Coverage: Cyber liability insurance covers damages from hacking, data breaches, and other cyber threats. As network developers work with sensitive data, this coverage is important to protect both the developer and their clients from the financial losses that can result from cyber attacks.
Business Interruption Coverage: This type of insurance covers losses resulting from business interruption, such as lost income, due to network failure or other unexpected events.
In summary, network developers need insurance to protect their business, assets, and reputation against potential losses and lawsuits.
What Type Of Insurance Do Network Developers Need?

Your insurance can be customized to fit the specific risks you face. To make it more convenient for you, a tailored computer system network developer insurance package can be put together to protect both you and your business. It should include some or all of these coverages:
Professional Liability Insurance: Also know as errors and omissions insurance (E&O). Although technology has proven to be time effective and convenient, technical mistakes are inevitable.
You can benefit greatly from computer system network developer insurance, as it protects you in case of negligence, faulty backup issues and dissatisfied clients. Professional liability coverage includes:
- Legal costs and expenses.
- Settlements and court awards.
- Coverage for fines or penalties that may be awarded against you by a tribunal, board or other regulatory body that has jurisdiction to investigate you and award fines.
- Coverage relating to your liability to others arising out of the ownership, occupation or use of property or products used in your profession.
Professional liability is like having a safety net. It provides you with a team of experts, who work on your behalf, to make sure that your license and your livelihood are protected. A malpractice lawsuit can take from two months to two years to resolve. Being able to minimize the stress, at work and at home, is what E and O Insurance offers.
The limit of indemnity you require under your policy is generally for you to decide based upon your own assessment of the exposures you face in your business and the likelihood of a claim or number of claims. Many policies will have a limit in the aggregate and you will need to include this in your considerations.
Workers Compensation Insurance: Workers compensation insurance is a type of insurance purchased by employers for the coverage of employment-related injuries and illnesses. If you employ anyone then you are required to have a workers comp policy in place, not only to cover your employees but to meet legal regulations in most states. It is also common for businesses that hire you to require that you carry workers comp contractually.

Commercial Property Insurance: This insurance acts as a safety net if your office, equipment, supplies, and inventory are damaged or lost due to a fire, tornado, theft, act of vandalism, or power outage. Example: A pipe bursts in your office and your equipment and client files are destroyed. The policy will pay the replacement cost for your property. If your office is closed for an extended period, income reimbursement is also available.
You can insure your commercial assets at their replacement or current cash value with business personal property. The difference is that insuring items at their replacement value comes with a higher premium, but also a larger payout.
Business Owner's Policy (BOP): The majority of IT professionals who operate their own companies invest in business insurance as part of their risk-management strategy. A business owner's policy (BOP) provides your business with general liability insurance, property insurance and business income - policies that protect your business from the risk of lawsuits and the unexpected damage or loss of your commercial property. If your IT business is considered low-risk, it may be eligible for this broad scope of protection.
What Does Computer System Network Developer Insurance Cover & Pay For?

Here are some examples of reasons why computer system and network developers may face lawsuits and how insurance can help protect them:
- Breach of Contract: Computer system and network developers may be sued for breach of contract if they fail to deliver the agreed-upon products or services, or if the products or services do not meet the quality standards or specifications outlined in the contract. Professional liability insurance, also known as errors and omissions (E&O) insurance, can help protect developers by covering the costs of legal defense and damages if a lawsuit arises due to alleged breach of contract.
- Intellectual Property Infringement: Computer system and network developers may face lawsuits if their products or services are alleged to infringe upon the intellectual property rights of others, such as patents, copyrights, or trademarks. Intellectual property insurance can help cover the costs of legal defense and damages in such cases.
- Data Breaches or Cybersecurity Incidents: Computer system and network developers may be sued if their products or services are involved in a data breach or cybersecurity incident that results in the loss, theft, or unauthorized access of sensitive data. Cyber liability insurance can help protect developers by covering the costs of legal defense, notification and credit monitoring for affected individuals, and damages resulting from data breaches or cybersecurity incidents.
- Negligence or Professional Errors: Computer system and network developers may face lawsuits if they are alleged to have been negligent in their design, development, or implementation of computer systems or networks, or if they make professional errors that result in financial losses for their clients. Professional liability insurance can help cover the costs of legal defense and damages in such cases.
- Product Liability: Computer system and network developers may be sued if their products are alleged to be defective or cause harm to users. Product liability insurance can help protect developers by covering the costs of legal defense and damages resulting from product-related lawsuits.
It's important to note that insurance policies can have different coverage limits, deductibles, and exclusions, and it's essential to carefully review the terms and conditions of an insurance policy to understand the extent of coverage provided. It's also advisable to work with qualified insurance professionals and legal experts to ensure that the insurance coverage meets the specific needs and requirements of the computer system and network developers.
Commercial Insurance And Business Industry Classification
- SIC CODE: Description for 7373 Computer Integrated Systems Design
- NAICS CODE: 541512 Computer Systems Design Services
- Suggested Workers Compensation Code(s): 8803 Auditor, Accountant, or Computer System Designer or Programmer - Traveling, 8810 Clerical Office Employees NOC
Description for Description for 7373: Computer Integrated Systems Design
Division I: Services | Major Group 73: Business Services | Industry Group 737: Computer Programming, Data Processing, And Other Computer Related Services
7373 Computer Integrated Systems Design: Establishments primarily engaged in developing or modifying computer software and packaging or bundling the software with purchased computer hardware (computers and computer peripheral equipment) to create and market an integrated system for specific application.
Establishments in this industry must provide each of the following services: (1) the development or modification of the computer software; (2) the marketing of purchased computer hardware; and (3) involvement in all phases of systems development from design through installation.
- Computer-aided design (CAD) systems services
- Computer-aided engineering (CAE) systems services
- Computer-aided manufacturing (CAM) systems services
- Local area network (LAN) systems integrators
- Network systems integration, computer
- Office automation, computer systems integration
- Systems integration, computer
- Turnkey vendors, computer systems
- Value-added resellers, computer systems
Computer System Network Developer Insurance - The Bottom Line
It's unfortunate but true: in this day and age, having good computer system network developer insurance in place is a financial necessity. While it can be expensive, there are ways that you can reduce the costs of your coverage. One of the most effective ways to save money is to shop around and compare rates and policy coverages.
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
- Amazon Seller
- Artificial Intelligence
- Computer Electronic Repair
- Computer Programming
- Computer System / Network Developer
- Cyber Liability
- Data Breach
- eBay Sellers
- eCommerce
- Electronic Data Processing
- Electronic Data Processing Equipment
- Internet Business
- Internet Service Provider
- IT Consultant
- Online Store
- Social Media
- Software Developer
- Technology Services
- Telecommunications
- Website Design
- Specialty Computer

The information technology (IT) industry is constantly evolving and adapting to new technologies and trends. It is a critical component of many businesses and organizations, as it helps them to communicate, store data, and operate efficiently. However, the IT industry also faces unique risks and challenges that can lead to financial losses, legal issues, and damage to reputation. This is why it is essential for IT businesses to have commercial insurance to protect their assets and interests.
One of the main risks that IT businesses face is data breaches and cyber attacks. Hackers can gain access to sensitive information stored on a company's servers or systems, leading to data theft, identity theft, and other crimes. Insurance can provide coverage for these types of events, helping IT companies to mitigate the financial and legal consequences.
Another risk that IT businesses face is the possibility of equipment failure or malfunction. This can result in downtime and lost productivity, which can have a significant impact on a company's bottom line. Commercial insurance can help IT businesses to cover the costs of repairs and replacements, as well as any lost revenue or expenses incurred due to the equipment failure.
IT businesses may also face legal issues, such as intellectual property disputes or contract disputes with clients. Insurance can provide coverage for legal fees and damages, helping IT companies to defend their interests and protect their reputation.
Overall, the IT industry needs business insurance to protect against the many risks and challenges it faces. Without adequate coverage, IT businesses may be vulnerable to financial losses and legal issues that could impact their operations and success.
Minimum recommended small business insurance coverage: Business Personal Property, Business Income with Extra Expense, Equipment Breakdown, Computer Fraud, Employee Dishonesty, Accounts Receivable, Computers, Valuable Papers and Records, General Liability, Employee Benefits Liability, Errors and Omissions Liability, Professional Liability, Umbrella Liability, Hired and Nonowned Auto Liability & Workers Compensation.
Other commercial insurance policies to consider: Building, Earthquake, Flood, Real Property Legal Liability, Forgery, Cyber Liability, Employment-related Practices Liability, Directors and Officers Liability, Business Auto Liability and Physical Damage and Stop Gap Liability.