Business and tech consultants are often at risk for lawsuits. Clients rely on their expertise to make important decisions regarding their business. Tech consultants may make a mistake that could be costly for a client or make them vulnerable to data breach compromising company or client information.
Technology E&O is designed to cover providers of technology services or products. For example, data storage companies and website designers provide technology services, while computer software and computer manufacturers offer technology products.
Tech E&O insurance is often confused with cyber and privacy insurance. In contrast to tech E&O coverage, cyber and privacy insurance is intended to protect consumers of technology products and services. Nevertheless, cyber and privacy insurance policies do offer a number of the same insuring agreements as tech E&O policies.