What is the difference between tech E&O and cyber?

Tech E&O responds to claims that your product or service failed to perform as promised and caused a customer a financial loss. Cyber responds to breach and network security events, covering your own response costs plus liability for compromised data. Many real incidents involve both, which is why combined forms exist. Coverage, exclusions and limits vary by carrier and policy form.

If our cloud provider goes down, are we covered?

Only if the policy includes dependent business interruption or contingent system failure coverage, which is not automatic. Many cyber forms respond to your own network but not to an outage at a third party, and vendor contracts commonly limit what you can recover from the provider. Waiting periods and named-vendor requirements vary by form.

Why do underwriters want to see our customer contracts?

Because contract terms define most of the exposure. Uncapped indemnity, aggressive service level credits, warranties of performance, and agreements to defend a customer can create obligations far larger than the engagement fee. Professional liability generally responds to negligence rather than to liability you took on by contract.

Part of our guide to commercial insurance.

Business & Commercial

Technology & Software Company Insurance in Missouri

Insurance for technology and software companies, where the real exposure is client data, uptime promises, and the work product itself.

Most tech companies do not have a warehouse full of inventory; the risk sits in client data, service commitments, and whether the software did what the contract said it would. A breach, an outage, or a client alleging that your work caused a financial loss can become a claim long before anything physical is damaged. BluePeak helps software firms, MSPs, and IT consultants pair Cyber and Technology E&O with the standard business coverages, and reviews the insurance requirements in client contracts alongside you.

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Who We Serve

✓SaaS and software development companies
✓IT consultants and managed service providers (MSPs)
✓Web, mobile, and product design agencies
✓Data analytics, AI, and machine learning firms
✓Hardware, IoT, and connected device startups

Common Risks in Your Industry

⚠A ransomware or breach event exposes client data and triggers notification obligations
⚠A software defect or failed deployment causes a client a financial loss and they seek damages
⚠A project misses spec or deadline and the client alleges professional negligence
⚠Company laptops or devices holding client data are lost or stolen
⚠A social engineering or invoice fraud scheme results in a fraudulent funds transfer

Recommended Coverages

Cyber Liability (including breach response)

Technology Errors & Omissions (Professional Liability)

General Liability

Business Owners Policy (BOP)

Employment Practices Liability

Workers' Compensation

Real-World Scenario

A misconfigured storage bucket exposes a client's customer records, and the company faces notification costs, credit monitoring, and legal review. Cyber Liability coverage is designed to respond to breach response costs and third-party claims, while Technology E&O would typically be the policy addressing allegations that your work caused the client's loss.

Why BluePeak Digital

Cyber and Technology E&O forms differ meaningfully between carriers, so being independent lets us put the same company in front of several markets and compare the wording, not just the number at the bottom. We also work backward from the limits and endorsements your customer contracts require, so coverage is sized to close deals rather than set arbitrarily.

Underwriting this industry

Technology companies get sued over what their software or service failed to do and over the data they were holding when something went wrong, two related but distinct exposures addressed by technology errors and omissions and by cyber coverage respectively. The contracts are the risk file, because service level commitments, indemnity obligations and liability caps determine what a customer can actually claim. Dependence on cloud and third-party vendors means an outage you did not cause can still become your breach.

What underwriters evaluate

What the company actually sells: licensed software, SaaS, managed services, hardware, integration work or consulting
Customer contract terms: service level agreements, liability caps, indemnity obligations and warranty language
Types and volume of data held or processed, including personal, health, payment and customer-owned records
Cloud, hosting and critical vendor dependencies, and what those contracts say about downtime and liability
Security controls: multifactor authentication, backups and restore testing, patching and access management
Customer concentration, and whether any single customer represents a large share of revenue
Change management and release practice, including testing, staging and rollback procedures

Common claim types

Technology errors and omissions claims over failure to perform, defective functionality or missed implementation milestones
Ransomware and network intrusion affecting the company's own systems and its customers' data
Data breach and privacy claims involving personal information the company held or processed
Business interruption and dependent system failure arising from a cloud or hosting vendor outage
Intellectual property claims over code, open source use, content and product naming

Coverage gaps we see

Technology E&O and cyber bought separately with a seam between them, so neither responds cleanly to a mixed claim
Contractual liability accepted through uncapped indemnity or service level penalties beyond what the policy supports
No system failure or dependent business interruption coverage, so a vendor outage produces uninsured downtime
Hardware and product exposure assumed covered by E&O, where physical injury or damage is a products liability question
Intellectual property exposure assumed handled by general liability advertising injury, which is narrow and often excluded

Frequently asked questions

What is the difference between tech E&O and cyber?: Tech E&O responds to claims that your product or service failed to perform as promised and caused a customer a financial loss. Cyber responds to breach and network security events, covering your own response costs plus liability for compromised data. Many real incidents involve both, which is why combined forms exist. Coverage, exclusions and limits vary by carrier and policy form.
If our cloud provider goes down, are we covered?: Only if the policy includes dependent business interruption or contingent system failure coverage, which is not automatic. Many cyber forms respond to your own network but not to an outage at a third party, and vendor contracts commonly limit what you can recover from the provider. Waiting periods and named-vendor requirements vary by form.
Why do underwriters want to see our customer contracts?: Because contract terms define most of the exposure. Uncapped indemnity, aggressive service level credits, warranties of performance, and agreements to defend a customer can create obligations far larger than the engagement fee. Professional liability generally responds to negligence rather than to liability you took on by contract.

Coverage, exclusions and limits vary by carrier and policy form. Requirements differ by state, operation and contract — review the applicable policy language.

Cyber Insurance for Nonprofits: Ransomware & Wire Fraud
What cyber coverage pays for, how breach response differs from liability, and the security controls underwriters now expect before quoting.
Professional Liability (E&O) for Small Business & Nonprofits
Professional liability insurance responds when a client or funder alleges your professional work caused them a financial loss. This guide explains claims-made triggers, retroactive dates, tail coverage, limits and the gaps that strand prior work.

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