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Author What type of insurance do you have?
veg_all@yahoo.com

2006-08-18, 6:36 pm

My web business is starting to take off, and now I am concerned if a
client sues me. I did some googling and found three types of
insurance:

Business liability insurance
Error and Omission insurance
Umbrella policy

Which of these should I get? I think umbrella policy is just for
personal lawsuits, not from your business. How much do these cost?
Has anyone ever been sued by a client?

sir robert blake

2006-08-18, 6:36 pm

veg_all@yahoo.com wrote in news:1155913964.931659.217860
@m79g2000cwm.googlegroups.com:

> My web business is starting to take off, and now I am concerned if a
> client sues me. I did some googling and found three types of
> insurance:
>
> Business liability insurance
> Error and Omission insurance
> Umbrella policy
>
> Which of these should I get? I think umbrella policy is just for
> personal lawsuits, not from your business. How much do these cost?
> Has anyone ever been sued by a client?



chase the fukers up the road.
Jerry Stuckle

2006-08-18, 10:47 pm

veg_all@yahoo.com wrote:
> My web business is starting to take off, and now I am concerned if a
> client sues me. I did some googling and found three types of
> insurance:
>
> Business liability insurance
> Error and Omission insurance
> Umbrella policy
>
> Which of these should I get? I think umbrella policy is just for
> personal lawsuits, not from your business. How much do these cost?
> Has anyone ever been sued by a client?
>


You need to talk to an insurance agent familiar with software consulting.

They are three different types of insurance, and all may be applicable
to you. For instance:

Business Liability; things like injuries caused by you (i.e. knocking a
display off the desk and onto the customer's foot) or injuries which
occur on your business property (if you're working out of your home -
your homeowners may NOT cover business use!).

E&O - Programmer's version of professional liability. It covers
mistakes, etc. you make in coding which can cause problems. For
instance, if you don't properly protect credit card information and the
site is hacked.

Umbrella Policy - A general coverage policy which takes over when
individual policies run out. For instance, if you have $250K liability
on your auto, $400K on your house and a $1M umbrella policy. The
umbrella policy will cover losses beyond the car or house, up to the
limits of the policy. It's cheaper than taking out $1M on each the car
and the house. I haven't seen any which have professional liability
coverage, although there may be.

You definitely need business liability (cheap) and E&O (expensive). The
umbrella policy is up to you - but it's generally pretty cheap, also.

--
==================
Remove the "x" from my email address
Jerry Stuckle
JDS Computer Training Corp.
jstucklex@attglobal.net
==================
NotMe

2006-08-19, 6:44 pm


"Jerry Stuckle" <jstucklex@attglobal.net> wrote in message
news:0pidnVXQI-1K9nvZnZ2dnUVZ_qidnZ2d@comcast.com...
| veg_all@yahoo.com wrote:
| > My web business is starting to take off, and now I am concerned if a
| > client sues me. I did some googling and found three types of
| > insurance:
| >
| > Business liability insurance
| > Error and Omission insurance
| > Umbrella policy
| >
| > Which of these should I get? I think umbrella policy is just for
| > personal lawsuits, not from your business. How much do these cost?
| > Has anyone ever been sued by a client?
| >
|
| You need to talk to an insurance agent familiar with software consulting.
|
| They are three different types of insurance, and all may be applicable
| to you. For instance:
|
| Business Liability; things like injuries caused by you (i.e. knocking a
| display off the desk and onto the customer's foot) or injuries which
| occur on your business property (if you're working out of your home -
| your homeowners may NOT cover business use!).
|
| E&O - Programmer's version of professional liability. It covers
| mistakes, etc. you make in coding which can cause problems. For
| instance, if you don't properly protect credit card information and the
| site is hacked.
|
| Umbrella Policy - A general coverage policy which takes over when
| individual policies run out. For instance, if you have $250K liability
| on your auto, $400K on your house and a $1M umbrella policy. The
| umbrella policy will cover losses beyond the car or house, up to the
| limits of the policy. It's cheaper than taking out $1M on each the car
| and the house. I haven't seen any which have professional liability
| coverage, although there may be.
|
| You definitely need business liability (cheap) and E&O (expensive). The
| umbrella policy is up to you - but it's generally pretty cheap, also.

A key element of insurance is the legal assistance if you are sued. A
properly configured insurance package prepared by a good insurance agent is
invaluable. Perhaps more valuable than the coverage itself.


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