Insuring Your App Development Business
As an app developer, your livelihood depends on the apps you create. You pour your time, creativity, and resources into building innovative mobile and web apps that solve problems for users.
However, without adequate insurance, your app development business could be at serious financial risk from lawsuits, property damage, data breaches, and other unforeseen incidents. Protecting your business with customized commercial insurance should be a top priority.
The Allen Thomas Group understands the unique risks app developers face and has over 20 years of experience crafting tailored coverage to safeguard app development companies.
Read on to learn why insurance is crucial for app developers and how to choose policies that properly shield your business from financial threats.
The Risks Facing App Developers
App developers encounter various risks that make insurance coverage vital:
Lawsuits and Legal Expenses
If your app has bugs, glitches, or security flaws that cause financial harm or allow data breaches, users and clients can file lawsuits that bury your business in legal fees. General liability insurance covers the often substantial legal costs.
Property Damage
Damage to the building and equipment you use to run your app development company can completely derail operations. Commercial property insurance shelters you from having to pay for repairs or replacements out-of-pocket after fires, storms, electrical surges and other incidents.
Data Breaches
Hackers and cyber criminals routinely target apps to access user data and payment information. The costs to regain control of systems, notify users, and provide credit monitoring can be astronomical without cyber liability insurance.
Financial and Reputational Harm
Buggy or flawed apps that crash, expose private information, or cause monetary loss can severely damage your app development company's finances and reputation. Professional liability insurance handles payouts for financial harm your apps cause.
Workers' Compensation Claims
If employees are injured on the job, you must pay their medical bills and partial income. Workers' compensation insurance covers these costs so injuries don't sink your business.
In essence, going uninsured puts your livelihood in jeopardy if you face lawsuits, property damage, data breaches, app flaws that cause financial harm, or employee injuries. Transferring these risks through insurance allows you to focus on building great apps rather than worrying about catastrophes bankrupting your business.
Choosing the Right Insurance for App Developers
To fully protect your app development company, partner with an insurer that offers customizable packages with the essential coverage types, sufficient limits, and helpful risk management guidance.
Key insurance types to consider include:
General Liability Insurance
Covers legal fees and payouts if users sue over app flaws that harm them financially.
Cyber Liability Insurance
Covers costs associated with data breaches including computer forensics, legal services, notifications and fraud monitoring.
Professional Liability Insurance
Shelters your finances if flaws in your apps' code, functionality or security cause clients monetary loss.
Commercial Property Insurance
Pays repair and replacement costs after property damage from fires, storms, electrical surges and other incidents.
Business Owner's Policy (BOP)
Bundles general liability, professional liability, property and other common coverage types for simplified purchasing.
Workers' Compensation
Covers medical bills, lost wages and rehabilitation costs after job-related employee injuries or illnesses.
When reviewing insurance options, scrutinize the policy limits and exclusions closely.
Ensure coverage extends to the full range of technology-related risks app developers experience in areas like cyber incidents, app flaws causing financial harm, copyright infringement claims and other exposures.
Partnering with the Right Insurer
An insurer specializing in app developers' risks can prove invaluable in securing coverage fine-tuned to your business's needs and long-term success. When choosing an insurance provider, look for:
Industry Expertise
Seek out an insurer thoroughly versed in the risks facing software developers. They can structure broader, more relevant coverage.
App Developer Clients
Ask about their experience covering app development firms specifically and client success stories.
Policy Customization
Inquire about tailoring insurance packages with optional extras like cyber coverage endorsements.
Risk Management Assistance
The best insurers act as ongoing risk advisors to help you strengthen defenses.
Simplicity and Support
Pick a provider focused on simplifying insurance purchasing and providing responsive support.
Why The Allen Thomas Group is the Right Choice
With over 20 years as trusted risk advisors to app developers, The Allen Thomas Group offers unmatched expertise tailored coverage, policy customization, risk guidance and client care.
Contact us today at (440) 826-3676 to craft insurance that fully protects software developers like you.
We also invite you to request a free online quote to get started shielding your app development firm from financial threats. Invest in proper insurance now so you can focus on bringing innovative apps to life.
