What Tech E&O Insurance Covers (Without the Bundle)
Technology Errors & Omissions (Tech E&O) is professional liability insurance built specifically for IT companies, software firms, MSPs, SaaS providers, and dev shops. Where general liability covers physical injury and property damage, Tech E&O covers the financial harm that happens when your services or product doesn't perform as the client expected.
A standalone Tech E&O policy responds to claims like:
- Negligent service: A configuration error in your client's environment causes downtime, lost revenue, or data corruption
- Breach of contract: You miss a delivery deadline, fail to hit an SLA, or ship features that don't match the SOW
- Failed implementation: A migration, deployment, or integration project fails and the client sues for remediation costs
- Intellectual property infringement: Delivered code or design inadvertently infringes a third-party patent, trademark, or copyright
- Professional negligence: A client claims your advice, code, or system design fell below the standard of care expected in your industry
Tech E&O pays for legal defense, settlements, and judgments. Most policies also include subpoena response coverage when you get pulled into a client's litigation as a non-party.
→ Get a Tech E&O quote in under 2 minutes
Why Tech E&O Bundles with Cyber Liability
Tech E&O and cyber liability cover different but adjacent risks. When a client outage happens, it's often unclear whether the root cause was:
- A bug in your code → Tech E&O claim
- A breach in your environment → Cyber claim
- Both (a bug created the vulnerability that was then exploited) → mixed claim
With separate policies from different carriers, you can end up in coverage disputes — each carrier pointing at the other. A bundled Tech E&O + Cyber policy from a single carrier eliminates that risk and pays under a single deductible.
Most carriers now offer the bundle for the same reason their underwriters see overlapping claims data.
How Much Does Tech E&O + Cyber Insurance Cost?
Bundled tech E&O and cyber insurance typically costs $1,500 to $5,500 per year — representing significant savings over separate policies.
| Company Size | Separate Policies | Bundled Policy | Savings |
|---|---|---|---|
| Small (Under $500K) | $2,000 – $2,800 | $1,500 – $2,100 | ~25% |
| Mid-Size ($500K – $3M) | $3,200 – $4,800 | $2,500 – $3,800 | ~20% |
| Growth ($3M – $10M) | $5,000 – $7,500 | $4,000 – $5,500 | ~18% |
→ Compare bundled tech E&O + cyber quotes
Top Carriers for Tech E&O (Standalone and Bundled)
Hartford offers a combined Tech E&O and Cyber policy with seamless coverage for technology companies. Strong in IT services, MSPs, and software development firms.
Chubb provides high-limit tech E&O + cyber bundles with broad coverage terms. Preferred by larger tech companies and those with enterprise clients requiring robust coverage.
Hiscox offers affordable standalone Tech E&O and bundled coverage for startups and small tech companies with fast online quoting.
Coalition combines active insurance with continuous monitoring — their bundled product includes vulnerability scanning and threat alerts alongside E&O and cyber coverage.
→ See your bundled savings — get a free quote
Related Cybersecurity Coverages
Tech E&O + cyber is part of our broader cyber coverage family. Compare related options:
- Cyber insurance — Compare standalone business cyber policies
- Cyber security insurance — Ransomware, phishing, and digital threat protection
- Data breach insurance — First-party forensics and notification coverage
- Cyber insurance for law firms — ABA Rule 1.6-compliant cyber coverage for attorneys
- Cyber liability insurance — Third-party cyber liability protection
Ready to compare? Get a Tech E&O quote in under 2 minutes →
