Charlotte boasts a gross metro product of over $110 billion and is home of the second largest banking center in the country. In a short time, Charlotte has quickly become one of the major players in the U.S. economy. Charlotte tech companies have been
a key part of that growth and will continue to play a vital role as the Queen City continues to expand.
Small Business Insurance: Protecting the Little Guy in Charlotte
Whether you root for the Bobcats, NASCAR, or are solely devoted to North Carolina's unmatched college basketball scene, we can find insurance that covers your IT business. Small business insurance protects you from lawsuit costs, property damage,
bills from workplace injuries, and other expenses that could empty your bank accounts. Take a look at the insurance policies we most often recommend to tech businesses:
General Liability Insurance is required by many business contracts, professional licenses, and rental agreements. That’s because this policy covers common third-party lawsuits – the kind brought by people outside of your business. If one
of these parties sues your business over an injury, damaged property, or a non-physical injury such as copyright infringement, General Liability Insurance covers the cost to hire a lawyer to defend your business. Your insurance company pays the legal
bills, evidence cost, and the damages you owe the other party up to your policy’s stated limits.
Many small businesses get a discount on their insurance by purchasing a Business Owner's Policy. These insurance packages bundle General Liability Insurance (see above) and Property Insurance at a reduced cost. Commercial Property Insurance works
much the same way your personal Renter's or Homeowner's Insurance does: it covers any buildings your company owns and the stuff inside. Equipment, tools, technology, inventory, and other business property can all be insured. Property Insurance
covers basic property-loss situations: fire, theft, some weather damage, and vandalism. Say a Gastonia IT consultant's office is robbed. Her Property Insurance would cover the cost to replace what was stolen.
Errors and Omissions Insurance (also called “Professional Liability Insurance”) covers tech and professional lawsuits. If you're sued over client-side data breaches, poor performance, faulty hardware / software, or consulting errors,
E & O Insurance can pay your legal expenses. (This coverage can also pay for legal expenses when the E and O claims are fraudulent.) Clients often stipulate that you have a certain amount of E&O Insurance, so always check client contracts to make
sure you're in compliance (if you need more, it's easy to increase your coverage). A word about data breaches: E&O Insurance covers data breach lawsuits after a breach happens on client computers. It doesn't cover a breach on your own
computers. For that, see Cyber Liability Insurance.
If your business has three or more employees, North Carolina law requires you to have Workers' Compensation Insurance (also called “Workers' Comp” or “Workman's Comp”). If an employee gets injured at work, Workman's
Comp covers their medical expenses and the income they lose while in recovery. You're legally responsible for these expenses, so Workers' Comp can save you a bundle (we all know how expensive medical bills can be). Many policies also include
lawsuit protection, Employer's Liability Insurance, which pays your legal expenses if an employee sues you over their injury.
Cyber Liability Insurance (also called “Data Breach Insurance” or “Cyber Risk Insurance”) covers the cost of a data breach that occurs on a tech company's own network. Say an employee opens a phishing email that leads
to a data breach at your HQ. What do you do? You'll have to pay for identity theft protection (credit monitoring), forensic investigations, customer alerts, and other expenses – all while trying to keep your business up and running. Cyber
Risk Insurance covers these costs. However, many IT businesses don't store private data on their computers. For them, Cyber Liability Insurance is unnecessary. But if your business stores a lot of private information, customer records, or other personal
data on its network, it's smart to protect yourself with Cyber Liability Insurance.
For a free, detailed insurance quote for IT coverage, contact an insurance agent at 1-800-668-7020 or fill out an online insurance application.