Risks Telecom and Cable Technician Business Insurance Can Cover
Let's look at examples of the common risks your telecom maintenance and installation business faces and the insurance policies that can help you manage them.
- Damage to a client's office. A cable installation professional doesn't use a firestop to plug the holes around new cabling. As a result, the client's office has a lower fire-resistance rating. When a small fire spreads to an adjacent office, the client sues the installation professional for $100,000 in damaged property. If the cable technician has General Liability Insurance, it can help pay for the cost of the lawsuit.
- Office fire. A telecommunications office experiences a few flames after an unattended bag of microwave popcorn is left popping for half an hour. Between the fire and the sprinklers going off, the electronic equipment is wiped out. The office furniture is also ruined, and there is minor damage to the building. The Commercial Property Insurance portion of a Business Owner's Policy (BOP) can help pay to replace the damaged business property. If the business owner rents their office, the General Liability Insurance included in the BOP can cover legal costs if the landlord sues over the damage.
- Data breach lawsuit. In addition to wiring an office, an installation tech helps her client set up data backup services. She uses a cloud-based storage company that offers real-time continuous synchronization. Unfortunately, the cloud provider is hacked. Her client's data is exposed and the client sues. Even though the IT professional didn't cause the data breach, she can still be held liable for the services, vendors, or software she recommends. Errors & Omissions Insurance can protect her from the cost a potential lawsuit. In this case, the client alleges the data breach has cost them $75,000. Fortunately, the installation tech's E&O Insurance also includes third-party Cyber Liability Insurance, which can pay for data breach lawsuits.
- Fall from a ladder. A telecom maintenance worker is on a ladder checking the wiring in a service closet. As he turns, he smacks his head on a pipe and falls from the ladder. The fall knocks him unconscious, and he breaks an ankle when he lands. His medical treatment ends up costing $20,000. If his employer has Workers' Compensation Insurance, the policy can cover these medical bills and the employee's lost wages while he's out of work. If the employee sues the employer over the injury, Employer's Liability Insurance (usually included with Workers' Comp policies) can help cover legal expenses.
- Employee theft from a banking client. Let's say you've got a contract with a local bank to wire a new branch office. One of your employees has the bright (read: criminal) idea to use their administrative password to try to wire money from the bank to his account. Thankfully, your Fidelity Bond Insurance (also called Employee Dishonesty Bonds) reimburses the bank for the stolen money.
- Gender discrimination lawsuit. As a small-business owner, you can be sued over employment disputes. For example, say you are interviewing for an open position at your cable installation business. You interview several candidates and choose a tech who you feel is the best qualified for the position. One of the women you interviewed didn’t get the job, and after realizing that most of your crew is men, she believes you didn’t hire her based on her gender. She files a discrimination lawsuit against your business. In this case, your Employment Practices Liability Insurance can cover your lawyer fees, settlement costs, and any damages awarded to the woman who wasn't hired.
Business Tips for Telecommunications and Cable Technicians
As you can see, there are plenty of risks you face every day – from upset clients to injured employees. And while you may deal with many of the same problems as the average business owner, some are more unique to your line of work. That's why it's important to work with a small business insurance expert like TechInsurance. We understand the challenges you face and can help you protect your company.
For business growth and risk management tips, take a look at some of our resources, including tips on when it might be a good time to outsource, a guide to ensuring you have plenty of clients, and sample telecommunication and cable technician business insurance quotes.