Technology Company Insurance for software, SaaS and AI firms
Insurance built around what technology businesses sell: software, platforms, data, models and the promises in client contracts. Compare cover through specialist brokers who arrange technology liability for software, SaaS and AI companies.
- Technology PI for errors, outages and missed service levels
- Cyber cover for your own platform and data
- Limits matched to enterprise client contracts
Reviewed October 2026 by the MyBusinessComparison.com editorial team
What is technology company insurance?
Technology company insurance is a package of covers for businesses that build, host, sell or support technology. At its centre is technology professional indemnity, which pays claims that your software, platform, AI model or IT service failed, contained errors or missed agreed service levels, usually combined with cyber, intellectual property and office cover.
It sits under our wider technology and cyber insurance page but focuses on the risks that come from the product itself. A bug in a release, a failed data migration or an outage on a SaaS platform can leave clients with losses they will look to recover from the supplier.
Enterprise and public sector clients usually set minimum limits for professional indemnity and cyber in their contracts, and investors often expect directors' cover. A tailored package lets the business meet those demands without paying for cover it does not need.
Technology company cover in brief
- Core cover
- Technology professional indemnity, often written with cyber on one policy
- Suits
- Software, SaaS, AI, IT managed services, data and hardware businesses
- Often required by
- Enterprise clients, public sector buyers and investors
- Common additions
- Intellectual property, directors' and officers', products liability
- Insurers check
- Contracts, revenue by territory, development and testing, AI use
- Watch for
- Clients in North America, which many insurers price and limit separately
What does technology company insurance cover?
Packages are built from the sections below. Most tech firms start with technology PI and cyber, then add the covers their contracts and investors call for.
Technology professional indemnity
Claims that your software, platform or service had errors, failed to perform, was delivered late or caused a client a financial loss, including defence costs.
Read more about professional indemnity insurance
Service level and outage claims
Claims after downtime on a hosted or SaaS platform, where clients seek losses beyond service credits. Cover depends on how the contract caps your liability.
Cyber and data breach
Incident response, data restoration, lost income and privacy claims when your own systems or the client data you host are compromised.
Read more about cyber insurance
Intellectual property
Defending claims that your code, content or product infringes someone else's copyright, trade mark or design rights. Patent cover is usually limited or bought separately.
AI and automated decisions
Claims arising from errors, inaccurate outputs or biased decisions made by AI models and automated systems you supply, where the insurer agrees to include them.
Directors' and officers'
Personal cover for directors facing claims from investors, employees, creditors or regulators, often needed when the company raises funding.
Read more about directors' and officers' insurance
Products liability for hardware
Injury or property damage caused by devices, chargers, sensors and other physical products you design or supply.
Read more about products liability insurance
Office, equipment and liability
Laptops, servers and office contents, with public and employers' liability for your team and visitors.
Read more about business equipment insurance
Key person cover
Protection if a founder, lead engineer or chief technical officer can no longer work, while the business recruits and rebuilds.
Read more about key person insurance
Further covers for growing tech firms
- Crime and social engineering: invoice fraud and theft of funds, beyond the cyber crime limit
- Business travel: staff travelling to clients and conferences, and working abroad
- Legal expenses: employment, contract and debt disputes, including unpaid licence fees
- Employment practices: claims from staff over dismissal, discrimination and share option disputes
Which technology businesses is it for?
Any established firm whose product or service runs on code, data or connected devices. These are the businesses that most often arrange it.
Not a technology company? Most businesses need cyber cover for their own systems rather than technology PI. See cyber insurance or office and professional business insurance.
- Software developers and agencies: bespoke builds, integrations and maintenance contracts, where a defect can halt a client's operations
- SaaS and platform businesses: subscription software holding client data, with uptime commitments in most contracts and cyber cover for the platform itself
- AI and machine learning companies: models, automated decisions and training data, often backed by investors who expect D and O cover
- IT managed service providers: privileged access to many client networks, where one incident can spread to every customer
- IT consultants and system integrators: advice, implementation and data migration projects with fixed deadlines and professional indemnity requirements
- Hosting and data centre operators: infrastructure that clients rely on to keep their own services running, plus servers and plant under equipment cover
- Hardware and connected device makers: physical products with firmware, where faults can cause damage, a claim under products liability or a product recall
- Fintech and payments businesses: client funds, transaction data and close scrutiny from clients, partners and investors
- Health technology firms: clinical software and patient data, where errors carry high stakes
- Technology recruitment firms: placing developers and engineers with clients on project work
- Digital and data consultancies: analytics, digital transformation and data services delivered from client-facing offices
How much does technology company insurance cost?
Technology insurers price on what you sell, who buys it and what you have promised them. These factors carry the most weight.
Products and services
Business critical software, financial platforms and health or safety systems are rated differently from marketing tools or internal apps.
Revenue and territory
Turnover, and how much of it comes from clients in North America or other high claim territories, strongly affects the price.
Client contracts
Liability caps, exclusion of indirect losses and service credit regimes reduce exposure. Unlimited liability clauses push it up.
Development and testing
Version control, code review, testing, staged releases and change management show how errors are caught before release.
Security and data
The volume of client data you host, and controls such as multi-factor authentication and backups, drive the cyber element.
AI use
Insurers increasingly ask how AI models are trained, tested and supervised, and what decisions they make for clients.
What technology company insurance does not cover
Exclusions vary between insurers, and technology policies have some of their own. These are the ones to review.
- Liability you take on in contract beyond what you would owe anyway, such as uncapped indemnities, unless agreed with the insurer
- Patent infringement, which most policies exclude or limit
- Refunds of your own fees, and the cost of fixing your own product
- Claims from clients in territories not listed on the schedule
- Known bugs, outages or disputes before the policy started
- AI-related claims, where an insurer has excluded them or they were not disclosed
- Failures of power, telecoms or internet infrastructure outside your control
- Insolvency of the business, and promises about financial performance or returns
Technology company package or standard office insurance?
Many tech firms start on an office package and outgrow it once they sign larger contracts. This is where the two differ.
| Feature | Technology company package | Standard office package |
|---|---|---|
| Professional indemnity | Technology PI covering product failure and outages | General PI for advice, if included at all |
| Cyber | Usually built in, with cover for client data you host | Limited or optional |
| Intellectual property | Copyright and trade mark claims usually covered | Usually excluded |
| North American clients | Can be covered and priced | Often excluded |
| Contract requirements | Limits and terms matched to enterprise contracts | Fixed limits that may fall short |
| Usually suits | Firms that build, host or support technology | Firms that only use technology to run the office |
How to arrange insurance for a technology company
Technology underwriters want to understand your product and your contracts. Preparing this first speeds things up.
Describe what you sell
Products, services, typical clients and how critical your product is to their operations.
Break down revenue
Turnover by product line, by client sector and by territory, especially any North American income.
Gather sample contracts
Your standard terms and the largest client contracts, with liability caps, indemnities and insurance requirements.
Summarise your controls
Development, testing and release processes, security controls, data hosting and how AI is used and supervised.
Match limits to contracts
Set technology PI and cyber limits that meet client demands, then add D and O, IP and other covers as needed.
Talk to a technology specialist
Tell us what you build, who your clients are and what your contracts require, and a broker will compare cover.
Compare tech coverTechnology company insurance FAQs
How much does technology company insurance cost?
It depends on what you sell, your revenue and where it comes from, your contract terms, your development and security controls, and the limits you need. Firms with North American clients or uncapped contracts usually pay more. A broker can show what drives your premium.
What is the difference between technology PI and ordinary professional indemnity?
Ordinary professional indemnity mainly covers negligent advice. Technology PI is written for firms that supply products and services, so it also covers software errors, system failures, outages and missed service levels. Most tech firms need the technology form.
Do SaaS companies need cyber and technology PI?
Usually both. Cyber covers attacks on your own platform and the client data on it, while technology PI covers claims that the service itself failed. Many insurers write the two together, which avoids gaps when one incident causes both.
Does insurance cover claims caused by our AI models?
It can, but the market is still developing. Some insurers include AI-related errors within technology PI, some add specific terms and some exclude them. Disclose how you use AI and check the policy carefully. A specialist broker can find insurers comfortable with your model.
Our clients want unlimited liability. Will insurance cover that?
No policy offers unlimited cover. Insurers cover your legal liability up to the limit you buy, and may exclude extra liability you accept in contract. Negotiating a cap linked to your insurance limit is common practice.
Are we covered for clients in the United States?
Only if the policy says so. Many insurers exclude North American claims or cover them at different terms, because legal costs and awards there tend to be higher. Tell the broker where your clients are based.
Do we need directors' and officers' insurance after raising investment?
Investors often require it. Directors of funded companies face claims from shareholders, employees, creditors and regulators, and directors' and officers' insurance protects their personal assets and can reimburse the company when it pays their costs.
Is intellectual property infringement covered?
Many technology policies cover claims that your software or content infringes copyright, trade marks or design rights. Patent claims are usually excluded or limited, and cover to pursue others for infringing your rights is a separate product.
How do I get a technology company insurance quote?
Make an enquiry here and it is passed to a broker who works with technology firms. Have a description of your products, revenue by territory, a sample client contract and a summary of your security and testing controls ready.
Ready to compare technology company insurance?
Technology PI, cyber and the covers your clients and investors ask for, arranged by a broker who understands software and AI businesses.