Legal, Tax, and Accounting September 2, 2020

Liability Insurance ?

jonnyb

I have a request from a potential first customer that if fulfilled would land me $2,000 ARR. They are saying that I must have some form of insurance on my company for the deal to go through.

My company stores github access tokens with read only access to clients full repositories, so there is def some liability there.

Any general thoughts? Any thoughts on best place to buy insurance like this? This would be my first customer.

  1. 2

    I used Next - cheap and quick...never had to talk to someone. Go for the cheapest option - I think it's like $250.

    https://www.nextinsurance.com/

    1. 1

      Thank you. This is super helpful!

  2. 1

    @jonnyb would you mind sharing which company you ended up going with?

    1. 1

      I ended up just getting general liability coverage through http://thehartford.com/ to close the deal. It was a couple hundred dollars and was all their operations team needed me to have. It does not cover things like a data breach, however.

      1. 1

        Thank you - I got a quote through Founder Shield for a couple thousand which probably is fair, but a bit high since I don't have any paying customers yet.

  3. 1

    In a previous life, I had a million dollar liability policy, for a brick and mortar store. It was fairly inexpensive. < $1k (US) a year.

    1. 1

      good to know. thanks!

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