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Technology Errors and Omissions (E&O)

Global IT spending is projected to reach $2.65 trillion by 2020

An electronics company recently paid $3.7 million in a settlement after producing internet-connected TVs that automatically tracked what consumers were watching and transmitted the data to its servers. Organizations are at greater risk for negligence claims and regulatory violations as cyber security and privacy measures are not keeping pace with advancements in technology.

Global IT spending is projected to reach $2.65 trillion by 2020, illustrating an enormous opportunity for you to capitalize by securing protection for your clients.

Technology Errors and Omission (E&O) Coverage from Burns & Wilcox can provide your clients with financial protection when held liable for errors, omissions or negligence in relation to their work involving hardware, software, the web and IT services.

Coverage Details and Features

  • Liability limits as high as needed
  • Minimum premium of $600 for a $1 million limit
  • Coverage is broadly defined for technology services with flexibility to include additional professions and services
  • Combined E&O and General Liability form available
  • Contingent Bodily Injury and Property Damage Coverage available in certain areas

Target Classes

(including but not limited to)

  • Software and software services
  • Information technology staffing and consulting
  • Value added re-sellers of software and hardware
  • Web services, Website design, Internet service providers and more
  • Colocation
  • Application Service Provider
  • Tech wearables


Burns and Wilcox Videos

A Business Essential: Technology Errors and Omissions Coverage

Companies providing software development and information technology services are living dangerously...

2min 42sec

Ask an Expert

Can you explain the difference between technology E&O and general professional liability? And why is the distinction important?
The most important difference between the two lies in what incidents are covered by each policy. Technology E&O protects clients in the event that a technology consultation or a software error results in financial losses. For example, your client needs a policy that will cover a new financial program for accountants to manage reports more efficiently. If the program causes an error or produces incorrect results, it could lead to a financial loss. A general professional liability policy won’t cover the financial loss, but a technology E&O policy will. The way we look at it, the software provider is the equivalent of a business consultant; they are consulting and providing a service to create a better accounting program. General professional liability policies almost always exclude professional services.
Is there a simple way to determine if a client needs a technology E&O policy in addition to their general professional liability policy?
It’s critical to fully evaluate the different services your client’s business depends on. For example, your client might hire an external consultant for a technology-related inquiry. The consultant could advise your client to implement the newest Microsoft Office updates, and make another suggestion to change a human resource-related protocol within the same meeting. The consultant actually provided two types of counsel: technology counsel related to Microsoft Office updates, and another related to human resources. Different types of counsel require different policy forms. The simplest way to determine which specific coverage parts your client needs is to work with an expert at Burns & Wilcox.
If a technology company has a general professional liability policy and a technology E&O policy, are they fully protected?
It really depends on the specific exposures that are unique within the risk. Often the combination of the two policies will ensure there are no gaps in coverage, so it is critical to evaluate all risk exposures and provide adequate coverage. At Burns & Wilcox, we take a risk management approach to providing coverage, and we’re here to help ensure your clients are fully protected.

At Burns & Wilcox our expertise becomes your expertise. Our marketing materials are designed to help you give your clients what they want to hear – yes to almost any hard-to-place-risk.


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