Errors and Omissions Risks Checklist for Startups

Generic placeholder image
Carl Niedbala

COO & Co-Founder


We track down Tech Errors and Omissions policies for the majority of the companies we work with.  It’s extremely important coverage for anyone leveraging technology or social media, which most startups constantly do.   Even using things as simple as AWS or Facebook login can expose your company to a lawsuit,  and in a fast-paced, interconnected tech world that simply doesn’t accept any product failure, E&O-related lawsuits happen more than you might think.

Depending on where startups stand with regards to their risk management practices, the time to secure an E&O policy and the pricing of that policy can vary greatly.  This is due to the complexities of underwriting companies (like startups) that are usually a hybrid several different tech and non-tech functions.  And while startups usually can’t (and shouldn’t) have their own legal department, Chief Security Officer, or risk management consultant(s), there are some pretty basic things that can be done to mitigate certain risks and legitimize/secure your company.

That’s why we’ve developed a short but useful Errors and Omissions Risks Checklist that’s catered towards tech startups.  You can download it here.  The list isn’t supposed to be exhaustive, but it is supposed to give you an idea of practices or policies you may want to change and when you may want to get a second opinion on things (from outside counsel, for example).  It touches on contracts, quality control procedures, IP practices, and IT/Network security.  Limiting your exposure to risk in these areas will make your company stronger and ensure the best possible pricing on an E&O policy.

Go ahead and check it out to see how you’re doing on the E&O risk management front!

 

Download your Errors and Omissions Risk Checklist Here.

Related Articles

risk-management-process
May 12 • Directors & OfficersGeneral LiabilityRisk Management Tips

Understanding the 5 Steps of a Risk Management Process

Late-stage companies and small businesses need a risk management process — but how do you accomplish this task? Here’s some expert advice on the matter.

social-media-influencer
April 10 • Cyber LiabilityRisk Management Tips

Top 5 Social Media Influencer Lawsuits

A social media influencer often reaches millions of people, raising the stakes for the mid-market companies who hire them. Here’s how these risks unfold.

March 17 • Risk Management Tips

VC Insight: Understanding Late-Stage Investment Risks

Investing in late-stage companies is often viewed as less risky — but it’s still a venture. Let’s explore late-stage investment risks.

unicorn_companies_vs_zebra_companies
March 9 • Risk Management Tips

Unicorn Companies Vs. Zebra Companies: Which Is Better?

Unicorn companies vs. zebra companies: Let’s explore the similarities and differences to find which strategy is right for your business.

E&O_costs
March 2 • Errors & Omissions

Understanding Factors Impacting E&O Costs

Errors and omissions insurance has unique characteristics to protect your company — but what factors drive the cost of E&O coverage?

business_risks
February 24 • Risk Management Tips

How to Identify and Manage Your Particular Business Risks

High-growth companies develop at such a fast pace that risks are overlooked. Here’s a step-by-step guide to managing business risks.