Insurance for EdTech

Over $4 million is the average price tag of a data breach. Without some sort of financial safety net, this massive hit often shutters companies within a matter of months. When it comes to edtech companies, data privacy is a top concern. Unfortunately, cybercriminals are only becoming more sophisticated, executing multi-tiered attacks on the most unsuspecting victims. Edtech companies are a prime target, and a cyber attack can shut down an entire school district in one fell swoop.

Both young and old learners demand a lot from programs, apps, and websites. As a result, edtech companies must offer resilient products to handle all the demands of learners. If a product fails or doesn’t perform as expected, it could disrupt a student’s learning experience, a classroom session, or an entire university’s educational program. Keep in mind that one of the main reasons why edtech startups fail—despite the global value of edtech being $252 billion—is that many are unable to keep up with the fast-paced digital shifts in the tech industry.

Technology integration is necessary for edtech to thrive. However, barely over 20% of schools are highly integrated. Furthermore, schools don’t always have adequate funding to implement new edtech programs. Navigating this climate can be tricky, and settling for less than a product is worth isn’t an option for edtech companies. Naturally, securing funding in this situation requires financial savvy.

According to a recent Gallup survey, “More teachers (64%), principals (73%) and administrators (66%) than students (42%) themselves say students would like to use digital learning tools more often to learn.” That said, some teachers and parents still aren’t on board with the idea of education technology. Sometimes it can be challenging to convince skeptics that edtech is genuinely beneficial to students and others.