What Is Technology Errors and Omissions (E&O) Insurance?
Technology errors and omissions coverage can help pay when a customer claims your software, hosting, installation or technology advice caused financial loss. If you provide tech products or services, check each activity; cyber incidents and unrelated professional work need separate review. 2,4,5,1,7,3,6
What Does Technology Errors and Omissions (E&O) Insurance Cover?
A billing-software error or failed installation can cost a customer money even when no one is injured and no property is damaged. 4,5
If a customer says your technology product or service caused financial loss, technology E&O can help your business respond to the covered claim. 2,4,5Financial Loss From Products and Services
Ask whether the quote addresses a customer’s purely financial loss from a product or service problem, not only bodily injury or property damage. 4,5Compare the Activities Insured
Technology errors and omissions is a form of professional liability aimed at technology products and services; compare the activities insured rather than relying only on the policy label. 1,2| Situation to describe | Activity to match in the quote |
|---|---|
| Hosted billing software that miscalculates invoices | Software, hosting or cloud work you actually perform |
| Hardware installation that takes a shop offline | Installation, integration or hardware services |
| Advice given in a licensed professional practice | The professional services named in that quote |
Who Needs Technology Errors and Omissions (E&O) Insurance?
Consider tech E&O if you develop software, host systems, provide technology advice or install and integrate products for customers. 6
Technology Errors and Omissions (E&O) Insurance Coverage Examples
What happened
A Software Update Stops Customer Orders
A release breaks your customer’s ordering system, and they claim the outage cost them sales.
What happened
A Customer Demands Service Credits
After downtime, a customer demands contractual service credits and damages for an alleged development error.
How Do You Compare Technology Errors and Omissions (E&O) Insurance Coverage and Costs?
Match the Work You Actually Do
Describe each technology service you sell. If you develop software, host it and send technicians to install hardware, all three activities belong in the application. Coverage naming software development doesn't by itself establish protection for hosting or installation. 3,6
Limits, Defense Costs and Timing
Compare the each-claim limit, the aggregate limit, the retention, and whether defense costs reduce the available limit. 6 Ask whether the quote is claims-made, when a claim must be made and reported, what retroactive date applies, and whether an extended reporting period is available after the policy ends. 6,3,2What Contract and Cyber Questions Matter?
Contracts and Liability Caps
Bring customer contracts, licenses and limitation-of-liability clauses, and ask how the quote treats a claim that you failed to meet a contractual promise. 4,6Cyber Incidents Versus Failed Deliverables
Technology errors and omissions (E&O) concerns mistakes in products or services; cyber coverage addresses incidents such as a data breach or network-security failure. Check whether the quote includes one, the other, or both. 2,4,7How Does Technology Errors and Omissions (E&O) Insurance Compare With Related Coverage?
Compare technology errors and omissions (E&O) with professional errors and omissions, cyber, media and general liability so each concern (a failed deliverable, a licensed professional service, a data incident, a content allegation, or bodily injury and property damage) has an identified place in the insurance discussion. 2,4,5| Concern | Place in the discussion |
|---|---|
| A failed technology deliverable that causes a customer financial loss | Technology errors and omissions (E&O) |
| A licensed professional service, such as tax advice | Professional errors and omissions (E&O) |
| A data breach or network-security failure | Cyber |
| A content or advertising allegation | Media |
| Bodily injury or property damage | General liability |
What Do You Need for Technology Errors and Omissions (E&O) Insurance Quotes?
Prepare a description of products and services and how they generate revenue, sample customer contracts, quality-control and security practices, use of subcontractors, prior incidents or circumstances, and the limits you want to discuss. 6Describe Products, Contracts and Incidents
| Prepare | How to use it |
|---|---|
| Products and services, and how they generate revenue | Match the quote to consulting, programming, software, hardware, integration, installation, hosting or cloud work |
| Sample customer contracts, licenses and limitation-of-liability clauses | Ask how a claim that you missed a contractual promise is treated |
| Quality-control and security practices | Separate a failed deliverable from a data or network incident |
| Use of subcontractors | Identify whose work is being discussed |
| Prior incidents or circumstances | Give the broker a current picture |
| Limits you want to discuss | Compare each-claim and aggregate amounts, retention and defense-cost treatment |
Technology Errors and Omissions (E&O) Insurance: Key Terms in Plain English
Retroactive Date
A date used to determine which earlier work a claims-made policy can cover. 6,3,2
Aggregate Limit
The overall policy limit, considered alongside the each-claim limit and any defense costs that use it. 6
Technology Errors and Omissions (E&O) Insurance: A Policy Example to Compare
See Corgi's guide for an example of one provider's coverage terms and optional extensions.
Frequently Asked Questions About Technology Errors and Omissions (E&O) Insurance
Is Tech E&O the Same as Cyber Insurance?
Does Earlier Work Count When I Change Insurers?
Does Technology E&O Cover Every Breach of Contract?
More Professional Liability, E&O and Tech E&O Questions
Does Professional Liability Cover Bad Advice?
Yes, that's its core purpose: professional liability covers a client's financial loss from negligent advice, as long as the advice falls within the services your policy lists.
Does Professional Liability Cover Bodily Injury?
Usually no: bodily injury claims belong on general liability or a specialized policy, and many professional liability forms exclude them outright.
Does Professional Liability Cover Breach of Contract?
Only partly: it covers a contract claim that really alleges negligent work, but many policies exclude liability you took on only through the contract, such as guarantees.
Does Professional Liability Cover Copyright Infringement?
Some E&O forms exclude copyright, while certain technology E&O products add limited IP protection; the policy wording controls.
Does Professional Liability Cover Data Breaches?
Many E&O policies exclude some privacy and security events; cyber coverage may address breach response and liability under separate terms.
Does Professional Liability Cover Financial Loss?
Professional E&O may cover a client’s financial-loss claim from services, subject to the policy’s damages definition and exclusions.
Does Professional Liability Cover Legal Fees?
Often, for covered professional claims; defense costs, counsel selection, limits, and claim triggers differ by policy.
Does Professional Liability Cover Missed Deadlines?
A missed deadline may be covered if it is an error in insured services that causes covered client loss; delay penalties may be excluded.
Tech E&O Insurance Guides by State
- Alabama
- Alaska
- Arizona
- Arkansas
- California
- Colorado
- Connecticut
- Delaware
- District of Columbia
- Florida
- Georgia
- Hawaii
- Idaho
- Illinois
- Indiana
- Iowa
- Kansas
- Kentucky
- Louisiana
- Maine
- Maryland
- Massachusetts
- Michigan
- Minnesota
- Missouri
- Montana
- Nebraska
- Nevada
- New Hampshire
- New Jersey
- New York
- North Carolina
- North Dakota
- Ohio
- Oklahoma
- Oregon
- Pennsylvania
- Rhode Island
- South Carolina
- South Dakota
- Texas
- Utah
- Vermont
- Virginia
- Washington
- West Virginia
- Wisconsin
- Wyoming
Which Insurance Providers Offer Tech E&O Insurance?
Sources for Tech E&O Insurance
- Glossary of Insurance Terms. National Association of Insurance Commissioners; Professional Errors and Omissions Liability; Errors and Omissions Liability | Professional Liability other than Medical. Accessed 2026-09-16.
- Insurance and Bonding Guidelines. Georgia Department of Administrative Services; Professional Liability / Errors and Omissions p.6; Technology Errors & Omissions (Cyber Liability) §9 pp.7–8. Version: SPD-SP048 August 2025. Accessed 2026-09-16.
- Appendix J – Contractor’s Insurance Requirements, Information Technology Umbrella Contract – Manufacturer Based (Statewide). New York State Office of General Services; §4 Technology Errors and Omissions, printed p.6 / PDF p.6; claims-made tail note. Version: Group 73600 Award 22802; January 2018. Accessed 2026-09-16.
- Technology Errors and Omissions Insurance. The Hartford; What Is Technology Errors and Omissions Insurance?; differences between cyber liability and errors and omissions; How Technology Errors and Omissions Insurance Works With Contracts. Version: Page last updated September 19, 2024. Accessed 2026-09-16.
- DigiTech Enterprise Risk Management. Chubb; Coverage Synopsis > Third-Party Liability Coverage > Technology Errors and Omissions; Cyber, Privacy and Network Security Liability; footer product-summary disclaimer. Version: 17-01-0186 (Rev. 07/21). Accessed 2026-09-16.
- Chubb DigiTech Enterprise Risk Management Policy — Technology E&O, Cyber and Privacy Short Form Application. ACE American Insurance Company / Chubb; Claims-made notice p.1; §2 Nature of Operations product/service schedule pp.2–3; §7 Technology E&O pp.4–5; §9–10 current and desired coverage pp.5–6. Version: PF-48204 (10/16). Accessed 2026-09-16.
- Cyber Risk for Technology Companies. Travelers; CyberRisk Tech coverage includes… technology errors and omissions; businesses can choose cyber protection, E&O protection or both; E&O coverage helps address… errors, omissions or negligent acts in the performance of its services. Accessed 2026-09-16.