Technology E&O (Combined E&O + Cyber)

• Professional liability for negligence, mistakes, or failure to deliver IT services or solutions
• Cyber liability for data breach response, ransomware, and system downtime in a single form
• Particularly efficient for MSPs whose professional and cyber exposures are tightly linked
• Claims-made with retroactive date - protects work performed before the current policy period
• Common limits: $1M/$1M for independent consultants; $2M-$5M for firms serving larger New York clients

If you manage a client's network, a breach on systems under your management can generate both a professional liability claim and a cyber claim - a combined Tech E&O form covers both without a coverage gap.

Cyber Liability (Standalone)

• Data breach response: client notification, credit monitoring, forensic investigation
• Ransomware extortion payments and system recovery costs
• Business interruption from a cyber event affecting your own or client operations
• Regulatory fines and notification costs under New York's SHIELD Act
• Social engineering and funds transfer fraud where endorsed

A standalone Cyber policy is essential for New York clients in financial services and healthcare, who increasingly require proof of Cyber coverage before sharing sensitive systems access.

General Liability

• Bodily injury or property damage to third parties at your New York office or during client site visits
• Personal and advertising injury (libel, slander in marketing materials)
• Additional Insured endorsements for commercial landlords or co-working spaces
• Often bundled with Commercial Property in a BOP for firms with a physical office

GL covers premises and operational liability - not the professional errors that are the core IT exposure (that's E&O). Most New York client MSAs require both, since GL and E&O cover entirely different claim types.

Commercial Property

• Office space, servers, networking equipment, and furnishings
• Protection against fire, theft, and water damage at your New York location
• Business Income / Extra Expense if a covered property loss disrupts operations
• Equipment replacement cost valuation recommended given hardware costs

If you host any infrastructure on-premise, confirm your property limits reflect current replacement cost, not depreciated value. Many co-working spaces' master policies don't cover tenant equipment.

Employment Practices Liability (EPLI)

• Discrimination claims under New York State Human Rights Law, broader than federal law
• Harassment, wrongful termination, and retaliation claims
• Particularly relevant for growing tech firms scaling headcount quickly
• Defense costs and settlements in New York's plaintiff-favorable employment courts

Tech firms scaling fast in a competitive New York talent market face elevated EPLI risk during rapid hiring and inevitable performance-based terminations.

Workers' Compensation

• Required by New York law for any firm with employees
• Covers ergonomic strain, slip-and-fall, and other workplace injuries
• Employers Liability (Coverage B) protects against employee negligence suits
• Non-compliance fines can be significant; New York DOL audits employers actively

Even a desk-based New York tech firm carries WC exposure - repetitive strain injuries and office incidents are common claims.

Crime & Commercial Umbrella

• Crime: employee theft, fraud, or dishonesty - critical for firms with access to client systems or finances
• Commercial Umbrella: $1M-$10M+ excess liability above GL, Auto, and Employers Liability
• Umbrella frequently required by major New York corporate clients
• Crime coverage relevant for MSPs with privileged access to client financial or operational systems

A firm with administrative access to client networks or financial systems carries a meaningful internal-theft exposure that GL and Cyber don't address.

New York SHIELD Act

New York's SHIELD Act requires businesses to implement reasonable safeguards to protect personal data and notify affected individuals in case of a breach. For IT firms managing client systems or storing customer data, this obligation applies regardless of firm size, and Cyber Liability insurance is essential to cover the notification, credit monitoring, and forensic costs that follow.

Major New York Corporate Client Requirements

Companies like Google, IBM, and other major clients maintain vendor risk management programs with specific insurance requirements before granting systems access or signing a master services agreement - typically including E&O, Cyber, GL, and Umbrella minimums, plus Additional Insured and Primary & Noncontributory wording.

New York State Human Rights Law

New York's Human Rights Law is among the broadest state anti-discrimination statutes, covering more protected classes than federal law and applying to employers of any size. The competitive tech hiring market creates real EPLI exposure - claims can be filed in New York courts, where plaintiff-favorable outcomes are common in employment disputes.

New York Independent Contractor Classification

New York applies a strict test for worker classification. Tech firms relying on 1099 contractors or freelance developers should confirm classification carefully - a contractor who works primarily for one firm, uses the firm's equipment, and follows direction may not satisfy independent contractor status, exposing the firm to Workers' Compensation back-premium assessments.