Software Developer Insurance for Freelancers and Small Tech Teams 
Do software developers need professional (E&O) and cyber insurance?
Software Developer Liability Insurance That Protects Your Code and Clients
As a software developer, you face unique risks, like coding errors, missed deadlines, or client disputes. With tailored software developer insurance, you can protect your work, reputation, and income. Whether you freelance or run a tech firm, software developer liability insurance offers coverage for claims tied to performance, data, and contracts, so you can focus on building great software with confidence.
Business Owners Policy Insurance
Business owners policy insurance bundles commercial property insurance and general liability insurance coverages into one affordable package for small and mid-sized companies.
Best for
Customer bodily injuries
Damaged client property
Repair stolen property
General Liability Insurance
General liability insurance is essential for small businesses looking to protect themselves against common risks like bodily injury, property damage, and legal claims.
Best for
Slip-and-fall accidents
Damage to a customer's property
Claims of advertising injury
Workers Compensation Insurance
Required by law in many states, workers compensation insurance helps cover medical expenses, lost wages, and rehabilitation costs for on-the job injuries
Best for
Injuries sustained while working
Work-related illnesses
Medical expenses and rehabilitation costs
Professional Liability Insurance
Professional liability insurance, also known as errors and omissions insurance, is designed to protect your small business from claims of negligence, missed deadlines, or unsatisfactory work.
Best for
Claims of missed deadlines
Lawsuits of inaccurate advice
Claims of misrepresentation
Cyber Insurance
Cyber insurance protects against the financial fallout of stolen data, system outages, and regulatory fines. It's strongly recommended if your businesses handles credit card numbers, email addresses, and other personal information.
Best for
Protect against hacking
Covering breach notification costs
Protections against malware
Commercial Auto Insurance
Commercial auto insurance covers the cost of accidents involving a vehicle owned by your business. Most states require this coverage for vehicles owned by a business.
Best for
Bodily injury in accidents
Property damage in accidents
Protections against uninsured motorists
Do Software Developers Get Insurance?
Yes! Every project, deployment, and client contract carries risk. That’s why Gild Insurance’s software developer liability insurance protects your services, your clients, and your reputation.
Our affordable, flexible software developer liability insurance coverage options helps protect against:
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Programming Errors and Bugs: Covers mistakes in code or system configurations that lead to client losses.
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Missed Deadlines: Helps protect you if delays cause financial harm to a client or breach a contract.
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Data Loss or Breach: Provides coverage if client data is lost, corrupted, or exposed.
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Service Disputes: Covers legal costs if a client claims your work caused damages or failed to meet expectations.
Understanding Key Software Developer Insurance Coverages
Whether you work independently or manage a growing development team, Gild offers expert-backed software developer insurance coverage options that grow with your business and supports your goals. With Gild, reliable protection is always part of your build.
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Tech E&O Insurance – Protects against client claims of mistakes, omissions, or negligence.
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General Liability Insurance – Covers third-party property damage or bodily injury
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Business Owners Policy– General liability and business equipment coverage all in one.
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Workers’ Compensation Insurance – Covers medical bills and lost wages for injured employees.
- Cyber Liability Insurance – Safeguards against digital threats, ransomware, and data breaches.
The best way to find your software developer insurance is to get a free, online quote in minutes!
The Biggest Risks In Software Development
Software development comes with unique challenges that can affect your business, reputation, and bottom line. Understanding these risks, and the insurance solutions available, helps you stay protected and confident:
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Coding Errors and Omissions – Mistakes, bugs, or oversights in your work can lead to client claims.
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Data Breaches and Cyber Threats – Handling sensitive client data exposes you to ransomware, hacks, and cyber liability.
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Third-Party Property Damage or Injury – Accidental damage to client property or injuries at your workplace can trigger costly claims.
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Employee Injuries – Team members can get hurt on the job, leading to medical bills and lost wages.
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Equipment Damage or Loss – Laptops, servers, and other essential tools can be damaged or stolen, interrupting projects.
Get The Best Insurance for Software Developers Today!
Protecting your business goes beyond managing code, it’s about safeguarding your reputation, your clients, and your livelihood. Gild Insurance, an expert in small business coverage, provides tailored policy options for software developers and stands in your corner every step of the way. From errors and cyber threats to equipment loss, we make sure you have the protection you need to focus on what you do best, building software and serving your clients.
Frequently Asked Questions
Yes! These are often essential:
- Professional Liability (E&O or Tech E&O) protects you if software error, missed specifications, or system downtime causes client financial loss.
- Cyber Liability Insurance is crucial when you handle sensitive data or connect to client systems; it covers data breaches, legal defense, incident notification costs, ransom demands, and recovery.
Both types are increasingly required by clients before contracts are signed—especially in regulated industries like finance or healthcare.
How much does software developer insurance cost?
On average, Gilders pay between $500-$1200 a year for protection.
Cost can vary depending on your:
- Location
- Size
- Value of Equipment and Tools
Gild will work with you to find the right tailored coverage that fits your budget and your needs.
Is general liability insurance required for software developers or clients?
Sometimes—here’s when it's needed:
- Clients or employers often require it as part of contract terms, venue access, or onboarding protocols.
- Landlords may require it if you invite clients to your office or studio.
- Legal mandates vary by state, but liability insurance is a best practice even if not legally required.
Carrying general liability helps you meet client expectations and protect against everyday risks—such as office accidents or client injuries.
What types of insurance does a software developer need?
Software developers often require a combination of policies to protect both services and assets:
- General Liability Insurance: Covers third-party bodily injury or property damage incidents, such as a client tripping over office equipment.
- Professional Liability (E&O): Protects against claims of mistakes or faulty code that result in client losses.
- Cyber Liability Insurance: Covers data breaches, ransomware incidents, privacy violations, and related recovery costs.
- Business Owner’s Policy (BOP): Bundles general liability and commercial property insurance—and typically includes business interruption coverage—for greater value.
- Workers’ Compensation Insurance: Required if you have employees; covers injuries like repetitive strain or falls.
These coverages form the foundation of protection for developers who handle data, deliver code, and operate from offices or client environments.
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