Why Web Developers Need E&O Insurance

As you know, there is more to web development than creating websites. The other part of the job is seeking clients, agreeing on a price for your services and making sure you get paid for your work. That aspect of the job can get stressful at times, but there is yet another source of stress. This is the possibility of getting sued by a client. There are many ways this can happen.

Trademark and Copyright Violation

If logo creation is one of your services, it isn't that hard to unknowingly create a logo that is very similar to that of another business. If your client gets sued for trademark infringement because of the logo you designed for him, you could get sued by your client.

There are other forms of trademark as well as copyright violations. You could purchase a domain name for your client that is similar to a trademarked name. The photos you use on a website may be copyright protected. The same could be true of the music you might have used on a video for your client.

Security Breach of a Client's Site

If a client's site gets hacked and it damages his business, you could get sued. It doesn't matter whether the security flaw was caused by your code or by a vulnerable content management system that you used for the site, it's all the same as far as your client is concerned: you are to blame.

The Client is Unhappy with Your Work

There are plenty of reasons for a client to be dissatisfied with your work. Perhaps you finished the site behind schedule, or the site doesn't have all the functionality as promised or your client failed to make sales from your website. The reason doesn't matter as much as the fact that you can get sued by a client simply because he doesn't like your work. Even if your client fails to win the suit, you still have to pay the legal fees.

Using strong contracts that specify the exact services delivered, as well as their deadlines, is a good first step to protecting yourself from lawsuits. However, a contract by itself won't guarantee immunity from litigation. Error and omissions (E&O) insurance covers you if you are sued because of mistakes made on your part or because of what you failed to deliver to your client.

It doesn't matter how proficient you are at what you do or how spotless your professional record is to date. It only takes one misstep on your part with a very difficult client. Don't risk your livelihood by doing business without E&O insurance.

Get the coverage you need. CallMitchell & Mitchell Insurance Agencyat (888) 512-8878 for more information on California business insurance.

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