Launching a tech startup is an exercise in controlled chaos and insurance can often
drop to the bottom of the list. Here are the key covers which ticks everything from
investors requirements to clients needs:
Directors and Officers Liability
The moment you take on investment from a third party, this cover is a must. This
cover safeguards founders, directors and any other leaders in the business from
personal liability from the decisions they make in running the business. This cover
buys you peace of mind as you concentrate on growing the business.
Key Person Insurance
Almost always a requirement when taking on third party investment. Key person
provides a lump sum into the business in the event of the death or a critical illness to
an influential person in the business to try and replace their value.
Professional Indemnity Insurance
The most important from an operational sense and the ones that almost every client
will stipulate the need for. Provides cover for professional mistakes and omissions as
well as negligence in the delivery of your services. For tech businesses this should
include technology errors to ensure if an incident occurs as a result of the fault of the
tech, cover will respond.
Cyber Insurance
For a tech business this should be purchased in conjunction with Professional
Indemnity as a professional error could result from a cyber breach. Particularly
pertinent if you are controlling or processing sensitive data. Increasingly becoming a
strict requirement on client contracts
Employers Liability
Using that money to grow the team? As soon as you have your first member of staff
on the PAYE system, you need Employers Liability. A statutory requirement which if
not purchased can lead to heavy fines. Covers employers negligence in the event of
injury or sickness to staff members
Public and Products Liability (General Liability)
General Liability to our US friends, Public and Products Liability provides cover for
physical third party damage and injury caused by you or your negligence. Particularly
important if you are providing hardware or any other physical products but often a
client requirement regardless.
Intellectual Property Insurance
Although there is some limited cover under Professional Indemnity for IP defence
costs, for a client with patents and other IP listed, crucial for risk management. Can
provide not only defence cover but pursuit for those infringing on your IP. Often in a
startup the value of the business is the IP and without protection, your business
could vanish.
Brunel Tech specialises in supporting high‑growth tech companies — from pre‑seed
to Series C and beyond. We help founders understand what cover they actually
need, avoid unnecessary costs, and stay investor‑ready at every stage.
Please drop me a message or send an enquiry through our contact form and we can
turn something quickly around for you.