SAN FRANCISCO--(BUSINESS WIRE)--Embroker, the digital insurance company that's radically improving the way insurance works for businesses, today announced the release of its third proprietary digital insurance policy: Errors & Omissions/Cyber. The new policy completes a suite of digital insurance policies, custom built to fill critical gaps in high-growth technology companies’ coverage and mitigate their exposure to unique industry risks. The company released its first two digital policies--Directors & Officers (D&O) and Employment Practices Liability Insurance (EPLI)--in 2018.
Built with the nuances and concerns of the technology industry in mind, Embroker’s new E&O/Cyber policy offers technology companies coverage that would traditionally require as many as 20 endorsements (alterations), added manually with the assistance of a broker. Traditional brokers are not incentivized to spend the time necessary to address the acute coverage needs of high-growth technology companies, leaving many unknowingly exposed to risk.
Embroker has additionally eliminated multiple layers of unnecessary intermediation and complexity by automating the underwriting process with algorithms that intelligently price companies’ risk. All of this results in policies priced at approximately 20% less than a traditional policy that provides substantially less protection than Embroker's technology company-specific policies'.
Now, technology companies are protected against common industry scenarios, such as clients demanding and winning return of fees (“cost of contract”) and technology companies assuming the liability of their clients in a contract (“indemnity”). The coverage also addresses more nuanced claims, such as cyber business interruption and social engineering.
“The insurance industry is not set up to serve high-growth technology companies, which puts their ability to innovate at risk,” says Matt Miller, CEO and Founder of Embroker. “These companies are required to buy coverage to be operational, but the policies currently available to them weren’t built with modern technology companies’ needs in mind. They’re also priced to compensate for the inherent inefficiencies of an outdated and expensive insurance distribution system. We’re proud to bring technology companies a radically better alternative: custom-built policies that can be purchased in minutes, at a lower cost with far more tailored coverage.”
Embroker’s E&O/Cyber policy was designed for any technology company categorized as software as a service (SaaS), web development, or payment processing, as well as companies that handle sensitive data. It protects against claims that allege damages arising from technology services they provide. It additionally protects online companies that store credit card information, social security numbers and other personal information online in the event of data breaches, software outages, cyber theft, phishing attempts and related conflicts.
The new policy is available through Embroker’s self-guided, on-demand digital platform, where it’s delivered in approximately 60 seconds. Alternatively, companies can work with an Embroker expert, who specializes in the technology sector, to discuss their objectives for managing risk and understand how their policy will cover their needs.
All three of Embroker’s digital policies are reinsured by Munich Re.
Embroker is a digital insurance company that's radically improving the way insurance works for businesses. The company’s digital insurance platform, proprietary insurance products and data-driven advisors are now helping more than 2,500 companies improve coverage and reduce costs. Its suite of proprietary products, including the first ever end-to-end digital directors and officers policy, streamline the insurance supply chain. This enables Embroker to deliver instant quotes and reduce premiums by an average of 20%. Founded in 2015 and headquartered in San Francisco, Embroker serves business with 10 to 1,000 employees and has raised over $42M in funding from leading fintech investors.