Top 5 Insurance Policies Every UK Tech Company Needs in 2025
In today’s fast-moving digital economy, UK technology companies face a unique set of risks — from cyber threats to client disputes. Having the right insurance coverage can mean the difference between a quick recovery and a devastating financial setback.
At Ignite Insurance Brokers, we specialise in protecting UK Tech businesses with tailored cover that goes beyond the basics. The top 5 insurance products for Tech companies in 2025 are listed below along with a brief description of what each cover will protect you for and a rundown of the varying cover types.
Professional Indemnity Insurance (PI) – Sometimes referred to as Errors & Omissions: Protects against claims of negligence, errors, or omissions and including IP infringement. PI insurance can come in 2 different cover levels, ‘Any One Claim’ and ‘In the Aggregate,’ with Any One Claim being the better cover as it will protect you up to the Indemnity Limit as many times throughout the policy year and In the Aggregate only covering up to the Indemnity Limit. If you are a Tech company, it is very important that you purchase Tech Errors & Omissions cover as oppose to standard Professional Indemnity as the Tech Errors & Omissions policy wording will give you protection for the software product in case of it causing financial harm to a third party, a bit like a products liability but for an intangible product.
Cyber Liability Insurance: Covers costs of data breaches, ransomware, invoice fraud and other cyber attacks. Like PI Insurance, can be quoted based on 2 different cover levels with Any One Claim being the better option. Also things to look out for on cover are the insurers cyber response, is it 24/7 and will the insurer monitor your network and the dark web for threats in the background, being able to alert you before an attack actually happens.
Public & Products Liability Insurance: Covers injury or damage caused to third parties. Should be Any One Claim as standard. Usual limits are £1 Million, £2 Million and £5 Million, can be higher if required though.
Employers Liability Insurance (EL): Legal requirement to cover your employees if they are injured or fall ill due to their work. Covers legal and compensation costs. Standard at £10 Million. Any One Claim as standard. Please note Founders/Directors are classed as an employee under a Limited company and if more than 1 employee, then EL cover must be purchased. Any one claim as standard.
Directors & Officers Liability Insurance: Protects company directors and officers from the financial consequences of legal claims made against them for alleged wrongful acts.This includes covering legal defense costs, settlements, and judgments related to claims such as breach of duty, errors, misleading statements and more. There are optional extensions to look out for namely employment practices liability and corporate entity. This policy type is usually any one claim as standard.
Whether you’re a startup or an established software firm, the right mix of insurance policies is essential. Ignite Insurance Brokers works exclusively with UK Tech companies to build packages that protect what matters most. Choosing the right broker is as important as choosing the right insurance. With Ignite, you get a partner who understands the tech industry inside and out — and can find policies that match your risk profile.Not all insurance brokers understand the technology sector. A specialist broker can save you time, money, and headaches by knowing which policies work best for your business model and also what types of covers you should have in place such as any one claim, as we know it is the better cover option and better suited to tech clients and of course, making sure that that our Tech clients all have the tech errors & omissions cover wording in place.
For more information please go to our Tech Insurance page where you can also apply for a Quotation:
