ERRORS AND OMISSIONS FAQs

Why you should buy Errors and Omissions Indemnity Insurance?

Errors and Omissions Indemnity Insurance is becoming an increasingly vital insurance for technology companies. Purchasers of IT are less tolerant of wasted expense and keen to blame their suppliers, whether or not their supplier is at fault.

Project disputes and high-value settlements are now not uncommon throughout Europe and the USA. For technology companies operating in these markets, this insurance is a 'must-have' for balance sheet protection. In India and across the globe Technology companies are demanding that their insurers deliver the right cover, backed by relevant expertise at fair prices.

IFFCO-Tokio General Insurance's Errors & Omissions (Technology) Policy has been specifically designed to safeguard the interests of IT/ ITeS suppliers, consultants and vendors operating in India against potential litigation due to failure of standard packaged software, deficiency in consultancy services leading to failed implementations and failure of managed/hosted services (BPO's) leading to delays, systematic errors, technology failures etc.  

How and when to lodge a claim?

You may believe that IT Projects often suffer from problems and that we would be inundated with notifications if each of these problems were notified. However, it is important that you bear in mind, scenarios such as unpaid invoices, missed milestones and an escalating level of client discontent conveyed in writing are all signals that all is not well with the project. Receiving a writ or other legal notice rarely represents the first awareness of a problem.

A written notice must be given to our Policy issuing office during the Policy period, when:

Any actual claim or threatened claim is brought against the insured.

The insured first becomes aware of a problem arising out of their business activity which is likely to lead to a claim or threatened claim.

What are the benefits of being covered by IFFCO-Tokio General Insurance?

  • Transparent and proactive approach to claims.

  • Close and pro-active relationships with our clients and their brokers.

  • 24X7 access to our dedicated claims managers.

  • External legal examination of your key contracts.

  • Access to our expert panel of lawyers on preferential rates.

  • Close coordination with your own lawyers.

  • Written claims guidance notes.

  • Constant knowledge sharing and inclusion in future industry events.

We deliver this because we share the same interest in mitigating your risks and expertly handling any possible claims to achieve the best possible outcome.

How and when to lodge a claim?

You may believe that IT Projects often suffer from problems and that we would be inundated with notifications if each of these problems were notified. However, it is important that you bear in mind, scenarios such as unpaid invoices, missed milestones and an escalating level of client discontent conveyed in writing are all signals that all is not well with the project. Receiving a writ or other legal notice rarely represents the first awareness of a problem.

A written notice must be given to our Policy issuing office during the Policy period, when:

Any actual claim or threatened claim is brought against the insured.

The insured first becomes aware of a problem arising out of their business activity which is likely to lead to a claim or threatened claim.