IT liability insurance is a policy that is there to cover your business if a claim is made against your business due to the failure of your IT products. If a client feels that an IT based product that you have provided them has not worked effectively and as a result, they have had damages to their information, belongings, or personal being, they may put in a complaint against your business.

Your IT liability insurance is there to protect you if your customer or client makes a complaint against your business and the IT related programs, software, or apps that you have provided to them.

If the service or product that you have provided to them is found to have been inadequate and resulted in harm, damage, or loss of financial gain for them, your insurance may be able to provide them with compensation.