Terms and service requires use cover sas provider under $X mil insurance policy
The terms and service requirement is unique enough to be found if searched so I don't want to list them here.
But the terms require we carry at least several million in security and privacy liability. The real kicker as they also require they be covered under this policy and by name be listed as a loss payee.
This site doesn't even have a public facing component, and doesn't deal with anything high risk.
Has anyone heard of such a crazy requirement.
This was also added to the terms and service without notification (which is their right under our agreement)
2 comments
[ 4.0 ms ] story [ 13.0 ms ] threadRequiring general liability insurance is normal in B2B service contracts.
A certificate of insurance naming the client as insured is ordinary paperwork…again for B2B contracts.
So is evidence of worker’s comp insurance or a statement of exemption.
It is the difference between providing a B2B service and selling a product…my understanding is product liability insurance is significantly more involved.
General liability insurance is not terribly expensive and just about any broker can provide it.
General liability insurance is usually a requirement for leasing commercial space as well.
Higher than normal dollar value limits can be covered by rider on existing policies.
Talk to your insurance agent. Good luck.
Honestly, the service they provide is not overly significant, this is solely a SAAS product, think a much shitty salesforce.com (which doesn't have this requirement)