# Startup Insurance by Corgi The Corgi team Jan. 10 2025  | 8 min read Startup insurance is a set of business insurance policies designed to protect founders, the company, and the balance sheet from common risks like lawsuits, security incidents, customer claims, and employment disputes. Most startups need a few core policies early, then add coverage as they hire, sign bigger contracts, and raise more capital. Corgi is built for technology companies and venture-backed startups. You can get the right coverages fast, with startup-specific underwriting and proof of insurance when you need it. ## Who this is for Corgi startup insurance is for VC-backed startups (pre-seed through growth), including SaaS, AI, fintech, healthcare tech, marketplaces, and developer tools. It is for companies: • Signing enterprise contracts with insurance requirements. • Hiring employees, executives, or adding a board. • Handling sensitive data, payments, or regulated workflows. ## When startups usually need insurance Most startups buy insurance at one of these moments: • Your first enterprise customer asks for COIs (certificate of insurance). • A customer contract requires specific limits for cyber, E&O, or CGL. • You raise a priced round and investors require D&O. • You hire employees and want protection from employment-related claims. • You store customer data or handle payments and need cyber coverage. • You add a board member or independent director and need D&O. ## What policies do startups need? There is no single 'startup insurance policy.' Startups usually purchase a bundle of policies, each covering a specific type of risk. ### Directors and Officers (D&O) Insurance What it is: Protects founders, executives, and directors from claims tied to management decisions. Common triggers: Fundraising disputes, shareholder claims, governance issues. ### Technology Errors and Omissions (Tech E&O) What it is: Covers claims that your product or services caused a customer financial loss. Common triggers: Outages, failed implementations, performance issues. ### Cyber Liability Insurance What it is: Covers security incidents, data breaches, privacy claims, and incident response costs. Common triggers: Breaches, ransomware, vendor incidents, privacy regulatory actions. ### Commercial General Liability (CGL) What it is: Covers third-party bodily injury, property damage, and certain advertising injury claims. Common triggers: Someone gets injured at your office or event, damage to third-party property. ### Employment Practices Liability (EPLI) What it is: Covers employee claims like discrimination, harassment, retaliation, and wrongful termination. Common triggers: Employee disputes, management claims. ### Hired and Non-Owned Auto (HNOA) What it is: Covers liability when employees drive for work in personal or rented vehicles. Common triggers: Employee runs an errand or drives to a meeting and causes an accident. ### Fiduciary Liability What it is: Covers claims tied to managing employee benefit plans (ERISA-related allegations). Common triggers: 401(k) plan administration disputes, fee allegations. ## A simple way to choose coverage by stage ### Early stage (pre-seed, seed) Most common starting bundle: • Cyber • Tech E&O (if you have customer contracts or services) • D&O (often once you have institutional investors or a board) • HNOA (if employees drive for work) • CGL (if required by lease or vendors) ### Series A and beyond Common additions: • EPLI (hiring risk rises quickly). • Higher cyber and E&O limits (enterprise requirements). • Fiduciary (benefits and ERISA exposure grow). • More robust D&O structure (board and investor scrutiny increases). ## Why startups choose Corgi ### Built for startup workflows Corgi is designed around moments where coverage is needed: contracts, diligence, procurement, and COIs. ### Coverage that maps to how startups operate Packages common lines like D&O, cyber, E&O, CGL, EPLI, HNOA, and fiduciary. ### Faster quoting and cleaner underwriting inputs Focuses on signals that matter for technology risk, meaning fewer dead-end forms. ### Proof of insurance when you need it Built to make the COI process simple. ### One place to manage it as you scale Structured so you can add coverages and adjust as your product, headcount, and customer base evolve. ## Common mistakes startups make • Buying only the cheapest policy and failing procurement later. • Waiting until the contract is on the table, then rushing coverage. • Skipping D&O until after the term sheet, then delaying the round. • Underinsuring cyber when data exposure is real. • Ignoring EPLI until there is a problem. ## FAQs ### What is 'startup insurance'? It is not one policy. It is a bundle of business insurance policies that cover common startup risks, usually including cyber, E&O, D&O, CGL, and often EPLI. ### Do startups need D&O insurance? Many venture-backed startups need D&O once they raise institutional capital, add a board, or sign agreements that require it. ### Do startups need cyber insurance? If you store customer data, process payments, run a SaaS product, or integrate with third parties, cyber insurance is often a key policy. ### What is the difference between CGL and E&O? CGL generally covers bodily injury and property damage claims. E&O covers financial loss claims tied to your product or services performance.