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Ask HN: Insurance costs for a typical early stage funded startup
I'm curious about the sorts of insurance offered here in their small to mid-tier range:
http://foundershield.com
(Maybe not necessarily them, but that kind of insurance.)
* Liability
* Key man
* Errors and omissions
* Directors and officers
... and so on.
What does this typically cost? Just looking to fill in a spreadsheet with some good estimations. :)
Also has anyone ever researched or used RPX's "patent troll insurance?" Is this worth looking into?
- davismwfl 12y agoSo total we started off paying around $1,500-2,000/year. E&O is the most costly of course, but is rated also on your experience in the industry, any prior claims etc. Our E&O was around $750/year when we started which from asking others was pretty good price and gave us $1M in coverage. As you grow your insurance will go up, our general liability policy started around $250 and just went up every year based on revenue and number of employees etc. E&O is the same and as deals get larger you increase the limits and the cost goes up. I'd say when starting out if you put around $2k-$3k as a budget it is reasonable, partially depending on where you are physically located and your industry experience. Also, I have only ever used tier 1 companies for insurance, Hartford etc. That is just the way I was taught and we have never had an issue with them. Last time I used http://techinsurance.com http://techinsurance.com to get quotes etc, and we got great pricing from them. EDIT: BTW I am in Florida to give context.