Tech Companies: Take Advantage of Your Insurance Broker

By Travis Holt

What a risk consultant can do for you other than placing an insurance policy once a year

Brush Creek Partners Golfer Andrew Yun after the Zurich Classic with his partner Whee Kim

Founders, CEOs, and CFOs hate to write a check each month for their insurance premiums. When choosing a broker, it’s important to hire a risk consultant who can help you manage your overall risk profile. Insurance is only one piece of the puzzle and a good risk consultant can help you with your overall risk management strategy. By finding a broker who will help you reduce your overall risk, you’ll feel better about your insurance spend.

Here are three things your broker should be doing in addition to placing your insurance policies each year:

  1. Contractual risk review — This is critically important and something you must do. It’s impossible to analyze your risk unless you understand what risk you assume from your clients and transfer to your critical technology vendors. Here is a link to a recent webinar we hosted with our TechAssure partners on negotiating technology contracts.
  2. Data breach response planning — It’s important you think through your data breach response plan ahead of time. Being prepared for different types of breaches will help minimize the cost of the breach and impact on your balance sheet.
  3. Investor introduction — Your broker should have a great rolodex of venture capital, private equity, and family office contacts who invest in technology businesses. When you’re looking to raise your next round, make sure they know what you’re looking for and can introduce you to potential funding partners.
  4. BONUS — some brokers partner with PGA Tour players and you may be able to learn how they’ve become the best in the world at their sport.