Before the first customer
In the earliest days a company may carry little more than general liability, which landlords and co-working spaces often require. The risk of a product failing has not yet arrived because there are no paying customers relying on it. This is a good moment to put the company's legal structure, contracts template and security basics in order, since each one affects how the first policies are underwritten.
First enterprise contract
The first customer with a procurement team usually changes everything. Their security questionnaire and master agreement will require tech errors and omissions and cyber liability, at stated limits, with a certificate of insurance as proof. Having these in place before the contract arrives avoids a delay at the moment you most want to close the deal.
After a venture round
A funding round brings a board and investors, and with them the expectation of directors and officers liability, which protects leadership against claims about how the company is run. As headcount grows, employment practices liability becomes worth carrying as well, covering claims such as wrongful termination or discrimination. Investors frequently ask about both during diligence.
Scaling up
As revenue grows, customers ask for higher limits, and the company's own exposure grows too. At this stage a program often adds umbrella or excess limits, intellectual property or media liability if the product generates content, and crime coverage for fraud and funds transfer risk. Reviewing the program each year with your broker, and each time a major contract is signed, keeps it aligned with the business.
- Pre-revenue: general liability, and a clean contract template.
- First enterprise customer: tech E&O and cyber with a certificate ready.
- After a funding round: directors and officers, and employment practices.
- Scaling: higher limits, umbrella, intellectual property and media, and crime.
Last updated October 22, 2026. Written by the Alton Risk placement team.