 | View Full Version : Interesting: Insurance for downtime? RobTheGolfer 07-30-2002, 06:13 PM I have heard some more of the larger hosting companies have insurance that pays the refunds to their clients if they have more downtime then they guarentee. This is how some hosts offer 100% uptime guarentees. What are some of the insurance companies? Lurleene 07-30-2002, 06:49 PM Yeah, interesting topic. Does anyone also know what such a plan would cover? Such as refunds, hardware, labor (if you colo remotely), etc.? MaB 07-30-2002, 09:43 PM lol, i already feel like tripping over some wires by mistake.... freeva 07-30-2002, 10:05 PM Originally posted by MaB lol, i already feel like tripping over some wires by mistake.... LOL. Perfecthost 07-31-2002, 01:05 AM Here are some related articles: http://www.newarchitectmag.com/documents/s=2450/new1017879012973/ The second page gives a short list of insurance carriers. http://www.esmartcorp.com/Resource%20Articles/ar_surcharge%20for%20insecurity.htm http://www.infosecuritymag.com/articles/november01/industry_cyberinsurance.shtml -Lamar VapoRub 07-31-2002, 01:59 AM This type of insurance doesn't come at a cheap/affordable price. Phoenix 07-31-2002, 11:45 AM Actually, there are two different concepts mixed together here. Service Level Agreements (SLA's) are basically insurance policies, in that you pay a premium to the company providing the service and if they fail to keep their end of the bargain they have to pay out. Cyberinsurance is something that the customers get on their own. It pays out to them if their service provider fails them. And, no, neither option is cheap. Not every business is going to require that they be compensated if their site is down, only those who rely on it as a critical part of their revenue stream or infrastructure. These companies are not in the market for cheap hosting. JayC 07-31-2002, 06:12 PM Originally posted by Phoenix Actually, there are two different concepts mixed together here. Service Level Agreements (SLA's) are basically insurance policies, in that you pay a premium to the company providing the service and if they fail to keep their end of the bargain they have to pay out.Actually I think what Rob is referring to is a policy that the company offering the SLA would have to back their offering -- so yeah, it is a mixing of the two concepts you mentioned. It's invisible to the enduser, who only know that they're collecting on the SLA, but to the company offering that agreement it works almost like reinsurance in the traditional market. Cyberinsurance Ugh. Could there be a worse term for it than that? "Data insurance" is good enough for me. :) RobTheGolfer 07-31-2002, 06:16 PM Yeah I am sure larger companies such as Verio and Rackspace have this kind of coverage. |