How do uptime losses differ from incorrect-output losses?

Short answer

An outage concerns availability, while an incorrect output concerns what the service delivered. Both need concrete consequence and contract facts; do not assume the same policy provision addresses them.

An illustrative example

A service stays online but produces incorrect invoice totals.

This is a hypothetical situation, not a real customer outcome or a coverage determination.

Three facts to prepare

• Failure type
• Customer impact
• Contract terms

Use a brief, accurate summary. Separate confirmed facts from assumptions; keep passwords, identity numbers, private customer records and confidential documents out of an initial marketplace request.

A question to bring to the right professional

How would the wording distinguish availability from performance errors?

Begin with the service a customer buys and the consequence of failure. Separate a provider's own work from third-party components, internal AI use and customer-configured actions. A concise service map helps a professional examine actual forms; it does not establish available coverage.

Sources and scope

• Travelers: technology errors and omissions risk examples

  Insurer-authored context on technology service allegations and differences in policy wording. Product descriptions apply to that source; they are not LunarQuote offers or evidence of a partnership.

• NAIC: cybersecurity and insurance

  General commercial cyber context; the NAIC describes cyber policies as customized. This source does not decide coverage for an AI scenario.

Sources supply the stated background, not a determination about the illustrative case. The example, checklist and discussion prompt are LunarQuote educational material. Source links checked October 5, 2026.