Insuring Open Source

Using open source software exposes organizations to a number of risks not typically encountered with proprietary software, and a group of companies is now offering policies to address that risk. Kiln Risk Solutions, which is a division of Lloyd’s of London, is working with Miller Insurance Services and Open Source Risk Management to provide coverage for the kinds of claims that have been seen in recent years over open source technologies. Claims concern issues such as copyright, whether proprietary code is included in an open source application, and failure to meet the terms of open source licenses. Linux operating systems, for example, fall under something known as the General Public License, and organizations using Linux must follow the terms of that license. In some cases, the new policies being offered for open source might cover the costs of bringing code into compliance with applicable licenses.

ZDNet, 31 October 2005