Website Insurance Overview
One of the most overlooked insurance policy coverage for business is media liability. For any business who has a website, whether you are a technology company or not, you need to insure against media, publishing, advertising, patent and copyright infringement liability. Consider these potential coverage’s.
- Specially crafted Cyberspace Activities.
- Combined Content and Errors, Omissions & Negligent Acts Coverage.
- Personal Injury
- Copyright Infringement
- Trademark Infringement.
- Unauthorized Access – including theft of customers credit card data.
- No Punitive Damages Exclusion (where allowed by law).
- 60 Day Automatic Coverage for Wholly-Owned Entities Created or Acquired during the policy period.
Insurance policy is designed for companies whose primary business focus is the dissemination of information and/or performance of services utilizing on-line technology. The following is a list of the more popular classes that may be written.
This list is not all-inclusive.
- Web Site Owners
- On-line Services
- Internet Access Providers
- Web Site Developers, Designers and Consultants
- Web Hosts and Administrators
- Bulletin Board, Chat Room, Forum and News Group Hosts
- Cyberspace Software Developers
- Interactive Electronic Environments
- Internet Content Providers
- Intranet/Network/Extra Net Hosts
- Managers & Consultants
- Search Engine Providers
- Electronic Commerce Providers
Cyber Insurance Coverage
Privacy and Security Liability.
If you maintain private employee or customer data like credit card numbers, you are liable if the information slips out because of faults in your systems or theft by hackers or malicious employees. Privacy and security liability coverage also protects you from costly corporate claims from businesses like banks and credit card issuers, who can sue even if the losses don’t occur inside your shop.
Covers costs for restoring lost or corrupted data, and getting your systems back up and running. Some carriers include public relations coverage to help defray the costs of consultants and advertising to rebuild your reputation after an incident.
Denial-of-service attack and lost income coverage kicks in if you lose revenue after an attack or when a service provider, such as a web host, is shut down by a cyber attack, has a glitch or goes out of business. It also helps defray costs of restoring valuable data and repairing systems.
People threaten your computer systems or web site, then demand money or goods to call off the threat. Extortionists increasingly target small businesses because of their perceived inability to fight back, says Economidis. Cyber extortion policies often cover the settlement and the cost of hiring a security firm to track down the perpetrators.
Media Liability Insurance Coverage
Coverage protects you from charges of libel, slander, copyright and trademark infringement for content, photos, and slogans you use on your web site, and those posted on bulletin boards and chat rooms by visitors. It also covers liabilities associated with banner ads on your site for other businesses Although the First Amendment provides important defenses to the news media, the costs of vindicating those defenses in court can be staggering. In addition to defense expenses, jury awards against news organizations can be significant. Protects the insured against claims arising out of the gathering and communication of information.
It’s better to evaluate your coverage in the conference room than in the courtroom. A sound media liability insurance policy is essential.
Peter Green Insurance Agency LLC is an independent agent headquartered in Orange County, Ca.
Serving businesses throughout Los Angeles, Orange and Riverside Counties.