What’s media liability insurance, and does my business need it?
The proliferation of digital media has seen more consumers transition into the online world. In response, many companies have taken to improve their digital presence.
As a business owner whose goal is to support these companies by helping to create or market media, you must understand the associated risks. When it comes to producing videos, photography, articles, or advertisements, there’s always the small chance that a mistake can occur. These mistakes can have significant consequences that result in a lawsuit.
One way to keep yourself and your business protected is through an insurance solution like media liability insurance. This insurance plan essentially helps financially protect your company from third-party liability claims.
Let’s dive deeper into the specifics of media liability insurance and see how it might benefit your small business.
Understanding media liability insurance
Many small business owners aren’t probably as familiar with media liability insurance as other types of coverage such as workers’ comp or commercial auto insurance. The easiest way to explain media liability coverage is to think about it as a more specialized version of errors and omissions, also known as professional liability insurance.
Like errors and omissions, media liability insurance protects your business from third-party claims that you made a mistake while providing a professional service.
What is the function of media liability?
The primary function of media liability insurance is to provide protection specifically for companies that provide media services. The plan generally extends coverage to any of the following types of claims made by a third party:
- Invasion of privacy
- Emotional distress
What are the benefits of media liability coverage?
There are many benefits of having media liability coverage, but the biggest is peace of mind. As a business that provides clients with media solutions, there’s the chance that your client won’t like what you deliver. In the rare event they sue you for not providing the service you promised, misappropriation, or invasion of privacy, the policy would cover your company.
Media liability insurance vs. E&O insurance vs. cyber insurance
Generally, when it comes to companies that provide media, you should strongly consider 3 different coverages: media liability insurance, E&O insurance, and cyber insurance.
Let’s take a look at what each coverage provides.
- Media liability insurance: Provides specialized coverage for media producing companies against third-party claims of advertising injuries like slander and libel. It also covers lawsuits for work mistakes, oversights, or missed deadlines.
- Errors and omissions insurance: This is essential coverage for any business that provides professional services. The insurance protects against any claims of negligent actions or inadequate work made by a third party.
- Cyber liability insurance: Seen as a niche insurance product, cyber liability insurance protects your business when a data breach results in your customer’s sensitive information being stolen.
Industries that benefit from media liability insurance
There are many companies throughout several industries that can benefit from having media liability insurance. Generally, if you create or play a role in creating media content such as photography, books, web content, or music, you should consider getting the coverage.
Below is a list of companies and individuals who would benefit the most from a media liability insurance policy:
- News broadcasters and television broadcasters
- Advertising agencies
- Social media consultants
- Digital media distributors
- Social media influencers
- Film producers
- Digital media companies and media professionals
- Newspaper publishers
- Podcast hosts
How much does media liability insurance cost?
When it comes to the cost of a media liability insurance policy, many things can affect the price. For example, where your company is located, and the type of industry you operate in could significantly impact the insurance rates you receive.
See what rates you qualify for with a quick quote from Huckleberry today.
Frequently asked questions: Media liability insurance
What is media liability insurance coverage?
A media liability policy is a niche type of error and omissions insurance coverage. It’s generally used by small businesses that specialize in providing media content creation or marketing for clients. The coverage will typically protect a company from third-party liability claims such as defamation, plagiarism, copyright infringement, and invasion of privacy.
How much media liability insurance do I need?
It can be hard to determine precisely how much media liability coverage your company will need. Many factors need to be considered, including the type of business you operate, where your company is located, the number of employees you have, and your industry.
What is media liability on a cyber policy?
When looking at a cyber policy, you may notice it has a section for media liability. The media liability in these policies provides coverage for different types of trademark infringement of intellectual property infringement. The media liability coverage often extends to print or digital advertisements and posts on social media channels.
What is the difference between media liability and general liability insurance?
The main difference is that while a standard general liability insurance policy provides coverage for advertising injury, it often doesn’t cover all the risks facing media companies. In fact, without adding coverage like media liability, your business can still be held responsible for offenses like libel and slander if you are involved in any form of publishing, advertising, or broadcasting.
How to get affordable small business insurance today
As customers continue to consume more and more media content through social media, television, and print advertising, businesses will need to have a more prominent media presence. The next five years will be full of growth opportunities for small businesses that offer media support for companies.
To make sure you are prepared to handle the new business and challenges that await, you will want to make sure you have the proper small business insurance in place.
Huckleberry not only offers affordable media liability insurance policies but several other small business insurance options as well. Get a free quote today.