Does your online business need business insurance? By Floyd Arthur http://carmoongroup.com

1. Does Your Online Business
Need Business Insurance?
By Floyd Arthur

2. If you own a small business
that operates on the Internet,
the question of whether your

3. online business needs
business insurance has
probably occurred to you.
Particularly if

4. you don’t have a bricks-and-
mortar store, you may
believe that business
insurance

5. simply isn’t worth the cost.
Sadly, many online
businesses have learned the
hard way

6. that this is not the case.

7. Does Your Online Business
Need Business Insurance?

8. What Kind of Business
Insurances Does an Online
Business Need?

9. The type of business
insurance required for your
online business depends to a
great

10. extent on what type of
business it is. If, for example,
you sell products online, you
will

11. need product liability
insurance to protect you in
the event that a product you
sold was

12. defective in some way.

13. If you provide a professional
service, such as consulting or
financial advice, you will

14. need professional liability
insurance to protect you
against claims that your
service or

15. advice caused a client
harm.

16. Additionally, any time you
do business on the Internet,
data theft is a always
concern. If

17. your clients are harmed
because your online database
was hacked, you may liable
for

18. damages if your security
protocols were lax. Business
interruptions can also occur
due to

19. malicious software, a server
malfunction or a cyber attack.

20. The Best Type of Business
Insurance for an Online
Business

21. The insurance industry has
been somewhat slow to
address the needs of online

22. businesses, so there is no
one-size-fits-all coverage that
suits every e-commerce firm,

23. nor is affordable coverage
available to address every
risk online businesses face.

24. Nonetheless, a business
owner’s policy, or BOP, is a
good place to start. A BOP
provides:

25. * Property insurance --
which covers your business
equipment, furnishings,
inventory and

26. office space in the event of a
covered incident, such as a
fire or theft.

27. * Computer operations
interruption coverage --
which covers lost business
income that

28. occurs as a result of
computer or server issues as
well as the cost of
replacement or

29. repair.

30. * Electronic data loss
coverage -- which covers the
cost to replace or restore
electronic data

31. destroyed or damaged as the
result a computer virus or
malicious code.

32. * Liability insurance --
which covers the cost of your
legal defense and settlement
costs if

33. you are sued for libel, slander
or advertising injury in
connection with information
on

34. your website.

35. * Electronic data liability --
this is an additional
endorsement to a BOP that
covers liability

36. resulting from electronic data
loss. It typically covers
incidents caused by an
“accident,

37. negligent act, error or
omission” but does not apply
to data theft.

38. Cyber insurance policies are
also available, which cover
many of the costs associated

39. with a data breach or cyber
attack. These include:

40. * Forensic investigations

41. * Breach notifications

42. * Public relations issues

43. * Credit monitoring for
affected customers

44. * Plaintiff lawsuits

45. * Regulatory defense,
penalties and fines, and
attorney fees

46. However, these policies tend
to be expensive, with
premiums ranging from
several

47. thousand dollars to over
$50,000 per year.

48. If you are the owner of an
online business, talk to an
experienced agent about your

49. business insurance needs. We
at Carmoon Group offer a
wide array of coverages at
very

50. reasonable cost. Give us a call
at 516-292-3780 to set up an
appointment for your

51. insurance review. Or if you
prefer, simply request a free
consultation online now.

52. We will get back to you
within one business day.

53. Visit
www.Carmoongroup.com
Now!