Chief Underwriting Officer
When you run a business, there's nothing worse than realising you've spent your limited funds – and lost valuable sleep - over something that could have been avoided. We all know that accidents happen and things go wrong in business – that's something you have to get used to. But did you know that many of those annoying setbacks can actually be insured against?
Here's ten insurable business disasters, that might surprise you:
Stuff stolen from your co-working space
Despite their popularity, many old fashioned insurers still don't cover co-working – we know, it's crazy! Thankfully, Superscript has recognised the rise of co-working spaces (we're based in one ourselves!) and designed a business content policy specifically. We even cover property left unattended in a co-working space, provided it was stolen by forcible access to the building, an office, locker or desk drawer. And if you have desktop computers, they simply need to be attached to the desk with a Kensington Lock.
Infringement of your IP rights
If another company creates a similar logo, business or product name to yours, you might feel like you don't have any power (or cash) to challenge it. But before you give up on your hard work, check your professional indemnity policy. At Superscript, many of our professional indemnity insurance policies cover you up to £25,000 if you're prosecuting others for infringing on your IP. So you have the power to protect your identity if you need to. Check out our blog on what to do if you face a trademark or copyright dispute for more details.
In the age of instant communications and social media, sometimes things get published without enough thought.. And worst-case scenario, you could damage the reputation of another individual or business, and face claims for defamation. So, if you do ever find yourself in a sticky social situation, be sure to check your professional indemnity (PI) insurance policy, which you could find covers any legal fees and compensation. That's usually the case with Superscript' PI cover anyway.
Cyber lock down
Cyber-attacks are one of the biggest risks currently facing businesses and they can cause a whole host of problems for you and your team. If your systems are locked down by ransomware or a denial of service attack, you could be left unable to trade for hours or even days, costing you precious pounds in lost business. But what you might not realise is that this kind of business interruption can be covered under a comprehensive cyber liability insurance policy. In fact, the Superscript cyber security policy will reimburse up to £250,000 for lost income over a period of up to 3 months.
Talking of ransomware, you might be surprised to hear that your cyber policy can also cover you for ransom payments to hackers - and any other kind of cyber extortion for that matter. Again, the Superscript cyber security policy will reimburse up to £250,000 for payments made to hackers to end an extortion incident , so you'll get your precious data back and won't be left out of pocket.
In the horrible event that your business is hacked, there's a chance that you'll also face damage to your hardware and software, giving you repair or replacement costs, and reinstatement of data to worry about. A lot of people think cyber insurance only covers third party costs (i.e. damage or financial loss to other people), but in some cases, it also incorporates the first party costs you could incur. That can include getting your computer systems restored, and picking up the bill for necessary repairs or replacements.
It may have a funny name, but phone phreaking is serious business, that can drain your bank account in minutes. Similar to computer hacking, it involves somebody infiltrating your telephony system and making calls from your account, usually to extortionate premium rate numbers that they have set up. Then, of course, you're left to foot a sky-high bill at the end of the month, while they merrily run off with your cash. Scary stuff! But there's no need to lose too many nights' sleep over it, as phone phreaking can also be covered by cyber insurance.
When your business is hit by an issue, whether it's a cyber-attack, claim for defamation or copyright dispute, the biggest fall-out often comes from the reputational damage that you suffer as a result. The business world is littered with stories of brands ruined by one stray word or ill-thought out social media post, and your approach to PR can make all the difference. Well, listen up, because PR and crisis management support is often included in cyber, media liability and PI policies.
Even with all the effort you put into wowing your clients, you can still face disagreements and disputes - particularly when it comes to settling the bills. But if your client is dissatisfied and threatening to make a claim, insurance could be your saviour. Some professional indemnity policies will pick up the unpaid bills, including any amounts owed to subcontractors.
You might think that last minute print ad is a great deal, but what if you move too quickly and the client disagrees? You could end up with media space booked, without the necessary approvals and with nobody prepared to pay for it. Awkward! But if you've got media liability insurance, there's no need to panic, as chances are you're in the clear. If you can show you've done everything within your power to reduce or avoid the loss, and the client still refuses to pay, depending on your cover, your insurer may pick up the bill. Disaster averted!
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