business insurance

Digital marketing agencies are businesses like any other. And as such, they should have good business insurance while they go about their day-to-day operations. There are several damages, both financial and physical, that can occur that can put an uninsured business out of commission for good. So, there are several different types of business insurance that something like a digital marketing agency should at least consider. The post covers all the essential business coverages for those in the digital marketing business, the damages that are all too common, and how much it costs an agency on average. 

Business Insurance at First Glance

The main goal of business for most businesses and industries is to financially protect the company and operations in the event of injuries on-site, damaged property, legal fees, and data breaches. The following are different types of business insurance that a digital marketing agency should at least look into:

    • General liability – This is the coverage that most refer to when they simply say “insurance.” In a business setting, general liability insurance is applied to the customers. The customer is often a business’s number one priority, especially if they are in the customer service industry. General liability is used to cover injuries to clients while at offices or worksites, damage to the clients’ property while a job is being performed, and any ensuing lawsuits. 
    • Errors and omissions – Sometimes, mistakes can happen with something like a digital marketing campaign. Examples of these pitfalls include mistakes in marketing, late materials that arrived after the deadline, and negligence accusations. 
    • Cyber liability – A lot of businesses do their work wirelessly through the internet or their own database. There is always the chance of there being a breach or cyberattacks, and you naturally would want insurance for such cyber hazards. Coverage includes protection from lawsuits regarding cyber discrepancy, notifying clients, and fraud detection. 
    • Business owner’s policy – A business owner’s policy is a bundle of both general liability coverage with commercial property coverage. This coverage insures not only your clients but also your office or headquarters you meet them for a job. Any stolen or damaged property from your location is also protected by a business owner’s policy. It is highly recommended that anyone in charge of a business, large or small, should consider it. 
    • Worker’s compensation – Another major business insurance that all business owners should at least consider is worker’s compensation. This covers any liability damages to your employees, such as being injured on the job, wages while they are unable to work, and any related lawsuits. No business should truly be operating without this, as it is often required. 
  • Fidelity bonds – There is also the chance of employee malpractice when running a business. They may steal from a client, unlawfully access their information, fraud, and other illegal and dishonest actions. This coverage is also called the employee dishonesty bond for this exact reason. 
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Business Insurance Coverages For Digital Marketing Agencies

The previously mentioned business insurance coverages should be considered by every business. When it comes to digital marketing agencies, there are some instances of business coverages that agencies such as these simply can’t operate safely without. Every digital marketing company should consider having:

  • Media liability – Digital marketing business is driven by the content they produce and often put online for advertising purposes. Liability damages can arise from this if the content in question is litigated for libel, slander, or copyright reasons. While general liability will cover personal liability, it does not do the same for marketing and promotional content due to the higher associated risk. Lawsuits can severely impact any business and require a lot in coverage amounts as well. Essentially, this is liability coverage for the content the agency puts out. 
  • Commercial property – Marketing agencies often have an office or headquarters location like most businesses. This is where commercial property insurance comes in. This covers a wide range of damage to your business location from structural damage, contents within, and any customer property left on the operating grounds. 

How Business Insurance For Digital Marketing Agencies Are Priced

Insurance is hard to narrow down when it comes to costs because everyone pays a different amount for their coverage. When it comes to business insurance, factors such as business size, type of industry, location of operations, employees, and past claims history, business practices that include higher risks will typically cost more to insure as a general rule of thumb. Take a look at the size of your digital marketing agency in order to see at least where you may be standing when it comes to Business insurance rates. The risks of marketing agencies are usually within the content they produce, be it copyright or unintended slander. That is why it’s important to consider the marketing agency-specific coverage we’ve gone over.   

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Featured image by Smartworks Coworking on Unsplash.com

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