E-Commerce Businesses and Business Insurance

Companies that sell or are active on the Internet may face a unique set of risks which should be factored into their overall California commercial insurance package. Internet-based companies may run the risk of being the victim of denial of service (DOS) attacks on their server or have their data corrupted through virus attacks. There may also be the very real possibility that someone may leave slanderous comments on your website or social media, leading to court action from perceived damaged parties.

E-commerce is still a new form of trading and many traders may consider that insurance against loss through computer fraud, for example, is not worth taking out. However this should be balanced out against the risks faced by online companies and the possibility of damage great enough to closing down the firm altogether.

One way for small to mid-sized companies to financially protect themselves against such Internet-related risks is to consider a Business Owner’s Policy (BOP) which has been tailored to suit e-commerce firms. This type of California commercial insurance can be tailored to suit the special risks facing Internet based businesses or those with a significant and active online presence. Our agents can help with answers to queries on this form of coverage.