As an online business, insurance is never on top of your hierarchy of needs unless you're trying to get a contract that requires it. But it's when a claim happens that you actually realize its worth.
Therefore, it’s very important to make a conscious decision to get your business covered early on.
Especially if you’re an online eCommerce business, you don't have to take advantage of all the insurance products out there but you need to be informed as to what they are and what your risks are if you decide not to insure yourself.
Why Online Businesses Need to Be Thinking About Getting Insurance
People can hack our government, the NSA, and other big corporations. And if you think that the third party that you got to help you manage your website and manage your data and exposure is enough to keep you safe, well, you’re wrong. You need some coverage to protect your business from risks of exposure. You certainly don’t want to be the next target for a data breach which could cost your entire fortune.
Why You Need to Get an Agent
An independent agent has the ability to go to several carriers where if you just went to one carrier, that's the only quote you're going to get. Whereas with an agent, they can access several insurance companies to get you the best quote and the best pricing terms out there.
How Traditional Businesses with Online Presence Can Protect Themselves
There are a lot of traditional brick-and-mortar businesses out there that also have some online presence where they market their information on the website. This is where they could have a gap in their insurance. They have a traditional policy but they really haven't taken that next step to buying that cyber e-commerce protection. With the online industry, you’ve got a whole lot of exposure that has nothing to do with your traditional policy coverage. With a cyber policy, these gaps can be covered because an online entrepreneur can get covered for that exposure.
If you want to learn more about how you can protect yourself and your online business, check out 016: Insurance and Protecting Your Online Business with TIS
