Media liability insurance

A simple mistake made by your media or advertising business could cause financial harm to a client. If that client sues, the costs could be devastating.

For example, say you forget to include a message from a sponsor during a podcast. The sponsor files a lawsuit alleging breach of contract. When the case goes to court, your business has to pay legal defense costs and a costly court-ordered judgment.

A media liability policy helps cover legal costs related to your work performance. It can provide coverage related to:

• Work mistakes and oversights
• Missed deadlines
• Advertising injuries, such as libel and slander

You may see this policy referred to as professional liability insurance, errors and omissions insurance (E&O), or communications liability insurance, but all of these terms refer to the same type of coverage.

When you work in the media industry, you expose yourself every day to liability claims related to the content you produce. That means an increased risk of everything from trademark infringement to invasion of privacy.

Typically, commercial general liability insurance covers these types of claims, which are rare for most small businesses. But for advertising agencies and other content production companies, they are a daily risk.

Media liability insurance protects against allegations that your content harmed someone financially or caused emotional distress, whether by copyright infringement, defamation, or a similar claim.

If a client thinks you made a mistake or alleges that your work does not meet certain standards, you could be accused of negligence. This accusation could result in an expensive legal battle, especially if a client claims your media or advertising business caused financial damage. Media liability insurance helps cover your legal fees, even if you’re not at fault.

Project delays can have a significant impact on your client’s bottom line. If you are taken to court over a missed deadline, your media liability insurance policy could help pay for:

• Attorney’s fees
• Court-ordered judgments
• Settlements

Advertising injuries are typically excluded from general liability policies for media and advertising professionals due to the nature of their work.

Media liability insurance fills this gap by providing advertising injury coverage for risks such as:

• Defamation, both libel (written) and slander (spoken)
• Plagiarism or other intellectual property infringement
• Invasion of privacy, such as using a photo of someone without their permission or publishing private information

Note that this policy won’t cover criminal acts, such as willful misappropriation of intellectual property.

While media liability insurance covers several risks inherent in the media and advertising industry, it does not offer complete protection. Other key policies include:

General liability insurance: This policy can cover expenses related to third-party bodily injuries or property damage, including medical bills and legal costs.

Business owner's policy: A BOP bundles general liability insurance and commercial property insurance at a discount. It helps pay for common lawsuits and property damage.

Workers’ compensation insurance: Workers' comp is required in most states for businesses with employees. It can cover medical expenses and partial lost wages if an employee is injured on the job.

Cyber insurance: Cyber insurance can pay notification costs and other expenses related to data breaches. This policy is crucial for companies that handle sensitive data, such as credit card numbers.

Commercial auto insurance: This policy covers the cost of accidents involving work vehicles. Each state has its own laws for auto liability insurance.

Are you ready to safeguard your media or advertising firm with business insurance? Complete Insureon’s easy online application today. Once you find the right policy, you can begin coverage in less than 24 hours.