ADVERTISING-WHAT'S THE RISK?

You should be aware that most Comprehensive General Liability forms include coverage for Personal Injury and Advertising Injury liability. Below is a definition and sample claim scenario related to Advertising. In my next post, I will address "Personal Injury".
ADVERTISING INJURY LIABILITY
"Advertising Injury" means injury rising out of an offense committed in the course of your advertising activities, if such injury rises out of libel, slander, defamation, violation of right of privacy, piracy, unfair competition or infringement of copyright, title or slogan.
COULD THIS BE YOU??
Willie Widget and several of his colleagues began a start-up company, Willie Widgets, Inc.(WW). WW makes widgets in a market sector populated by a handful of competitors. Willie and his engineers who design the widgets all worked together at a competing firm.
WW later implements a broad campaign to launch its new product, the Wonder Widget. A WW competitor is impressed with the Wizard advertising and notes that some of the functions of the product closely resembles theirs. The competing firm sues WW for piracy, copyright, and trademark infringement.
QUESTIONS
What if this scenario happened to your business? Have you secured the correct coverage?
If you are in the Advertising business, you should have a professional liability policy in-force. Professional media firms will not find coverage for their business activities under the commercial general liability form.
What if you only provide advice? Consultants who advertise their expertise and knowledge are subject to the same exposures as a firm that sells tangible products.
Make sure your business risk assessment is broad and comprehensive.
Discover the "not-so-obvious"!!!!

Is It Covered?????

Ron and Dee had each worked for a large company for 10 years conducting and organizing events. Late last year, each lost their job due to a company downsizing.
The prospects for finding new jobs were unfavorable and bills had to be paid and lives lead. So Ron and Dee decided to begin their own company and offer event planning and organizing services to clients.
With some savings and borrowed cash from family members, they launched their business. They built a website and several blogs. They worked hard to update the content, to keep it fresh and current. They published articles, participated on webinars and used every communication channel they could find to spread the word about their new company.
Slowly and steadily, interest grew and orders for their service developed.
On their website, they established a link to allow payment by credit card. Ron and Dee were relieved that the credit card vendor took in all the information and processed the payments. Each month, they began to receive their remittance.
Several months later, Ron and Dee received a certified letter containing a notice of suit. The suit claimed that the plaintiffs were the victims of identity theft, having their credit card information stolen while using Ron and Dee's website. The suit stated that as a result of Ron and Dee's negligence, their clients were seeking unspecified damages as compensation.
Rona and Dee are in a panic!!! They ask each other, "Do we have insurance for this?" "Will the insurance cover our legal costs?"
IS IT COVERED????
To find out the answer, visit: www.mfrisksolutions.com