Insurance on the Social Media Highway

April 25, 2011  |  SM Trends, Social Media for Business

Drive a car?  No question you need insurance, right?  Well, looks like you might need insurance to drive the Social Media highway, too.  Sources say so many people are posting inappropriate comments on Twitter and Facebook these days, a new business has sprung up to protect us all from lawsuits… “Cyber Insurance”.  Right now, U.S. corporations are the major clients.  But individual insurance could be on its way sooner than you think.  Slip into the driver’s seat, and I’ll tell you why.  (More…)

Imagine.  You have the poor judgement to call your boss a terrible name in a post on your Facebook page.  He or she sees it and sues you for defamation. If you’re willing to pony up the premium, you just might be covered.  How about this scenario?  You’re a high profile rock star… Oh I don’t know… Let’s say Courtney Love.  You post some nasty things about a fashion designer  for every one of your 40,000 Facebook followers to see.  Next thing you know, you’re handing over nearly half a million dollars in damages to the fashionista.  If you’d had insurance, you’d be spending that money on whatever it is rock stars usually spend their money on instead.

Officials say insurance for individuals is probably about five years down the road.  Right now, it’s all corporate business.  Major companies are paying huge dollars to protect themselves from lawsuits over privacy issues, defamation, and intellectual property disputes.

Call it another example of the way in which Social Media is truly changing the world we all live in… er… drive in.  Buckle up!

Bookmark and Share



2 Comments


  1. Sharon – What a fabulous comment. I completely agree with you! The mere threat of us having to pay insurance to drive on the Social Media highway should scare us silly. We need to have much more respect for the things we post and the way we represent ourselves online. You hit the nail right on the head. Please help spread the word!!! Thanks so much for your comment, and please drop by again ;-)

  2. I can definitely see where handlers of loose cannon celebrities or other high profile figures of questionable mental stability would be best advised to have such policies in place. For the rest of us, the thought of having to add another insurance premium to our already overloaded personal budgets might just be enough to force people to abandon social media altogether.

    For celebrities whose notoriety depends on occasional controversy, such insurance would be practically essential.

    For those of us who are not part of that elite group, exercising self-control, good judgment, respect and having a good sense of self-preservation is a far better and less expensive option. Social media insurance may spare your pocketbook, but poorly chosen statements online live forever (whether you’re a rock star, a politician, a movie star, or just a regular Joe .. or Jane)!!

Leave a Reply