With the growth of social media and 24-hour news, company directors have much less time to respond to events and rumours. Misreporting can quickly escalate, potentially damaging a company’s reputation and, therefore, sales.
Business owners and directors often do not realise that reputational risk can form part of the insurance portflio. Various policies can cover aspects of the risk such as cyber, errors and omissions, crime, special contingency, directors’ and officers’ liability, general liability and product recall.
JLT Specialty engages with those responsible for protecting the brand to determine what risks they consider to be a threat. We then work with insurers to design and build a package to fit the company’s identified risks. For example, in the food and agriculture sector, a well-managed product recall can prevent longer lasting damage. Our product contamination insurance is proving particularly effective in supporting companies to manage a recall event; not only does it provide financial indemnity to meet the costs of the recall and rehabilitation expenses after the event, the policy also provides access to experienced crisis consultants who can guide a business through the whole process, including managing the media and general public.
Insuring your brand and reputation effectively as part of your risk management strategy can be tricky as there are only a few players that have the flexibility to do it well. JLT Specialty works with businesses and insurers to broaden cover to include reputational insurance triggers, as well as crisis consultants and forensic accountants, who quickly assess the financial loss and impact of a scandal, to minimise reputational damage.
For more information contact Sally Swann on 0121 633 3377 or by email on email@example.com
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