Addressing Social Media Professional Liability Risks
In today’s society, using social media as a way to connect is so commonplace in businesses that it’s pretty much just expected. With this technology, however, come risks. Risks may include EPL risks, Privacy & Network Security exposures, and more. Online communication is a powerful tool, but used in the wrong way it can create Social Media Professional Liability Risks for just about any type of company. So how can you and your clients address these risks?
First off, it’s important to understand what type of social media professional liability risks a company may face. For example, there are reputational risks that can easily equal or exceed the reputational benefits of social media, such as bad behavior by employees or the posting of embarrassing information. This is especially true when that behavior is exhibited in a branded social media location, such as on the company’s Facebook fan page. For this reason, it’s imperative for businesses to have a strict social media policy in place. It’s also important that business owners and managers regularly monitor social media use within their company.
In addition to reputational risks, there are also legal social media professional liability risks; social media sites pose potentially increases security risks and the organization could face liability exposures if a security breach arises from social media activities. Legal risks can be significantly damaging to a company’s financials, however these types of risks can be managed with preparation and planning.
One final social media professional liability risk to think about is operational risk. By being on social media, employees risk endangering the company’s networked computers by unknowingly acquiring malware, viruses, and spyware. As mentioned previously, companies should create a social media policy, or agreement. This agreement should be reviewed and signed annual as a condition of continued employment and as part of an employee’s contract.
PLRisk Advisors is a leading wholesale insurance brokerage covering the professional liability market. Our team of seasoned professionals has the depth and breadth of knowledge to help our agency partners secure the best quality coverage for their clients. Please contact us today for more information about our Professional Liability coverages as well as our Privacy & Network Security at (855) 403-5982.