Can Social Media Increase Your Insurance Agent E&O Risks?
Social media use has become synonymous with marketing, no matter what type of business it is for. Insurance agents especially have found that social media marketing is an incredible tool, giving them the power to reach a broad range of clients and potential clients.
The key to implementing a successful social marketing campaign is having a strategy. This strategy should be drawn out on a written plan, with a guide that spells out the various issues that your agency and all of your employees should be aware of. These guidelines should be presented in such a way that your agency’s staff knows what is meant to be accomplished and the role they will play in helping their agency reach its goals.
When it comes to preventing insurance agent E&O risks, it’s important that any information put out on your agency’s social media channels be carefully proof-read. Not only should content be checked for grammatical and punctuation errors, it should also be checked for accuracy of the information, professionalism, and legality. Much like a journalist, it’s careful to remain unbiased, since opinionated content increases your risk of facing a professional liability lawsuit.
Another factor to consider when it comes to insurance agent E&O risks is that social media marketing, whether it is blogging, Facebook posts, etc., is considered by many to be a form of advertising. What this means is that if anything dishonest, controversial, or confrontational is posted on your social media channels, you may face a lawsuit for fraudulent advertising. It’s critical to be accurate, truthful, professional, and positive in all social media correspondence.
Fraudulent advertising, whether intentional or not, opens the door to other insurance agent E&O risks, including; contractual liability exposure, defamation claims, privacy issues, and incorrect advice. At PLRisk Advisors, we understand these risks. Our Insurance Agency Errors and Omissions (E&O) policies provides you with coverage that contributes toward legal defense costs, damage awards, and settlements. Please contact us today for more information at (855) 403-5982.