The stories of social media fails are legendary—companies using inappropriate humor regarding serious social issues, typographical errors, or pop references that backfire.
These examples represent reputational issues that can affect your company’s brand and its sales.
The mistakes in social media marketing that make the headlines can obscure other forms of risks presented by social media, namely privacy violations, security breaches, unauthorized use of intellectual property and employment-based claims, among others.¹
The risks that social media introduce to your business are generally not new risks, but conventional risks that are delivered in a more modern way.
In order to help manage the risks presented by social media use by your business, you should:
These risks may be covered by your existing business liability insurance, provided through a rider on your current policy, or obtained through the purchase of specialized coverage. Speak with your insurance agent to learn how to make sure you are adequately protected against the business risks of social media.
The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation.