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Specialist global insurer Hiscox is tapping the burgeoning market of social influencers.
Citing data from Mediakix, Hiscox said the market’s global value is forecast to reach as much as $10 billion by 2020. It’s no surprise then that, according to Influencer Marketing Hub, there were nearly 13 million brand-sponsored posts on Instagram in 2017 alone.
And these influencers, as well as high-profile individuals, aren’t spared from risks they would need cover for. Recognising the need, Hiscox has rolled out influencer and public figure protection insurance – making it the only insurer in the UK currently offering a tailor-made policy for these people in the limelight.
Defamation, breach of advertising legislation, and intellectual property infringement are among those covered as standard. The product caters to those with a public reputation and/or social media accounts used for commercial purposes.
“A high profile CEO engages in a heated Twitter exchange, where he makes an accidentally inaccurate statement about his rival,” cited Hiscox as an example. “Though he retracts the statement, it has been seen by his 12 million followers, and the rival sues for libel and emotional distress.
“Our policy provides coverage for the costly defence of a defamation allegation (usually mid-six figures), as well as the indemnity award.”
James Brady, head of media at Hiscox UK & Ireland, noted that influencers and those in the public eye are now facing an evolving set of often complex risks.
“The ramifications of a poorly judged social media post or throw-away interview remark are rarely far from the headlines, but at present there is no true solution that offers protection for these individuals,” said Brady. “Our influencer and public figure protection policy is a market-first, offering comprehensive cover including cover for breach of contract.
“We’ve been insuring high net worth individuals, creative companies, and content creators for decades, so this is a natural evolution in an area where we already have long-standing expertise.”
