Its important to realize that even if your company doesnt sell goods online, maintaining a Web site can result in liability exposures. For instance, your company could be open to copyright, intellectual property, libel, and trade libel litigation as a result of information published on your site.

How to Get the Coverage You Need
The first step in making sure your risks of doing business online are covered is to identify your companys specific set of potential risks. Experts advise a team approach to risk management. The person who purchases insurance for your company, the person who maintains your computer system, the person who creates and maintains your Web site, and your business strategy team need to work together to make decisions on the content and operation of the Web site, and identify potential liability.

Second, maintain clear written policies for employees and vendors regarding use and access to limit your companys liability. While your business may be a target for an outside hacker, the greater risk is actually internal. Employees may be able to steal or sell information, damage systems, or use company resources for hacking or other illegal actions. Outside vendors who contract with your company should be treated with the same caution.
Finally, with e-business still in its development stage, it may be difficult for insurers to write policies when it is uncertain what potential losses may be. A good start is to make certain that your insurer knows your company. Talk with your insurer about the people who have access to databoth in-house and out-of-house vendors that may support the system. Discuss any technological issues that need to be considered what is the effect if the internet service provider (ISP) connection goes down for an hour, or worse, a day? If you are conducting online selling, you may be missing important transaction time and the lost business may never be recovered. Providing accurate information on your online operation is the key to obtaining proper coverage.

Questions to Ask Your
In a recent article published by the CPCU Society in Managing the Risks of Internet Commerce, James Mullarney, CPCU, advised business owners to ask their insurers the following questions.
Do I have coverage for business interruption if the online aspect of my operation is affected by fire, flood, power outage, or interruption of service by an ISP?
Do I have intellectual property coverage?
Do I have reputation recovery coverage (public relations expenses)?
Do I have liability coverage if online service to clients is interrupted?
Do I have electronic publishing liability coverage?
Do I have difference in conditions coverage that responds to losses not otherwise covered by other standard commercial policies?

As the insurance industry responds to the demands of e-business in the future, business owners are likely to see new insurance policies that cover the whole gamut of exposures, and make it easier to protect businesses as well as services. Until that time, it is important to make provisions in your existing policies to keep up with changes in your business so that you can protect your future.