E-Commerce Insurance

What is E-commerce insurance?

 

This is a tailored package insurance policy that provides cover for the most common risks facing E-commerce businesses such as online shops and retailers selling clothes, homeware, toys, electronics and a multitude of other goods. Exactly what your insurance policy covers depends on your supply chain both in terms of sourcing the goods you sell and then supplying them to your customers.

 

Coverage can be tailored to the specific needs of the but commonly cover is included for:

Assets:

Liabilities:

Other Coverages that can be added:

  • Business Interruption

  • Personal Accident

Is E-commerce insurance compulsory?

Aspects of an e-commerce insurance policy are compulsory such as Employer’s Liability whereas others provide resilience for the business. Depending on your business model, whether you are a shop that sells both online and through physical premises, or you work from a warehouse or if you dropship, you will have a unique combination of assets, liabilities and Revenue stream that you will need to protect to ensure the longevity of your business. 

A major risk factor for online businesses are cyber risks. If your website is your shop front and that is hacked and corrupted leaving you unable to take new or fufil existing orders your business could be crippled.

Some e-commerce businesses  don't sell physical products but digital ones. If those are services then professional indemnity protection is necessary. 

If you are importing and exporting goods then there are a number of considerations to ensure your goods are protected both when they are coming to you and when you are sending them to clients. Where you are sending or sourcing goods from has a major impact on the cost and extent of products liability insurance that you need and you may want to consider if you need to invest in products recall insurance, especially if you are also a maker or manufacturer.

Ecommerce insurance is complex to learn more download our free In depth Guide to e-commerce and retail insurance here

Where can I get a E-commerce insurance quote?

Contact us at www.fcinsurancebrokers.co.uk/contact or call 0203 432 0270 and we will talk you through the options.