At a glance, a social media business may not look like much of a business. You might not really have anything at your HQ but a laptop with a webcam attached. But all businesses have some degree of business risk.
Once your mini-empire starts to expand, there are certain things you'll need to consider. If you have any employees, you're going to want to look into workers compensation coverage. If you've invested in studio space, you need to look at general liability coverage.
These coverages can be added around the time they’re needed. But there's one form of business insurance that anyone with a sizable following should be considering: personal and Advertising injury coverage
Personal And Advertising Injury Coverage For Social Media Moguls
When you work in media, personal injury can refer to such issues as wrongful eviction, false arrest and malicious prosecution. Unless you make a point of harassing people on the internet, it's a long-shot that you're going to need to file a claim for this sort of issue. Advertising injury is the main concern here.
Advertising injury primarily refers to two things: Intellectual property infringement, and slander/libel.
It's easy to see how these issues would be important to someone who makes their living in social media. In one major example, video game reviewer Jim Sterling was hit with a $10 million lawsuit for defamation simply because he didn't like one of the games he reviewed. Thankfully, reason prevailed and the case was thrown out. But before that, Sterling was looking at an eight-figure claim — simply for doing his job.
The publisher first tried to hit Sterling with a DMCA (Digital Millennium Copyright Act) complain, claiming that he was using game footage unlawfully. When that approach didn't work, the publisher filed a defamation suit.
Sterling was lucky, but we can't always count on the courts siding with independent content creators. With business insurance in place, a YouTuber or Instagrammer has someone in their corner should they wind up with some steep legal fees in front of them.