Description

Ed Bowman of Cumberland Mutual, Speaker 

There are threats out there that small businesses do not prepare for that can often be much more devastating than and slip and falls, because there may be limited or no insurance for them under standard liability policies. Some of these claims include:  Copyright Infringement, ADA violations, consumer fraud, and cyber issues. 

•        ADA Violations

For the last several years a select number of attorneys have been running the “ADA set up”. They send a disabled person into a business or access their web site. They will look for ADA violations and report them to the attorney. The attorney will send a letter or simply sue without further notice demanding the violation be cured and compensation, usually between $20,000-$30,000. You do not have to prove a denial of service. Damages are presumed and attorneys’ fees are awarded. And, you have to correct the deficiency.  This is generally not covered by insurance. 

•        Consumer Fraud

Many contractors do not comply with state statutes in contracting with consumers. When they get into a dispute with a customer, the customer goes to a lawyer who discovers that the contract is not in compliance and sues for consumer fraud. If they win, they get three times the actual damages and attorney’s fees. This is generally not covered by insurance. 

•        Cyber 

Cyber claims are on the rise. When a business has a cyber-attack, not only does it shut down their operation it could result in as liability claim if customers, suppliers or other parties are impacted.