Insurance for Instagram Influencers in the USA

Becoming an Instagram influencer isn’t an easy task, most notably due to the competition, and needless to say, the risks involved.

To explain briefly, Instagram influencers are regular users of the leading social media platform with the added talent to influence others.

One of the things that Instagram influencers often overlook is that with fame comes big risks—ones that they can protect themselves with Instagram influencer insurance.

Insurance for Instagram Influencers in the USA

How do People Make Money from Instagram?

What was once a space to make some extra cash on the side has now turned into a bona fide and highly lucrative career path for bloggers.

Instagram influencers generally charge per post, and the cost depends on their individual rates.

In terms of numbers, a micro-Instagram influencer—one that has approximately between 10,000 and 50,000 followers used to get a couple of hundred dollars per post, but today gets nothing less than a thousand dollars per post.

Instagram influencers with a smaller following, also known as nano-influencers can earn anywhere between $30,000 and 60,000 per year, and those with more than 1 million followers can bring in a whopping $10,000 for a single post.

Here are nine of the biggest social media influencers on Instagram.

Risks of Instagram Influencers

There are however myriad different risks for Instagram influencers, some that can even land them hefty fines, legal costs, or in worse cases a slot in jail.

Inauthentic Partnerships and Content

Instagram influencers endorse several products via their posts, but there are a few people that don’t use the products.

While many brands don’t really care if the Instagram influencer endorsement is authentic or not, as long as the Instagram influencer has a huge following, consumers can sue the influencer if the product fails or causes bodily harm.

For example, a particular brand of dog kibble endorsed by an Instagram influencer is bought by a pet owner.

If that brand of dog food causes food poisoning and kills the dog, the Instagram influencer can be sued for inauthentic and misleading claims.

Non-Compliance with FTC Regulations

The FTC in April 2017 said that it sent out over 90 letters to Instagram influencers saying that they should clearly disclose their relationships with brands when promoting or endorsing products via social media.

If the correct hashtags aren’t used to display relationships between Instagram influencers and brands, the Instagram influencer could very well face legal consequences and possibly large fines from the FTC.

Morality Conflicts

Some Instagram influencers are known to create controversies that can cost them a cut in following.

In the event that this happens, brands who have signed long-term contracts with influencers can sue for a large sum of money.

Why Do You Need Instagram Influencer Insurance?

You need Instagram influencer insurance for all the aforementioned reasons, and much more.

The biggest reason you need to buy Instagram influencer insurance is that you can get sued for some serious cash if you breach certain terms of a contract.

Another reason you need to invest in Instagram influencer insurance is that in the event things go awry, and result in financial losses that you will have to pay out of pocket if you don’t have Instagram influencer insurance.

Types of Instagram Insurance Policies and Costs

Liability Insurance

Instagram liability insurance protects Instagram influencers or anyone that generates cash from their social media profiles.

This includes but isn’t limited to social media personalities with a small or large following, bloggers, vloggers, and podcast hosts.

There are three main types of social media liability insurance:

Professional liability – covers you against legal claims of invasion of privacy, copyright infringement, breach of contract, and more.

Commercial general liability insurance – covers Instagram influencers against claims of libel/slander, as well as property damage, false advertising, and personal injury.

Property insurance – Instagram equipment can be expensive, and property insurance covers you against loss, damage, or theft of cameras, laptops, and other devices, as well as damage caused by fires and floods.

The cost of Instagram influencer insurance depends on several factors but is generally between $300 to upwards of $500 annually.

Final Thoughts

If you are an Instagram influencer or generate any income from any of your other social media profiles, you absolutely should look into buying some level of coverage.

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