Contact us if you are looking for Ecommerce risk and insurance experts to manage Ecommerce risks while optimizing Ecommerce Insurance.
What is E-commerce Risk?
We define E-commerce risk as the operational risk of e-commerce companies that includes the risks of external events, processes, people, and systems impacting the operations of E-commerce companies. E-commerce risk management entails measuring e-commerce risks, protecting against them through controls and e-commerce insurance, and monetizing the outcomes of operational resilience with lenders and investors.
What is E-commerce Insurance?
E-commerce Insurance is commercial insurance that is reworded or tailored to protect against operational E-commerce risks. E-commerce insurance products include but are not limited to:
- E-commerce D&O Insurance
- E-commerce Cyber Insurance
- E-commerce Professional Liability Insurance
- Rep and warranty insurance (RWI) for E-commerce M&A
Whether E-commerce Insurance is used to hedge against supply chain disruptions, management errors, or other operational risks, the language of e-commerce insurance policies must be clinically reviewed, reworded, and triggered to achieve the best results on cost, compliance, protection. As such, it is important for e-commerce companies to understand the insurance claiming process of E-commerce Insurance.
Example of E-commerce Risk Management
Below is an example of e-commerce risk being measured for our client EMERGE Commerce that went public on Monday December 14th, 2020 on the TSXV. The company's e-commerce risk measures were outlined and marketed to investors. We anticipated an initial outperformance of the stock following the IPO (subject to no changes in interest rate levels) given its financials being more resilient to operational risks thereby providing better protection, consistency, and returns to investors. This assumes a consistent level of execution on risk management and other strategic endeavours. We wish the team at EMERGE all the best.
