I've been lurking in these forums for a while and have found a lot of helpful information, although I don't think I've seen this topic discussed before. Many of the items I sell are high-ticket, meaning $1000+, and I'm worried about fraudulent orders and my liability. Another worry I have is having my website hacked and having my customer information stolen, ie personal information and credit card numbers. Is there insurance for this? If so, where might I be able to find information or a reputable company that offers it?

Thanks,
Rich

Hey Spin Doc-
Hope you are doing well. Are you looking for insurance in case someone steals card number for your site or to protect you against chargebacks? because you mentioned high-ticket items, it sounds like you might mean chargebacks. If you are looking for protection on chargebacks, here are some of the things that i recommend.
1) Capture the IP address on each order. Make sure it is originating from the billing/shipping location.

2) Make a phone call to each person who places an order and confirm.

3) Use some kind of delivery confirmation to prove that it was delivered and you will then have the signature of the person who received it.


If you are looking for more generalized insurance, you will want to look for "cyber liability insurance." I believe some of the larger insurance companies provide this. (I believe State Farm does this.)

Please let me know if this helps you get on the right track.
Steph

Thanks for the response Steph.

Yes, I am worried about both situations. I'm concerned about my liability in the event my site gets hacked and credit card numbers are stolen. I'm also would like coverage on chargebacks of my larger ticket items. I will incorporate your suggestions into my order processing procedures on the larger items, but I also don't want to be holding the bag by myself in the event of a fraudulent transaction. I'll look into the cyber liability insurance. Thanks again.