No, we’re not talking insurance for damage or loss to property because of fire. This type of flaming insurance helps businesses recover when unflattering information that hurts their brand or image goes viral online.
Asia Insurance Review reports that Sompo Japan has started selling “enjo” insurance (flaming insurance) coverage to compensate a target of “enjo” (widespread flaming of a target due to negative rumors or scandals.)
Sompo’s new product – a first of its kind in Japan – will compensate any target of “enjo” whether or not the rumors are groundless or based on fact.
In the event of a viral outbreak, Sompo will cover expenses for a positive media campaign, research into why the negativity began, and the cost of public apologies if needed.
Coverage could be useful for businesses suddenly the target of unwanted social media attention. For example, as RocketNews24 reports, McDonald’s Japan had to deal with a long-burning enjo after a tainted chicken scandal.
What’s the cost of this coverage? Premiums will run from JPY500,000 to JPY600,000 ($4,343-$5,213).