AIG unit offers companies 'reputation' insurance

You can't make this stuff up.


http://www.forbes.com/feeds/ap/2011/10/12/business-financials-us-aig-image-insurance_8730836.html

AIG unit offers companies 'reputation' insurance
Associated Press, 10.12.11, 12:58 PM EDT

NEW YORK -- They say image is everything, and now companies can insure theirs.

Chartis, a unit of insurance giant American International Group Inc. ( AIG ), is marketing a new policy that would help companies protect their reputation in the event of major corporate crises such as executive scandals, product recalls, data breaches and other "reputational threats."

The company said Tuesday that its ReputationGuard will give policyholders access to a panel of crisis communication experts at Burson-Marsteller and Porter Novelli. The policy would also cover costs associated with minimizing the potential impact of negative publicity, the company said.

In a release announcing the new policy, Chartis said that "threats to reputation and brand image are more common and wide reaching today than ever before - and can impact a company's bottom line."

The company also noted that an internal survey of its public and private board members showed 69 percent of them ranked reputation risk as their primary concern.

(more at link)

This policy encourages corporate irresponsibility and should be outlawed.

Glad Murdoch's reputation followed him.

:spray: