Social media has opened up a whole new arena for potential lawsuits, including personal liability suits for damages to reputation or loss of business because of things written online, the insurance executive added. Personal liability insurance can be purchased in increments. A $5 million policy might cost about $2,000 a year, so it is relatively economical compared with the risk that is being avoided, Courtemanche said.
Over his years in the insurance industry, Courtemanche said he has seen wealthy people underinsured for routine risks, as well as for potential catastrophes.-