Libel
Libel is a false, published statement that damages someone's reputation, the written or recorded counterpart to slander. For businesses, libel claims typically arise from things like negative online reviews, marketing copy, social media posts, or press statements, and they fall under the personal and advertising injury portion of a general liability policy. The Allen Thomas Group makes sure clients understand where that coverage actually applies, and where it doesn't.
Libel vs. Slander
| Type | Form | Typical Business Example |
|---|---|---|
| Libel | Written, published, or otherwise recorded | A defamatory blog post, social media comment, or printed review |
| Slander | Spoken, not recorded | A defamatory statement made verbally about a competitor or former employee |
Both are forms of defamation and both are addressed under the same personal and advertising injury coverage in a general liability policy.
How Libel Claims Reach a Business
Common scenarios include an employee posting something false and damaging about a competitor on social media while representing the company, a business publishing marketing claims about a rival that turn out to be false, or a company posting an inaccurate, damaging review of a former employee or vendor. In each case, the statement doesn't have to be made maliciously to create liability exposure, only false and damaging.
What Coverage Applies and What Doesn't
Personal and advertising injury coverage under a general liability policy generally responds to libel claims, but most policies exclude statements made with knowledge that they were false at the time they were published. That exclusion matters: it means the coverage is built for honest mistakes and careless statements, not deliberate smear campaigns, so a business that knowingly publishes a false claim about a competitor may find itself without coverage exactly when it needs it most.
How The Allen Thomas Group Can Help You
We'll help you understand exactly how libel affects your coverage and cost, then shop your policy across 15+ A-rated carriers to find the right fit.
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