July 18th, 2018 — Personal Insurance
He has matured past the tricycle phase, grown beyond the bicycle stage, and is ready to try his hand at something with an engine. Your teen says he’s ready to drive. Are you ready?
Whether or not you’re emotionally up for the task, you can at least prepare yourself financially. Take the following steps before your teen takes the wheel.
Assign for savings: Which car will your teen drive? If possible, ask your insurer to assign your teen to the car with the lowest value. Keep in mind that this must be the car that the teen drives. By linking your teen to the least-valuable car, you can save on insurance premiums.
Boost your coverage: If you currently have minimum liability insurance, consider increasing your coverage. You may be fortunate to have a responsible teen, but statistics are still stacked against him. Research shows that teens are more likely to be involved in car accidents than adults, and their chance of being held accountable for a crash is twice that of adults. You’ll be grateful for greater coverage if your teen has an accident that results in costly repairs or lawsuit payments.
Balance the cost: As you raise your liability, you may pay higher premiums. To balance this, consider raising your deductible. Higher deductibles typically result in lower premiums. You can apply this savings to your increase in overall coverage.
Make the call: As with any life changes that may affect your insurance, contact your agent to discuss what solutions are best for your new teen driver.
June 15th, 2018 — Personal Insurance, Sign Of The Times
| More and more car owners are looking to their vehicles as sources of potential income. The family sedan is no longer simply a tool to get to work, and it does more than deliver pizzas.
Peer-to-peer car-sharing services have made it possible to “rent” a personal vehicle to other drivers who are seeking transportation. If you don’t drive your car every day, this can be a fairly simple way to earn a little extra cash.
However, there are a few important considerations to keep in mind regarding car sharing and auto insurance. Using your vehicle in this way can greatly affect your coverage.
First, your policy may not cover your vehicle while it is being driven by other people under a car-sharing agreement.
Your carrier doesn’t have any information about who is driving your car or their driving record, so the coverage cannot extend to them. If someone is in an accident or your car is stolen while he or she is using it, you may not have coverage.
Second, you are making money with this arrangement. This puts your vehicle use into a business category, rather than personal. Again, this might negate coverage from your personal policy.
Due to these circumstances, car-sharing services typically offer their own auto insurance.
If you’re considering offering your vehicle for peer-to-peer car sharing, first consult with my office.
Someone here can advise you about your coverage and help you determine if this is a viable option for the use of your vehicle. |
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May 15th, 2018 — Commercial Insurance
| Listing every potential crime that could occur against your business would be a daunting task. Small-business owners face risks from employee crime, nonemployee crime, and cybercrime. Any of these could result in claims that cause your premium to rise.
The good news is, you are not helpless against these crimes. There are effective steps you can take to keep your workplace protected against each type of crime. Putting these safeguards in place will prevent loss, injury, and increased costs. Help keep your business crime-free with the following tips:
Prevent Employee Crime
- Vet your people: It may involve a lot of legwork, but it’s worth checking into the people you hire. Contact references and perform background checks for any potential employees. Be sure you are hiring trustworthy people.
- Avoid violence: Do you have a written workplace violence-prevention policy? If not, develop a comprehensive plan that covers the consequences of committing acts of violence in the workplace and procedures to follow if such an event should occur.
- Require audits: Reduce the opportunity for internal theft by requiring audits for all employees who handle invoicing, receipts, or payroll. These regular audits require extra effort, but the accountability can help prevent major losses.
- Establish safety: Ensure every employee is properly trained on safety procedures and is aware of all company policies. Business owners who do not meet OSHA standards run the risk of breaking laws regarding safety regulations. Avoid penalty fees and lawsuits by remaining in compliance with all standards.
Prevent Nonemployee Crime
- Use surveillance: Keep all areas of your business in sight. Use security personnel, mirrors, or surveillance cameras. Encourage employees to engage customers. A vigilant eye is helpful to protect your assets and avoid theft claims.
- Install security: Apply physical security measures at your business. Install quality locks or a company-wide security system. Limit access to high-risk areas.
- Light the way: Dark areas invite dark deeds. Ensure all areas of the property are well-lit. Add exterior lighting if none is present. Change all burned-out bulbs right away. Keep things bright and welcoming for employees and customers, and uninviting for crime.
Prevent Cybercrime
- Back it up: Keep backup copies of all records either on additional storage devices or off-site. A loss of data could mean anything from a minor setback to a major cost. A large breach can spell disaster for a small company.
- Monitor access: Limit the number of employees who can access all company information. Be especially prudent about access to finances and personal client information.
- Be software smart: Use strong passwords and proper firewalls to protect your data. Remain current on software updates to keep defenses strong. Change passwords regularly. Negligence in these procedures can prove costly.
As you make these efforts, you will make your company safer, more inviting, and more cost-effective. |
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May 15th, 2018 — Sign Of The Times
How can business owners best protect their companies? You may have heard the most common small business claim is theft. This is true, but it’s not the most costly one. Reputational harm claims top this list. These claims include libel, slander, and violation of privacy.
The average cost for these claims is $50,000. If the claim involves a lawsuit, the price skyrockets. Costs to defend and settle the suit raise the average cost for these types of claims to more than $750,000. Typically, around one-third of all general liability claims result in a lawsuit. For small businesses without proper coverage, these suits can prove devastating.
Of course, the preferred solution is to avoid these claims altogether. To protect your business from reputational harm claims, take the following precautions.
Ask permission, not forgiveness. Would you like to post photos on your website or use them in your marketing materials? Do you plan to use a quote or other content for your next marketing campaign? Before you launch your initiative or post your social media blast, get permission to use these items. Copyright and privacy suits can prove costly. Obtain written permission to avoid reputational harm claims. Additionally, ensure all employees are aware of your permission policies.
If you can’t say something nice… Cutthroat competition can make criticizing competitors a tempting tactic. Don’t do it. When speaking publicly or with customers, avoid criticizing competitors. If you never say anything negative about them, they will not have any ammo to use for a slander suit.
April 16th, 2018 — Personal Insurance
| You’re planning your next remodeling project. Perhaps you’re expanding your home to enjoy more living space. Maybe you’re replacing the 1990s siding. Whether your project is a minor exterior renovation or major roofing repair, it’s important the work is properly insured. This may or may not involve the purchase of additional insurance.
In dealing with a contractor: If you are planning to hire a contractor to perform the work, protect yourself and your property with proper coverage. For example:
- Ask for proof of insurance. Examine dates and coverage carefully to ensure coverage is current and legitimate.
- Ask to have your name added in writing as an additional insured on the contractor’s liability policy. Some contractors offer this free, but you may have to pay a small fee for this service.
- Make sure the contractor’s insurance coverage includes workers’ compensation. You don’t want to have to pay for injuries occurring to contract workers on your property.
By placing yourself as an additional insured on your contractor’s policy, you’re also covering the gray areas that include situations such as a roofer’s ladder falling over and damaging your neighbor’s property. The additional-insured documentation should protect you in these types of third-party cases.
For major projects, such as additions or new homes, you might want to consider purchasing temporary builders risk insurance. This will cover mishaps during construction.
Contact my office: Whatever type of project you’re planning, contact your insurance agent early in the process. Your agent can advise you on the best type of coverage to add. He or she can also make the proper adjustments to the value of your home.
If you are building an addition, for example, your home will be worth more than when your homeowners policy was originally written. Communicate with your agent to ensure you have appropriate coverage based on the new value of the property. |
March 16th, 2018 — Commercial Insurance
Employment practices liability insurance (EPLI) is a form of errors and omission insurance and protects your business against employee claims of discrimination, which could be based on age, sex, disability, race, or other traits. EPLI also covers suits regarding harassment or wrongful termination. In fact, as its name implies, its key function is to provide coverage if your employment practices are called into question.
If you’re the owner of a small to midsize business, you may assume this coverage is for large corporations. But bear this in mind: Although large corporations have hefty teams of lawyers on retainer to handle any employee lawsuits, it’s actually small and/or new business owners who are most vulnerable to these suits. As soon as you hire your first employee, this coverage becomes crucial.
Can you afford EPLI? The real question may be, can you afford not to have it? Claims and awards continue to increase, and you are at risk from discrimination claims in the same way as you are at risk from other types of liability claims.
Plus, EPLI may be more affordable than you think.
Its cost is based on several factors. The top variables include the number of people you employ, your turnover rate, your established rules and employee practices, and whether you’ve had any suits filed against you in the past.
Regardless of size, EPLI should be part of any company’s risk management plan. Discuss EPLI policy options and costs with your insurance agent, who can help you select the coverage you need.
February 14th, 2018 — Personal Insurance, Sign Of The Times
You’re planning your next remodeling project. Perhaps you’re expanding your home to enjoy more living space. Maybe you’re replacing the 1990s siding. Whether your project is a minor exterior renovation or major roofing repair, it’s important the work is properly insured. This may or may not involve the purchase of additional insurance.
In dealing with a contractor: If you are planning to hire a contractor to perform the work, protect yourself and your property with proper coverage. For example:
- Ask for proof of insurance. Examine dates and coverage carefully to ensure coverage is current and legitimate.
- Ask to have your name added in writing as an additional insured on the contractor’s liability policy. Some contractors offer this free, but you may have to pay a small fee for this service.
- Make sure the contractor’s insurance coverage includes workers’ compensation. You don’t want to have to pay for injuries occurring to contract workers on your property.
By placing yourself as an additional insured on your contractor’s policy, you’re also covering the gray areas that include situations such as a roofer’s ladder falling over and damaging your neighbor’s property. The additional-insured documentation should protect you in these types of third-party cases.
For major projects, such as additions or new homes, you might want to consider purchasing temporary builders risk insurance. This will cover mishaps during construction.
Contact your insurance agent: Whatever type of project you’re planning, contact your insurance agent early in the process. Your agent can advise you on the best type of coverage to add. He or she can also make the proper adjustments to the value of your home.
If you are building an addition, for example, your home will be worth more than when your homeowners policy was originally written. Communicate with your agent to ensure you have appropriate coverage based on the new value of the property.
January 15th, 2018 — Commercial Insurance
| Is your business completely self-sufficient? If your operations are like most in today’s marketplace, you rely on the delivery of goods from others. While you may find these sources reliable, it’s possible their supply could one day fail. Are you prepared if the chain should break?
If materials or finished products are delayed, your business suffers. A significant delay or cancellation can cause a complete shutdown of operations. And lacking the resources it needs, your business could come to a temporary standstill or even close.
Many business owners underestimate the effect this supply chain failure can have. It’s important to note that it can take more than two years to recover, as this type of failure affects distribution, costs, service, and ultimately your bottom line. From small businesses to global corporations, companies need proper protection against broken links in the supply chain. The right insurance can’t stop the chain from breaking, but it can stop your business from doing the same. For proper coverage, business owners have two main options.
Option 1: Contingent Business Interruption Insurance
Contingent business interruption (CBI) insurance reimburses lost profits and extra expenses caused by the interruption of someone else’s business. Your company does not have to suffer shared damage for coverage to apply. The point of the policy is to provide for your business when your supplier can’t. This coverage is appropriate when:
- You rely on a single supplier for materials.
- You depend on one manufacturer for most of your merchandise.
- You purchase the bulk of your products from one business.
- You rely on a leader property (a neighboring business) to help attract customers.
While CBI offers helpful protection, it is limited. The policy only provides coverage if your supply chain is interrupted due to physical property damage at a “partner’s” business. If it has a fire, for example, you’re covered. However, if its employees can’t get to work due to road closures, you aren’t. In short, CBI doesn’t cover all perils or circumstances that could negatively impact your supply chain.
Option 2: Supply Chain Insurance
Supply chain insurance offers broader coverage than CBI. Like CBI, it covers disruptions to your supply chain caused by property damage to your supplier’s business. However, it also covers losses due to other events. Remember that fire that wasn’t covered by CBI? Did the thought of road closures scare you? Supply chain insurance offers a broader umbrella that includes these threats. This type of policy can cover:
Public health emergencies, natural disasters, industrial accidents, riots, labor issues, road closures, political upheaval, regulatory action, financial issues.
Make Your Chain Stronger
Obtaining the proper insurance coverage is essential to protect your business from supply chain risk. To determine which option is best for your operations, talk to your insurance agent and take the following steps to avoid making a claim:
- Evaluate your supply chain. What risks and weaknesses exist? Do you need to make changes?
- Identify backups. What other suppliers and vendors could you use in a crisis?
- Create a contingency plan. This includes securing appropriate insurance coverage for your business.
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January 15th, 2018 — Personal Insurance
| If disaster struck, could you recall every item you own? And what you paid for it?
After a fire or a flood, a complete home inventory will help you verify your losses and settle insurance claims faster. It can also help you and your agent determine how much insurance you need. To prepare an up-to-date home inventory, follow these easy steps:
List it: Make a list of all your possessions. Walk from room to room, noting what each space contains. Include basic information such as the make and model and the cost. For major appliances, record the serial numbers. Don’t forget any items you have stored outside or off-site.
Document it: Keep sales receipts, contracts, and appraisals with your list. As you purchase new items, be sure to add them to this inventory. To stay organized, you may want to create an envelope system to group receipts based on type of item. Be sure to store your inventory and all receipts in a fire-safe box or in a safe deposit box to ensure it’s available after a disaster.
Picture it: For a thorough record of your belongings, take pictures. Capture entire rooms and/or individual big-ticket items. You may also want to shoot a video of your inventory. Walk through your home and describe the contents as you record them. These photos and videos can be extremely helpful when making an insurance claim.
Your insurance agent can be a great source of help when you’re creating your home inventory by providing tips, recommending inventory apps, and - most important - offering advice on the right coverage. |
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December 22nd, 2017 — Sign Of The Times
| No one puts “insurance claim” on their holiday wish list. Most would rate this item right below a lump of coal. Yet, due to a lack of safety measures, this is what many people get.
Accidents and fires related to decorations are fairly common during the holiday season, but they are avoidable with the proper precautions. Avoid holiday hazards and enjoy a claim-free season with these tips:
Trim the tree with care: Will you be using a real tree? Keep it stable and hydrated with a large, non-tipping tree stand that holds water. Place the tree away from heating ducts, doorways, and busy areas. Well-placed and well-watered, your tree will stay fire- and accident-free for the season.
Keep your cords nice, not naughty: Exercise caution when working with electricity. Don’t overload your outlets. Use extension cords sparingly. Check flickering lights. Immediately replace those with loose connections or corroded sockets.
Be cautious with candles: Candles add ambiance and appeal to your space, but they can also cause devastation. Keep them away from flammable materials. Never leave them burning unattended. If you don’t want to worry about extinguishing candles before leaving or going to bed, consider using the flameless ones this year.
Don’t fall for outdoor lighting: Yes, your roofline may look great with perfectly strung lights, but don’t risk your life to get them up there. Use proper safety measures and products designed for outdoor use.
Take the time to do décor right. Be happy, healthy, and, most of all, wise this holiday season. |
