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Monthly Archives

July 2015

Jul 01
Love0

What’s the Difference Between ACV and Replacement Coverage?

By Personal Perspective
When you purchase home insurance, the agent will ask you whether you want actual cash value or replacement cost for your possessions. Both types of coverage pay for items that are lost, damaged or stolen. The amount of money you’ll actually receive varies based on which type of coverage you choose, though, so understand the difference as you make the most protective and economical choice for you.

 

Actual Cash Value Coverage
With ACV, you receive payment for what the item is worth if it were sold today. You will not receive a check for the amount you paid for the item, and you may not receive enough money to buy a new one of comparable style, size or quality.
To determine ACV, the insurance company first calculates the object’s depreciation. This value is based on the item’s age and its wear and tear.
Select ACV when you want to pay less for your home insurance premiums. Remember, though, that you’ll also receive a lower reimbursement check after you file a claim.
Replacement Cost Coverage
If you want to buy exact replicas or comparable items, purchase replacement cost coverage. It reimburses you for the amount of money you would pay to replace your items today, even if those items depreciated significantly from wear and tear.
The total payment you receive will not exceed your policy’s total value, so don’t expect to replace your $1 million home if your policy only provides $500,000 worth of coverage.

While you pay more for replacement cost coverage, you have peace of mind knowing that you can replace your electronics, jewelry and other items if you have to.
The type of insurance coverage you choose depends on your budget and preferences. Your insurance agent can calculate your home insurance premium for both types of coverage before you choose the one that works best for you.

 

Jul 01
Love0

10 Ways to Get a Great Deal on Your Auto Insurance Policy

By Personal Perspective
Auto insurance: every driver needs it! You don’t have to spend a fortune, though. Instead, try 10 ways to save money on your auto insurance policy while receiving the best protection available.
1. Drive a basic vehicle. Luxury, racing or other high-end cars will cost more to insure. By choosing a basic vehicle, you still get where you’re going but pay less to insure your ride.
2. Drop comprehensive and collision coverage. Unless your vehicle is new or you’re required by the loan company to keep full coverage,
save yourself some serious cash and drop full coverage.
3. Reduce the number of cars on your policy. If you’re looking to cut the amount of money you spend on insurance in one year, reducing the number of vehicles you insure will do the trick.
4. Insure multiple vehicles. When you want to cut the cost of each vehicle’s insurance premiums, combine them under one policy. This trick is especially applicable to immediate family members who live in the same household.
5. Install an anti-theft device on your vehicle. This one investment can result in premium savings.
6. Drive safely. Some insurance companies offer safe drivers big discounts, so keep your record clean for five years to enjoy lower premiums. Taking a safe drivers course or a motor vehicle accident prevention course might also reduce your insurance costs.
7. Celebrate your birthday. Often, drivers under 25 and over 70 pay high insurance rates because of their higher accident risk. Talk to your agent about how your birthday about age-related discounts.
8. Remove mechanical or cosmetic modifications. They make your car run or look cool, but they could also factor into higher auto insurance premiums.
9. Bundle multiple policies with one company. You’ll receive a discount on your auto and home premiums and get the coverage you need.
10. Shop around. By comparing rates from different companies, you may find more affordable coverage.
Saving money on your auto insurance is possible. You just need to invest a little time. Contact your insurance agent today for more money-saving tips.

 

Jul 01
Love0

5 Questions to Consider Before Renting Out Your Home With Airbnb

By Personal Perspective
Would you like your house to bring in a paycheck? It can when you rent it out with Airbnb. The company started in 2008 and now offers over 800,000 rental listings in your choice of 190 countries. Before you sign up to put your house to work, though, consider five home insurance questions that protect you and your home.
1. Do you have home insurance?
Airbnb does not specifically require participants to carry home insurance. However, they do provide a free Host Guarantee of $1 million in coverage for damaged property, excluding jewelry and collectibles. That figure isn’t much, though, when you consider that anything from a full-house demolition to a severe physical injury could occur while strangers rent your home. Make sure you have an insurance policy in place to protect you.
2. How often will you rent your home?
Many home insurance policies provide liability coverage for occasional rentals. Yours might not. Plus, that term “occasional rental” isn’t definitive. It could mean once a year or once a month. Verify your policy’s rental coverage and frequency.
3. Do you have enough liability and medical coverage? 
While renters could damage your physical home, they could also fall down the steps and file a lawsuit or require extensive medical treatment. Update your home insurance to provide adequate worst-case-scenario liability and medical coverage.
4. Are your guests’ possessions covered?
After securing coverage for your home, consider your guests’ belongings. Make sure your home insurance policy covers their electronics, jewelry or other valuables that might be stolen, lost or damaged while they stay in your home.
5. Do you need a commercial or landlord policy?
If you rent via Airbnb often, you could technically be considered a hotel owner. In this case, you’ll need commercial insurance. Likewise, if you purchase a second home or rent your vacation home, you may need landlord insurance.
Renting your house through Airbnb puts your house to work for you. Consider these five questions before you sign on, though, to ensure you have the right home insurance coverage for your protection and peace of mind.

 

Jul 01
Love0

Does Hoarding Affect Home Insurance Rates?

By Personal Perspective
Up to five percent of the world’ population could be classified as hoarders. If you or a loved one suffer from this disorder, understand how it could affect your home insurance rates.

What is Hoarding?

A mental health disorder, hoarding occurs when a person cannot discard possessions regardless of their value. It can cause a person to pile their home or garage so full of stuff that they cannot use the kitchen, bathroom or bedroom. Hoarding can also create physical, emotional, social and financial challenges that affect the hoarder’s well-being and health.

How Does Hoarding Affect Home Insurance Rates?

Hoarders experience many serious repercussions of their disorder, including home insurance rate increases. If an insurance agent performs a home inspection for any reason and sees safety hazards, the insurance company will send the hoarder a letter that outlines the hazards. The homeowner will have a time limit to fix the hazards. If the repairs aren’t made, the home insurance policy could be cancelled.

Three common safety hazards hoarders experience in their homes include:
1. Fire: Too much clutter could start a fire, especially when it accumulates around a heater vent, stove or power outlet. Clutter could also block escape routes and prevent firefighters from getting into the home if a fire starts.
2. Mold: Excessive debris can cause mold and other bacteria to flourish in a hoarder’s home. Not only is mold dangerous to a hoarder’s health, but most insurance companies consider mold to be a neglectful home maintenance problem that warrants rate hikes or a policy cancellation.
3. Insects and Rodents: A home that’s full of trash will attract insects and rodents. When left unchecked, these pests can damage a home’s walls, wiring and even foundation, leading to unsafe living conditions.

Your book collection or pile of unopened mail doesn’t make you a hoarder unless it prevents you from using the bathroom or opening your front door. Consider removing clutter from your home, though, as you create a safe living environment. Not only will you improve safety, but your insurance rates will thank you

 

Jul 01
Love0

Is Your Business Prepared for a Natural Disaster?

By Risk Management Bulletin
Natural disasters can strike anywhere and at anytime, but many businesses fail to recognize that they are at risk for damaging losses when they occur. Even businesses that don’t operate in Tornado Alley or hurricane-prone coastal regions are at risk. For example, the recent flooding in Texas has caught many businesses completely unprepared. That’s why every business must develop a disaster plan that will help keep the business running in case the worst does happen. Additionally, business must thoroughly examine their insurance policies to ensure that they are covered for natural disasters.

Developing a Disaster Response Plan

Developing a disaster response plan starts with identifying the events that are most likely to affect a business. Insurance agents can help with this, as they have access to insurance data that isn’t available to the general public. However, business owners can also review local newspapers or contact their local emergency management officials for information.

Another important aspect is appointing a person in charge of facilitating communication among staff members. Determine what method of communication will occur and at when it will be initiated. Keeping employees informed, both at work and away from work, is critical to maintaining everyone’s safety.

Protecting Business Assets

The next step is to install physical protection methods to reduce the impact of each scenario identified. For example, if flooding is an issue in an area install additional drainage, a retention pond or use waterproofing techniques around the base of the building. Those in tornado-prone areas should have a safe location for employees to wait out the storm. However, they should also install shutters to protect windows and consider upgrading roofing material so that it is wind-resistant.

Update Business Insurance Policies 

It also pays to have an insurance agent review the business’s coverage for natural disasters. Some businesses learn that their policy doesn’t cover flooding or earthquake damage, and opt to add that coverage as an additional rider. Additionally, ask the agent to describe scenarios where the coverage would not apply. For example, does it cover all flooding, including burst pipes from winter storms as well as flash floods?

 

Jul 01
Love0

Hazard Ahead: Company Vehicles Increase Company Liability

By Risk Management Bulletin
Many businesses require travel during the workday, whether to client locations or on short errands around town. During these trips, employees can encounter accidents and other mishaps, which may happen in a company-owned vehicle or in their personal vehicle. Unfortunately, many of the consequences of these driving mishaps can negatively impact the company that employs them. However, there are ways to alleviate the company liability involved with owning company vehicles by establishing safety protocols and obtaining the right insurance.

Developing Safety Protocols

When employees are allowed to drive company vehicles, it is imperative that employers develop a safety program that communicates the popery operating and safety procedures that they must follow. Some important rules to include are:
– Avoid using cell phones during vehicle operation unless using a hands-free device.
– Seat belts must be worn at all times and by all passengers.
– Drivers are required to follow all state and federal traffic laws.
– Only approved employees are allowed to drive the vehicles.
– Establish the times and days of the week that the vehicle may be driven.
– Company policy on personal use of company vehicles.
– Proper procedures for reporting accidents and maintenance issues.

Obtain Proper Insurance

Businesses have additional insurance needs when they own vehicles because most general business policies do not cover vehicles. Instead, they need a separate business auto policy. These policies are flexible enough to provide the same coverage to all vehicles, or provide some vehicles with additional coverage. For example, vans that transport merchandise may need more coverage than cars which simply go to the post office daily.

Employees and Personal Vehicles

Many businesses allow employees to conduct business in their personal vehicle. While employers typically pay the employee a certain amount per mile for wear and tear, they are not required to insure an employee’s vehicle. Instead, employers must make it clear to employees that they are responsible for damage caused to their own vehicles. However, if employees will be transporting anything of value, those items should be insured to obtain compensation if they are damaged or stolen.

 

Jul 01
Love0

Summer Dangers: How Employers Can Prevent Heat Exhaustion

By Risk Management Bulletin
Higher summer temps mean fun in the sun on weekends, but those scorching temperatures can be deadly for workers who aren’t prepared for them. Heat exhaustion affects a wide variety of workers, and unfortunately, most businesses aren’t prepared to handle it. Once the temps start to rise, employers must be proactive to protect employees from succumbing to heat exhaustion and know how to respond if they do.

Who Is Susceptible?

Those most at risk are workers whose job requires them to be outdoors. These include construction workers, HVAC workers, roofers, landscapers and many others. However, there are other jobs, such as automobile sales people, that may seem like an indoor job but actually require time outdoors. Even traditional office workers can succumb to heat if they are required to exert themselves too much during times of warm weather. For example, moving boxes or supplies from storage sheds or walking long distances between buildings.

Preventing Heat Related Illnesses

Preventing heat exhaustion is simply a matter of remembering to take it easy during hot weather. Employees should avoid exerting themselves beyond the physical activity that they are accustomed to. Additionally, they should take frequent breaks in a shady, cool location, especially if they begin to feel weak. Employers can help by supplying adequate drinking water and sports drinks, which can help rebalance electrolytes lost through sweating. Workers such as landscapers and roofers who must be outside, should schedule work as early as possible to avoid the hottest times of the day.

Signs of Heat Exhaustion

Employers and workers must be watchful for signs that someone is experiencing heat exhaustion, as many individuals will continue to push themselves even when lightheaded or weak. Symptoms include headache, blurred vision, nausea, paleness, excessive sweating, a weak pulse and shallow breathing. In severe cases, the individual will pass out. If these symptoms occur, force the individual to stop working, move them to an indoor location with air conditioning and make them lay down. A cool drink of water or a sports drink should also be given in small sips. If symptoms don’t subside within 15 to 20 minutes, call the paramedics.

 

Jul 01
Love0

Summer Electrical Surges are a Serious Risk to Business Technology

By Risk Management Bulletin
Almost every modern business relies on expensive electronic equipment, computers and networks to maintain efficiency and day-to-day operations. While businesses take the proper precautions to secure these components from theft, they often leave them susceptible to another danger, electrical surges. Unfortunately, without the proper protection, surges can result in costly damage to a business’s physical assets.

Causes of Electrical Surges 

Electrical surges are caused by a variety of reasons, but most are the result of direct lightening strikes to a building or a nearby electrical source. In many cases, the strike occurs elsewhere on the utility system’s electrical distribution system and the surge travels into a business via the electrical lines. According to the Lightning Protection Institute, lightening strikes cause approximately $1 billion in property damage every year. Other causes of surges include accidental line crossing by utility companies or during severe weather when lines fall. They can also be caused when the electrical system is overloaded, such as in hot summer months.

Equipment That’s at Risk

Computers, servers, micro-processor-based controllers, telephone switchboards, robotics, cash register systems, and televisions are just a short list of the items that can be damaged by a surge. Basically, anything that is plugging into a wall or directly into the electrical system is at risk of damage when a surge occurs.

Physical Protection Devices

All electronic devices that plug directly into an electrical outlet should be plugged into a surge protector instead. The surge protector, also called a Transient Voltage Surge Suppressor (TVSS), is then plugged into the outlet. When electrical surges occur, the TVSS absorbs the current and stops it from flowing into the device. More advanced surge protectors must be installed on a business’s main switch board and any sub-distribution panels for larger facilities.

Insurance Protection

Of course, even the most prepared business can still suffer losses from electrical surges. That’s why business owners must ensure that all electronics and technology equipment are properly insured. Additionally, the surge protectors themselves can be costly and are also often insured under insurance policies if they fail due to an electrical surge.

 

Jul 01
Love0

How to Conduct an On-Site Safety Meeting

By Workplace Safety
Meetings require brevity and clarity, if you want your message received. Attention to your audience breeds attention to you. Think about the meeting as a three act play.

Act I: Define your world and its dangers:
1. On the construction site, in the plant, around the storage yard, in the warehouse:
2. Overexertion, Slips and falls, poor ergonomics, being struck by an object:
3. Causes X% of all injuries (those four mentioned total 72%)
4. So today’s topic is important to your health and safety.
Act II: The lesson
1. Overexertion is the leading cause of job site injury.
2. Assess your load for weight and handle-ability
3. Are proper lifting devices available? Forklift, pallet jack, hand truck
4. Is help available for two man lifts?
5. Can you lift alone with proper technique?
6. Ask for any help you need to accomplish the task safely.
7. Complete the task

Act III: Define the New World of Safer Conditions
1. Overexertion is to be avoided
2. Assess the task
3. Ask for help or equipment
4. Complete the task.
All attendees should sign an outline of the topic acknowledging their understanding, and given a copy.

Act I takes one minute. Act II should never exceed seven minutes, five is better. Act III, two minutes, tops. Why so brief? Attention span is hard wired into humans and seven minutes per topic is about all you have to teach anything. That’s why a good attention-getter like self-preservation works; you’ll get the full seven minutes.

Act II is a good place for visual aids. Perhaps your company has a forty pound lift rule. Handle-ability might be demonstrated as a five gallon bucket of water or a forty pound eight-foot long bench. Both offer challenges, but the bench may require help for an easier task.

Act III is redundant. It wraps up the key points for emphasis. You might want to remind employees that safety is the number one employee benefit, we want you home safe at night.

 

Jul 01
Love0

Back up alarms and Safety Belts On All Equipment

By Workplace Safety
Back-Up Alarms and Seat belts, two safety features on mobile equipment that are too often disabled.

Seat belts serve many purposes, not just keeping the operator in the seat or in the machine during an overturn event.

Especially rubber tire equipment, the operator bounces in their seat when moving between locations. Many operators suffer head injuries by bouncing into the structure of the cage when not wearing belts properly.

Usually the belt has a built in security feature whereby the ignition will not work unless the belt is properly snapped into position. Some operators choose to buckle the belt, and then get in the seat. This override leads to injuries.

The equipment manufacturers installed automatic neutral control settings when hands were not contacting the joy sticks. So when the operator pops out of the seat, the tracks stop rolling and the bucket stops moving.

Unfortunately, the neutral controls are not fail-safe either.

The best option requires the operator to stay in his seat while operating the machine. That requires a seat belt. Insist they be worn at all times while operating any ride-on equipment.

Back-up Alarms

Jobsites are inherently loud places. They can be a bit chaotic when several crews work in close quarters. Vehicle traffic insensitive to large equipment operations with limited visual fields can create bedlam for the operator.

Check back-up alarms daily. It is one warning system that may not save property losses when people park their vehicles ten feet away from a back-dragging dozer; but it may save the driver when it warns them to get clear.

Excavators track systems have forwards and backwards orientation; but the cabs can turn the full 360 degrees. So the cab can face forward and from the operators perspective move backward, but the tracks believe they’re moving forward and not warn people behind the machine.

Excavators should be equipped with a motion alarm that warns whenever the machine is moved. Visibility is not great from those cabs.

Consider using lighted warnings as well. The yellow warning beacons are noticeable on busy construction sites where sound may not be the best warning system. And, sound pollution is diminished while the beacon serves as a motion detector rather than purely a back-up indicator.

Safety devices keep everyone safer; use them properly and enforce their use on operators. Then try to improve them using beacons or other add-ons.

 

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