Entries Tagged 'Sign Of The Times' ↓

Anyone who has ever experienced a puppy’s love or the gentle purr of a kitten knows how important a loving and loyal pet can be. And, because four-legged friends are now an increasingly important part of the family, it should come as no surprise that pet insurance is one of the most popular new forms of insurance. Following are some things to think about when choosing a policy:

Health Insurance: Unexpected vet bills can add up quickly. Pet health insurance helps you budget for routine visits and reduces the cost associated with major intervention by negotiating preferred premiums and other discounts. It’s an especially attractive option for those with older pets or those dealing with a chronic condition. However, be sure you understand exclusions, co-payments and other deductibles.

Auto Accidents: Make sure every passenger is covered in the event of a crash by adding pet coverage to your auto policy. This is an especially important form of coverage for those who deal with show dogs, therapy pets or other skilled animals, as well as expensive breeds. Call my office about additional coverage options to help defray the cost of treatment, shelter and other expenses in the event your pet is involved in an auto accident.

Homeowner Liability: Last but not least, consider adding additional liability coverage or even an umbrella policy to protect yourself if your pet injures somebody. Remember, as a responsible pet owner, you assume all liability for your pet’s behavior, including anything from digging up the neighbor’s rare exotic plants to biting.

If you haven’t heard about usage-based auto insurance, don’t worry – you’re not alone. Usage-based auto insurance is a relatively new type of policy that calculates rates based upon usage patterns, including distance, time and place. It’s often called “pay as you drive” and comes in three different forms:

1. Distance-Based: Most traditional auto insurance underwriters provide deep discounts for people who drive fewer than 7,000 miles annually. However, even that may be too costly when broken down by the mile. New distance-based options are a terrific alternative for college students, retirees or others who primarily rely upon public transportation but want to maintain a driver’s license for seasonal travel or short trips around town. Not only can a distance-based policy help control costs, but the prepaid option makes it easy to add coverage on short notice. Just be sure to keep a good eye on the odometer, because overages can be quite costly or even result in a denial of claims just when needed most.

2. Time-Based: Another popular form of usage-based auto insurance is time-based. Essentially you pay only for the actual time driven rather than miles or location. Vehicle information is recorded and transmitted to the insurance company in order to track actual usage patterns. Time-based usage is a great alternative for car sharing, small businesses and those who may benefit from driving during off-peak hours. Potential negatives include a lack of privacy, paying for time stuck in traffic jams as well as intrusive technology that monitors everything from speed to duration of the trip.

3. Place-Based: Anyone who has ever tried to navigate Los Angeles or New York during rush hour will certainly appreciate the open highway of an interstate. That fact isn’t lost on your insurance underwriter either. It has long been known that certain areas are more dangerous than others. Place-based policies are designed to address that difference while helping save money. Individuals and small-business owners are likely to enjoy substantial cost savings based upon actual risk, but in return, expect to give up some level of privacy.

If you’re planning a big holiday bash, you might want to consider social host liability coverage before the event.

Sobering Statistics

According to research conducted by the Department of Transportation, 50% of holiday traffic fatalities involve alcohol. Even worse, more than 30 states have laws that hold a host responsible should a guest leave and get into an accident.

Social Host Laws

Unfortunately, being a gracious host may mean more than what meets the eye. According to social host laws, anyone that serves alcohol may be the subject of a lawsuit should a guest be involved in a car accident.

Contrary to popular opinion, a host or hostess can be held legally liable for an accident after providing alcohol whether they own the home or rent it.

Following are some key tips to keep in mind when planning your next holiday party:

Don’t Allow Guests to Drive Drunk: Provide alternative forms of transportation and assign a safe driver for those that may over-indulge.

Never Serve Minors: Underage drinking is against the law and puts the host at increased risk since all illegal activity is automatically voided under insurance restrictions.

Evaluate Insurance Coverage: For those that own their home, it is important to evaluate your policy. It may, or may not, provide sufficient protection depending upon the type of insurance coverage purchased. Renters are especially prone to risk since nearly two thirds fail to purchase basic rental protection.

Limit Libations: Stop serving anyone who shows signs of intoxication and make other arrangements for their transportation.

Consider Purchasing Additional Insurance: When in doubt, seek professional advice or consider purchasing an additional liability policy such as umbrella insurance.

Explore Other Options: It might be a better idea to celebrate at a local restaurant or lease a venue. Not only does it shift the risk, but it’s a great way for the host to have fun as well.

Spending your days tweeting away might be a great way to share news with friends and family, but it’s also a way to increase the risk of getting robbed.

Social media applications like Twitter, Facebook and other popular forms of real-time communication are also growing in popularity among the criminally minded.

To put it plain and simple, real-time sharing may provide the perfect way to hook up with friends on short notice or simply stay in touch throughout the day, but it also informs others that you are away from home.

Recent reports on CBS News and information from police stations throughout the nation indicate a dramatic increase in criminals who use information gained from social media websites to plan and target a home invasion while the owner is away. There are several ways to help combat the risk of home invasion or robbery, but each requires a bit of discipline. Following are some things to keep in mind:

Home Alone: Never share information about children or vulnerable persons who may be home alone.

True Friends: Limit your network to people you can really trust, or consider using two different accounts – one for casual friends and another for family.

After-Effects: Rather than sharing in real time, consider sending out a status report after the big event.

Starting a small business is risky enough, but during tough economic times the health and operating practices of others can dramatically impact your bottom line. Recent research by The McKinsey Quarterly found that three-quarters of respondents believed supply chain risk had increased over the past five years. The need to identify weak links is clearly becoming a critical element to attracting new business. 

Traditional Areas of Concern

In the past, supply chain risk primarily focused on the big three areas of cost, quality and delivery. Although these remain important areas of concern, the complexity of doing business in an increasingly diverse environment has led to the realization of new and emerging threats. Today’s risk management experts must address environmental, legislative, economic and geographic factors in order to derive a complete understanding of supply chain risk.

Examples of Emerging Threats

Think your business is insulated from supply chain risk? Following are just a few of the more common examples of emerging threats that could adversely impact your operations when a critical supplier, vendor or contractor is involved.

Environmental: From natural disasters to man-made crises, the disruption of business or distribution patterns can quickly take a toll, especially for those that rely upon technology or just-in-time deliveries.

Economic: Rampant speculation, a volatile stock market and other economic turmoil in one industry can dramatically impact business in other areas. Everything from access to credit lines to buyouts and bailouts may result in unanticipated changes to your own operations.

Legislation: Perhaps one of the most wide-reaching forms of supply chain risk involves legislation. Zoning, taxes, pollution, tariffs and even exchange rates pose substantial risk, not to mention outright violations or other illegal activities.

How to Manage Risk

Managing supply chain risk may seem daunting at first. After all, you don’t have full control over how others conduct business. However, there are practical steps that can reduce risk without breaking the bank.

1. Establish Operational Standards: Make it a priority to review the business practices and insurance status of suppliers, vendors and contractors in advance. Take time to examine rating and credit data, litigation history and D&B rankings. Insist upon proof of insurance for critical areas or staff before doing business. 

2. Have a Contingency Plan in Place: Do a critical evaluation of core business practices and then search for ways to conduct business in the event of a disaster. Common examples may include the ability to work from home for a limited period of time and sourcing temporary/alternative suppliers and other methods of remaining productive during a crisis.

3. Understand Available Insurance Options: Last but not least, ask your insurance agent about specialized forms of insurance that can provide valuable protection against various threats and supply chain risk. Depending upon your specific industry, there are a multitude of policy options available for almost any situation.

Whether your employees telecommute a few days each week or simply need to take work home once in a while, understanding insurance needs is critical to keeping the work-at-home scenario running smoothly. Use these basic business tips to keep your assets and information safe.

Don’t count on homeowners insurance. Standard homeowners insurance sets strict limits on the amount of coverage for business-related expenses; instead, ask about expanding business coverage to include everything from laptops to liability when workers are off-site. Remember, equipment is only one part of the equation; it’s equally important to maintain adequate liability coverage for sensitive data, business use of automobiles and other situations that may impact others.

Ask about discounts. Security measures like encryption, FOB security devices or LoJack computer locks can dramatically reduce the risk of theft or inadvertent data loss when employees work from home. Safe driving records and other commonsense precautions may further reduce the cost of insuring off-site employees.

Provide company sponsored standards. Keep control of security measures and expenses by supplying a standardized protocol and software solutions for dealing with security measures as well as hardware-related issues. Don’t blur the lines by allowing employees to use personal equipment for company business; it’s harder to control the quality of information and may inadvertently lead to security issues down the road. Be prepared to provide full documentation to the insurance company and the tax authorities to justify expenses.

A photographic inventory is helpful in the event of an insurance claim, but it’s important to get it right.
 
A photographic inventory does more than simply jog the memory and prove you actually owned the product. It also provides important information about condition and value and even helps in establishing replacement value in the event an updated appraisal is required.
 
Learn how to show it rather than blow it, with the following quick tips:
 
1. Plan Ahead: Keeping good records is critical to a good inventory, and the more the merrier. If possible, obtain a copy of the blueprints to your home along with receipts for major appliances, improvements and other additions. Permits, bid sheets and photographs all assist in documenting the condition of the home or belongings at the time of the claim. Be sure to include general photographs of the home as well as close-up pictures of personal belongings, including jewelry, electronics and other valuables.
 
2. Light Up Your Life: Photographs are a great idea, but only if the quality of the pictures is adequate. Take photographs during daylight or invest in a good flash to ensure that enough detail is visible. It’s also a good idea to take several photos from various angles.
 
3. Share and Save: Make copies of the photographs and store them in a safe location. Safe-deposit boxes and online storage are popular options. Send a copy to your insurance agent for safekeeping, but be sure to revise and update annually in order to ensure the latest acquisitions are included.

Now that market values of many homes throughout the nation have dropped, it’s more important than ever to obtain reliable replacement valuations when purchasing insurance.

The following tips can help you estimate replacement costs and obtain the right level of protection for your family and financial future:

1. Don’t Confuse Market Valuation and Appraised Valuation With Replacement Cost

Undoubtedly this has led to a great deal of confusion, especially in markets that have experienced significant numbers of short sales and foreclosures.

Market values in many areas have dropped below the cost required to rebuild the home.

While it might sound like a quick way to save some money, dropping replacement coverage is often costly in the long run. Remember, replacement coverage provides the protection required in the event you must rebuild or replace the home rather than the actual depreciated value of the property or item in question.

2. Overages

Most policies stipulate you must have at least 80% or greater coverage in order for the replacement value to go into effect, but during rapidly changing conditions, inflation or tight labor markets it’s not unusual for repairs to become more costly than originally anticipated.

It’s possible to purchase an additional rider that provides enhanced protection against any overages.  Used in combination with replacement coverage, it helps ensure that you have the protection needed in the event of a claim.

3. Zoning and Ordinances

Replacement value alone may not be sufficient, especially if you live in an older home or an area that has implemented new zoning or ordinance changes.

Standard replacement value covers the original item but may not include zoning, ordinance or other regulatory changes required to rebuild.

Call my offfice about a zoning and ordinance policy to make sure you are completely covered.

Many Americans have medical issues that insurance companies define as pre-existing conditions.

A pre-existing condition is a health problem that existed before the individual applied for a health insurance policy.

These health issues are taken into consideration by the insurance company regardless of whether the applicant sought treatment.

Minor conditions such as high blood pressure or high cholesterol have generally been handled in one of two ways.

The applicant may be accepted on the basis that a higher premium is paid in order to cover the minor condition.

Or the insurance company may accept an applicant by placing a rider on the policy that excludes coverage for the specific condition, usually for a set period of time.

Most major health conditions such as heart disease, cancer and diabetes have been cause for the decline in of health insurance policy applications.

For those with pre-existing conditions, however, President Barack Obama’s health care reform may offer some peace of mind. Insurance companies will be barred from denying coverage to children with pre-existing conditions.

At the same time, adults with medical conditions will be able to buy coverage through a temporary, subsidized high-risk insurance pool.

And starting in 2014, insurance companies will not be allowed to deny coverage to anyone with pre-existing conditions.

For those without health insurance, this could signal hope of soon being insured.

For the time being, those without pre-existing conditions should consider obtaining a policy or, if currently covered, keep their health insurance in force.

One of the best ways to safeguard against pre-existing condition issues is to have coverage already in place.

Having continuous coverage is a sure way to stay out of a potential health insurance crisis.

Contact my office if you would like a timeline of the new healthcare law. Beware, not all provisions of the law come into play immediately.

Many people are unaware their credit history may strongly influence the cost of homeowners and auto insurance. A poor credit score can result not only in higher insurance premiums but also in a denial of coverage altogether.
As credit lending standards continue to tighten, experts agree that it is more important than ever to keep a close eye on your credit score in order to avoid insurance rate increases or non-renewal of policies.
Why It Counts
The most commonly cited reason behind charging higher insurance premiums to those with lower credit scores is the belief that people who do not properly manage their finances are at greater risk of submitting a claim.
Useful Tips
Visit www.annualcreditreport.com to order your free annual credit report. Review the information for accuracy and immediately dispute any errors in writing. Not only will it help save money on the cost of obtaining a new loan, but it might help keep your  insurance rates low.
Keep an eye on credit limits, late payments and other common credit problems. Lenders throughout the nation are reducing credit lines, increasing minimum payments and requiring higher credit scores. Smart consumers should make a point of keeping an eye on available credit and avoiding late payments, over the credit limits or other common problems.