Insuring Valuable Items: Question and Answer Guide

If the value of precious items in your possession exceeds the limit in your Home policy, strongly consider adding the protection of a Valuables policy. For more information, please click here to download a useful PDF file. You can read the answers to many common questions, and complete a worksheet that may help you realize you actually have more valuable items than you thought!

Damage to Your Supplier Can Hurt You

You spent time and money preparing a business income policy for your firm that will protect your loss of income if a hurricane, fire or other covered event damages your property to a point where you can’t perform customary operations. Sometimes, though, an incident that happens in a distant location can harm your business’s ability to function.

“Companies today are heavily dependent on raw materials from key suppliers to make the products they sell. What happens if the supplier suffers a loss and cannot continue to deliver the product?” asks Loretta Workers, vice president of the Insurance Information Institute.

Firms with this exposure should consider contingent business interruption insurance (also called “dependent properties” insurance). This insurance is designed to protect your firm’s bottom line when it’s adversely affected by damage to a supplier, customer or other business on which your operations rely to stay afloat.

Our professionals can acquaint you with contingent business interruption insurance so you can see if it is protection that could help you avert a loss of income due to supplier problems.

Renters, You Need Insurance Too.

The first time most people think about insurance is with their first car or home. But what if you’re renting your first apartment or home? Although renter's insurance is usually not required by law, it is critical in protecting your personal possessions.

Not only does renter's insurance protect your personal items, but it can cover the cost of temporary housing should the unit be uninhabitable. It also protects you against liability lawsuits and claims.

For example, if the ceiling in your rented property is damaged by wind, water, snow or hail, the ceiling is your landlord’s responsibility to repair. But your brand new computer or TV that sustained major water damage is not covered under his insurance policy. And, now you’ve got to temporarily move out while they fix the roof, and the new rental is twice as expensive! In both these instances, your renter’s policy would cover the cost of repair or replacement and the additional rent.

Liability coverage is just as important. What if a friend comes to visit and you haven’t cleaned up the water that spilled on the kitchen floor. Your friend falls and needs medical attention. Renter's insurance will pay for the medical expenses and any litigation that may ensue.

Here are three things to consider before purchasing your renter's insurance policy:

• Dollar Amount of Coverage: This is a leading factor in the price and coverage. A dollar amount is not placed on each piece of property, instead a fixed amount for all of your possessions will be determined.
• Deductible: How much you are willing to pay out of pocket before your insurance kicks in?
• ACV(Actual Cash Value) or Replacement Cost: A basic policy will pay you ACV, which is the value of the property at the time of loss. But, if you opt for replacement cost you will get an actual replacement. For example, if your computer is ruined, you will be reimbursed the cost of a comparable new model.

9 Ways to Burglar-Proof Your Home

According to the US Department of Justice, an American home is burglarized every eight seconds. The greatest weapons against burglary are light, time and noise. It’s a lot harder for a burglar to break into a home that has a well-lit yard, and if it’s difficult or noisy to enter.

Here are 9 things you can do to burglar-proof your home and safeguard your belongings

1. Secure All Doors And Windows Whenever You Leave Your Home. Sounds simple, but failing to lock all doors and windows when leaving home, is one of the most common mistakes leading to home robberies. 
2. Leave a Light on in One or Two Rooms When You Leave Your House at Night. This will give your home the appearance of being occupied when you are away.
3. When on Vacation, Rely on a Trusted Friend. Tell them where you’ll be and how to reach you. Ask them to pick up your mail and newspapers, hand bills, litter, packages, or anything else that would make it appear that you’re not a home.
4. Leave a Radio Playing on a Talk or News Station. This will make it sound like someone is home.
5. Never Open Your Door to a Stranger.  Home invasions are becoming more commonplace. Sounds simple, but too many people will allow in strangers posing as power company representatives, or other utility company workers. Ask for identification and if you’re still in doubt, call the company for verification before letting anyone in. Keep your door closed and locked unless you know who is on the other side of it.
6. Always Keep Your Shades and Drapes Drawn at Night.  A lighted house with open drapes is like a fishbowl at night, exposing its contents to every passerby.
7. Keep Your Home Well Lit. Mount exterior lights out of reach, in your yard and on your home
8. Use Grates and Dead Bolts. Discourage burglars by making it time consuming to break into your home. Simple security devices such as: grates, dead-bolts, and alarm systems will make a usually scare away any burglar.
9. Install an Alarm System. Noise is the number one deterrent for burglars. The most effective ones are the systems that will ring at an outside service, who will then contact the police.

Senate Passes Temporary Extension of National Flood Insurance Program

The U.S. Senate passed a temporary reauthorization of the National Flood Insurance Program (NFIP) late Tuesday March 2. The NFIP had lapsed at midnight on February 28, 2010 after Sen. Jim Bunning (R-Ky.) blocked passage of a bill under unanimous consent to extend unemployment and COBRA benefits. The extension of the National Flood Insurance Program (NFIP) was attached to that bill. Sen. Bunning withdrew his objection after intense pressure from many of his colleagues on both sides of the aisle.

The new extension for NFIP is only until March 28, 2010.

According to a memo written by officials of the Federal Insurance and Mitigation Administration/Risk Insurance Division, of the Federal Emergency Management Agency, the interruption of the flood program meant that claims could not have been paid while it remained in legislative limbo.

What It Means to Agents: This is only a short reprieve for the flood insurance program. Congress continues to pass short reauthorizations that fail to address the need to enact comprehensive reforms. In order to do that, a longer authorization is necessary. PIA believes that the next NFIP reauthorization should be for at least six months – with a one-year extension an even better way to ensure that there is enough time to accomplish meaningful reforms.

Winter Building Damage Demands Action

If freezing temperatures damage your building this winter, you will need to take some immediate action to stem the loss and alert your insurer.

• Immediately report damage to your agent and insurance company.
• Make emergency repairs and document them. Take necessary steps to keep your employees safe and protect your building from further damage. Be sure to keep all receipts, take photographs or video of damage before and after any repairs, and keep any damaged furniture, carpet or rugs for the adjuster to inspect.
• Take precautions if the damage requires you to leave your building. Secure your property and ask the adjuster if you should turn off gas or electricity. Contact your insurance agent and provide a phone number where you can be reached.
• Beware of fly-by-night repair businesses. Hire licensed, reputable, preferably local service people, and avoid any contractor or appraiser who says they can adjust your insurance claim. Verify a contractor’s license and check to see if there are any complaints against them by calling your local or state department of business and professional regulation.
• If you must leave your building, contact your insurance company, employees, clients and others to inform them of your temporary contact information and post signage warning visitors of any hazards.

Snowplows Are a Friendly Hazard

As business owners send their employees out into the cold for business, the Washington State Department of Transportation offers the following warnings to drivers sharing the road with snowplows.

Snowplows are usually spreading anti-icing materials from the back of the truck and may need to stop or take evasive action to avoid stranded vehicles. If you find yourself behind a snowplow, stay well behind it or use caution when passing. The road behind a snowplow will be safer to drive on.

Don’t crowd the plow. Snowplows are wide—sometimes very wide. The front plow extends several feet in front of the truck and can cross the centerline and shoulders during plowing operations.

Plows turn and exit the road frequently. Give them plenty of room. Stay back at least 15 car lengths (200 feet).

Watch for snowplows operating in the lanes of oncoming traffic. They can represent a hazard to vehicles in cross-traffic as well, so be alert and give way.

Snowplows can throw up a cloud of snow that can reduce your visibility to zero in less time than you can react. Drive cautiously. Never drive into a snow cloud—it could conceal a snowplow or another road hazard. A snowplow operator’s field of vision is restricted. You may see them, but they may not see you.

Snowplows are a welcome sight when nasty weather affects the roads, but business vehicle accidents are most unwelcome. Encourage your employees to allow themselves enough time to travel safely, and educate them on cautious driving around snowplows.

Avoid Distracted Driving to Keep You and Your Family Safe

Driver distractions and inattentive driving play a part in one out of every four motor vehicle crashes. That’s more than 1.5 million collisions a year — more than 4,300 crashes each day!

A report by the National Highway Traffic Safety Administration indicates that inattention causes 68 percent of rear-end crashes. Other kinds of crashes—backing up, lane changes and merging—are usually caused by a driver not recognizing an obstacle or not paying attention.

Many crashes are caused by actions as simple as tuning the radio, dropping an item on the floor , reaching into the glove compartment, answering your cell phone, breaking up a dispute between your children or even glancing at a dog on the sidewalk. Carelessness or inattention—even for a second to change the radio station—causes more crashes than anything else.

How can you prevent this? Here are a few safety tips for the holiday commute.

• Stay focused and attentive.
• Avoid talking while driving.
• Keep both hands on the wheel.
• Don’t drive tired. Share long trips with a companion.
• Don’t drive when you are angry or upset. Wait for your emotions to cool down before getting behind the wheel.
• Pull off to the side of the road if you need to use your cell phone.
• Avoid “gawking” at accidents or other activities.
• Don’t eat in the car.
• Don’t try to read text messages, maps, books or other material while behind the wheel.

Please share this information with others. Remember, always drive defensively.

Are Your Winter ATVs Covered?

If fun this winter includes your family’s use of all-terrain vehicles (ATV), such as a four-wheeler or snowmobile, there are a few important things you need to know about your insurance.

Most standard automobile insurance policies do not cover your use of such vehicles. Additionally, most standard home insurance policies may cover only your liability on an ATV. If so, coverage may be limited, so it is important to review your policy or ask us if this coverage is enough to protect you and your family.

There are a few other questions you should ask before putting the ATV into operation:

• Are there age restrictions on operators?
• Are friends and family covered while operating and/or riding on the ATV?

Ultimately, a separate insurance policy designed specifically for your ATV could be necessary to extend proper coverage for your use as well as damage to the ATV itself. For more information about this insurance policy, call our service team today.

Identifying Cold-Weather Hazards

With colder temperatures approaching in much of the U.S., employers must address keeping workers weather-safe. Those working outside and driving vehicles during the course of employment are at the greatest risk of temperature-related illness or injury.

According to the National Weather Service, about 70% of injuries during winter storms result from vehicle accidents, and about 25% of injuries result from being caught out in the storm. Some of the hazards associated with working in winter storms include:

• Driving accidents due to slippery roadways
• Carbon monoxide poisoning
• Slips and falls due to slippery walkways
• Hypothermia and frostbite due to the cold weather exposure
• Being struck by falling objects such as icicles, tree limbs, and utility poles
• Electrocution due to downed power lines or downed objects in contact with power lines
• Falls from heights (e.g., falls from roofs or skylights while removing snow)
• Roof collapse under weight of snow (or melting snow if drains are clogged)
• Burns from fires caused by energized line contact or equipment failure
• Exhaustion from working extended shifts
• Dehydration
• Back injuries or heart attack while removing snow.

Consider reviewing these hazards with your outdoor workers and establishing risk-prevention procedures to reduce the potential for problems this winter.