Tag Archives: policy

Business Insurance for Young Entrepreneurs

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Congratulations, you started a YouTube channel and one of your videos has gone viral and you have morphed into an entrepreneur.  You now have a product or service to sell; you are on the right path to building a successful business.

As a business owner you realize you have a multitude of moving pieces that must be taken care of – one being the need to insure your new venture and assets.

Important components to insure:

  • Your property
    • Your computers, office furniture, equipment, and any other business personal property you need to run your business
  • Your space
    • Home-based operations? Your homeowners or renters  insurance may not cover you if you are operating a business
    • Renting space? Your landlord may require you to submit a certificate of insurance and name them as Additional Insured
    • Purchasing a building or condo for your business operations and taking out a mortgage?  You will be required to purchase insurance prior to the closing. And if you do not have a mortgage, it is important to insure your investment
    • Whether you are renting or purchasing you must insure your location
  • Your liability
    • Insurance will protect and provide you with defense against lawsuits arising out of you or your employee’s negligence. For example:  personal injury or property damage claims such as your product causes injury to someone or an entity,  someone trips and falls while visiting your business location, or your product damages someone else’s property.

You can bundle these valuable coverages into one policy, often referred to as a Business Owners Policy (BOP) or a Commercial Package Policy (CPP).

Other components:

  • Workers’ compensation– If you have employees, you are legally required to carry Workers’ Compensation insurance. This covers lost wages and medical costs due to an on the job illness, or injury.
  • Disability benefits insurance – covers lost wages due to an off-the-job injury or illness.
  • Professional Liability– Do you give professional advice or provide a professional service? If so, you should consider purchasing Professional Liability insurance.

Has this got you thinking?  Getting all your answers from Google may not be as easy as you think.  Google does not know your business.  However, by contacting an Independent Insurance Agent  like ourselves, will connect you with an insurance consultant that will provide you with ALL your answers !

Please don’t let your dream be destroyed by an uninsured event.   Think about it and contact us today!

Annual Insurance Review: Check Up On Your Policies

240_F_78183193_B9rMAcbdIxfWoVLdPD1u49aTgUTvTJGVWhile we all lead very busy lives, one thing we do not want to neglect is the condition of our insurance policies. Not reviewing your policies with your insurance agent is like never visiting your doctor for at least your annual checkup. You may get away with it for a while, but it could lead to serious problems in the future.  We recommend an annual insurance review and here are our 5 suggestions for you:

1.Request a current Schedule of Insurance. This will provide you with a snap shot of your coverages at the time of your request. Once you know what coverages are in place, you can discuss the need for any additions, deletions or changes with greater confidence and understanding.

2. Schedule a meeting or a telephone call with your agent to review ALL your policies. This will include an overall review of your Personal, Commercial, as well as Life and Health insurance needs. This is a great opportunity to review your entire portfolio including property values, deductibles, and any need for additional (excess) liability coverage. We recommend the best time to schedule this call or visit is at least 30 days before your renewal date or if you are thinking about purchasing a new location, vehicle, boat or any other type of major purchase.

3.Speaking to your insurance agent is another opportunity to discuss any changes that have occurred in your life, such as the purchase of a primary home, a rental property, a vacation home, the birth of a new baby, a new business venture or even a change in your current business operations, or personal status. This may be a good time to also discuss health care options, long term care insurance for you or your parents, life and/or disability insurance or retirement planning. Your agent can assist you in making the right choices for you and your family.

4. If you are a business owner, perhaps your business is in growth mode and you are expanding by hiring more employees. You may be required by law to provide Workers Compensation Insurance and Short Term Disability or face steep penalties depending on your state laws.  

5. Be sure to discuss areas where there may be opportunities for discounts such as multi-car, defensive driving, packaging auto, home and umbrella policies, non-smokers,burglar alarms and mature market discounts just to name a few. In today’s economic climate, any means of saving money is sure to help a family or business’ insurance budget.

A regular insurance “checkup” is like the old saying by Benjamin Franklin …. “An ounce of prevention is worth a pound of cure”.  Give us a call today and let our insurance consultants here at Petschauer Insurance assist you in making good insurance decisions for you and your family.

Ask Sherri: Insuring Your Valentine’s Day Gifts

With the spirit of love in the air as Valentine’s Day approaches, it is only appropriate for us to bring back our classic Valentines’ Day episode of Ask Sherri. If you plan on proposing this Valentine’s Day or just getting your loved one an expensive gift, we highly recommend that you check out this episode. Sherri will show you why you may want to consider a Floater Policy or adding extra coverage to your Homeowners or Renters Policy for these special gifts.  And…. why you may want to stay away from putting your ring in the cake…

Are Your Holiday Gifts Insured?

present_pileThe shopping season is in winding down right about now, and your loved ones have received all their gifts. Whether it is a new gaming system, new shoes, a big screen TV, a new iPhone or laptop,  special jewelry or a trip for 2 to a ski resort or sunny spa for a week, you may want to be sure that these gifts are protected by insurance if something unfortunate were to happen to them.

Does your Homeowners Policy cover any or all of these items while in your home BEFORE you give them away as gifts?  Do you have a Floater Policy (aka Inland Marine Policy) to add that special valuable jewelry item you received from your loved one? Did you purchase Travel Insurance for that exciting trip?

An Inland Marine policy or Floaters policy can cover those valuable gifts such as computers, fine arts, furs, golf equipment, jewelry, music instruments, and even camera equipment for All Risk, World Wide coverage with no deductible when scheduled on this type of policy.

Your Homeowners insurance may provide some coverage as well; however, every policy offers different features. A simple call to your agent can give you the detailed information you need to be sure.

Travel Insurance can protect you and your passenger should you need to cancel the trip due to a sudden illness that prevents you from going.  Or when on the trip, is an accident, sickness or injury covered by your current health insurance if you leave your home state? What if you require to be evacuated or airlifted for care – would your health insurance cover that expense? And if your trip was cut short due to a sickness or injury, would you get reimbursed to travel again at a later time?  You can have all of these situations covered with the right insurance.

Receiving electronics for the holiday is an awesome gift as well; however, will your homeowners or renters policy automatically cover it?  Every insurance company has their own interpretation of coverage and a call to your agent is strongly suggested to be sure you understand any limitation in your policy or instructions on what to do to protect your precious gift.  Sometimes purchasing the protection right from the electronic vender is the simplest and most economical way to get the best protection.

We hope you received all the gifts on your wish list this Holiday season! Keep Insurance on your list as well.  Do not hesitate to contact us if you have any questions at 718-386-5050 or info@jpins.com.

Rate Increase On Directors and Officers Liability Policies

While it is true that insurance companies are in business to make money, and most insurers are looking for increases of between 5% and 15% on an annual basis, the  D&O (directors and officers) market remains an anomaly. Now that the worst of the financial crisis appears to be over and bankruptcy filings are declining, most carriers are willing to settle for very low rate increases on their D&O book of business provided the risk is a good one.  Why, when other lines of business are looking for more aggressive increases, is this market behaving differently?

The answer is that previously many carriers actively fought to obtain and retain this business.  Now, having suffered significant losses, they are actively underwriting their books and they are being much more selective as to which policies they will offer to renew and what terms and conditions they are willing to offer. Thus, they are underwriting more by experience of a risk than by market segment, size of risk, or size of premium. This is especially the case with smaller privately held companies.

As for publicly traded companies, the underwriting philosophy is not much different.  The huge swings in pricing are a thing of yesterday.  The renewal premiums on publicly held policies will be rather flat even though it is widely believed that pricing and retention on such policies are not really where they should be. As a result, carriers will be reviewing and scrutinizing all underwriting data and carefully choosing the accounts they want to provide with the most aggressive pricing. In view of the losses which carriers were forced to absorb during the financial crisis, they are trying desperately to get back to making their books profitable once again. One way of accomplishing this is by increasing retentions and making sure that the premium charged are reflective of both the exposures presented as well as the loss history of the account. Basically, they will pick and choose what they care to write rather than automatically offering a renewal.

So, it is suggested that you determine the largest retention you can live within an effort to keep your premiums reasonable and then use this to negotiate any proposed rate increase offered by your carrier. Talk this over with your agent or broker, prior to your renewal, to ensure that you obtain the most cost effective renewal proposal available in the market.

Karen Skoler, CPCU