Page 22 - Damage Prevention Journal 2018 Issue 2
P. 22

know you expect your insurance agenl lo get you the besl policy for
As k  u r lhe money, and he really wants io do lhal, loo. somelimes, however
lhe ageni is stuck in ihe old paiierns, and wriles everyone the way
he always used lo—but irs your livelihood, your eouipmeni, your
A prnpezty. !t‘s nol aboui him, il's aboui you
ge  Dmlble check for ymu'self—make sure your llability is at least :51 million
per occurrence, $1 million aggregaie. Yuu can gel lower limits ior less money,
Eymrghh .i,,,.,,, but why? lrs a business expense, and you rleiinilely need a minimum oi $1
one Polity (emu, In: million. The couris are hill ofliabllity lawsuiis; legal bills are skyroekecing
Y=<k-Mr Ms Ask your ageni if Legal Defense is inside policy llmlIs—Dr oulside. ‘(nu wanl
ouiside because ihal leaves the enlire million tn pay ihe ludgment if you
\ lose. lhale io say ii, bul lhave recenily seen policies with liability limits of
. $300,000 per occurrence and $600,000 aggregaie. l don't know how much lhai
\ insured saverl—bui ii sure wasn'l $700,000! 1 agree irs noi Dflen you need lhe
r_ , iull million—but suppose you do ..
’ Does your policy conlain EBL (Employee laeneiiis Liability)? Yuu know whal
3 . ihal rn2ans—you hire someone and your bookkeeper neglecls Io add him
,- .t'i_ . _ _, ‘ in «he insurance at the righl time. BANG! He has a hearl anack or cancer
, - ‘ o v ~ ' . and is now uninsurable. Bul he wasn't uninsurable beiore ihe hearl attack
 —. — back when your bookkeeper iorgoi tn add }lim—guesa w}lD's llabl27 Ynu
- are, because by law you have lo include everyone, and ihavs what EBL—
coniained within your liability policy, covers. Employee laeneiiis Liability,
I .-1;. you need ii lrs not a bii expensive.
/ft. __ Now here's a goorl one admilled vs non-arlmilled company your coverage
_ , r.,“~— — — is placed with. Depending on whal jobs you are doing, every company won’!
"I )1’ ',e;\' _,;~ r‘ wriie every link calegory A lot oi companies are non-renewing rooiers, far
I ~. xv, Q example. when this happens, agenis oilen have to go ihrough brokers ll:

get coverage ior you. You'll know because ihere will be iees and taxes as

part oi your premium Mosi slaie insurance commissions require ihal you
musi Iry admilled carriers fir>t—befur2 you go tn ihe broker / non-admilled
companies. since mm-admmed compames do noi conn-ibule lo various
slaies' cuaranry Fund (which is to pay claims IF lhe speciiic company goes

, ' under), your non-admitted can-ier"s pullcy musl be slamped sialing there
; ,; ; is no Guaranty Fund in case your company goes bankrupi. Sulutlon7 ANY
» company raled "A” by AMB2.~1 is noi, repeal noi, likely lo go unrler
‘ Auio Coveiiagkask your agent how this is wrinen. Does il (‘over what is

known as ”zny nulls"? or does ii only cover "scheduled Auios"7 Yes‘, it is
possible In have a newly purchaserl vehicle covered without ever lelling your
agenl — al leasi uniil renewal in fact, ihere is more than one way...one, of
course, is "s'ubs'Iitut2 vehicle," like for when yours is in the shop or oiherwise
nor on ihe road. The oiher is eilher wrinen "Any Autu" or Fleel Aulumntic.
TIP 7 its never a good idea tn noi iell your agenl, and make sure you back il
up with a paper rmll. If your agenl geis kidnapped tn Mars, you have proof
you noiiiied. case closed.

Properiy—unless lhere is some good reason, ihe buildings should have

ihe iullesi, mosi complele coverage. whal you wanl to see on your policy is

V "special", ”RC” (noi mcv"), 90% If you see words like ’‘basic’’ or ”bmnd,”
_ ask why These twu coverage types only cover cerlain Ihings—wl1icl1 is OK
if your building is old, needs repairs, eic. It's all you can get far a building
like lhai But NOT if ii's eilher new or in good repair. And its never OK if
‘ your building is near enough lo a road where someone could accidenlally
5 3‘ lump the curb and snake it—be:ilus2 it won't be covered Repairs will have lo
. , ,a__ come oul of your pocket. so lhere really wasn't any savings ailer all.
" I know your agenl is a good guy_and I hope he's a good agenl, not siuck in
* old pallems and aiiihides. But if he is, try lo bring him around (in ihe i-ighi
way onhinking... .
20E Damage FVEVEMVDH Juumal - eoio issue 2



































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