Business Check Up...When Was Your Last Visit?

Your small business face changes everyday.

Some of these changes may result in increased risk.

Are you proactive about watching out for these changes & what impact it has on your Business Insurance Policy?

One such risk may be Data Breach.
 
The number of data breach occurrences is on the rise, and the regulatory requirements that need to be satisfied when a breach occurs can be significant.
 
 

Please Contact Jason Shroot for the insurance solutions available to you & your business.

 

Jason Shroot can be reached at 714-988-3325 or jason@diversifiedinsurancequotes.com

 

 

DOT Sets New Hours-of-Service Limits

DOT Sets New Hours-of-Service Limits

On December 27, 2011, the Department of Transportation, through the Federal Motor Carrier Safety Administration, issued its final rule limiting the hours of service for commercial truck drivers. The rule will be enforced beginning on July 1, 2013. The final hours-of-service rule reduces the maximum number of hours a truck driver can work within a week and imposes break and rest requirements for drivers.

For A Commercial Insurance Quote Please Contact Jason Shroot At 714-988-3325 or Jason@diversifiedinsurancequotes.com.  Please Also Visit Jason Shroot At www.JasonSellsInsurance.Com

J.D. Power Ranks 25 Auto Insurers by Claims Performance

Insurance Networking News, October 27, 2011
Justin Stephani

For the fourth consecutive year, Auto-Owners Insurance took the top spot of J.D. Power and Associates’ “U.S. Auto Claims Satisfaction Study.” On a 1,000-point scale, Auto-Owners achieved a score of 890 and was the only insurer included in the rankings to receive a five-star rating.

State Farm (878), Amica Mutual (865), American Family (862) and The Hartford (858) rounded out the top five, respectively; they were the only four to receive four-star ratings. The rest of the field received three stars or less, including big-spenders such as GEICO (840), Progressive (836), Allstate (834) and MetLife (824).

The industry average for this year’s survey was a score of 846 and a three-star rating.
At an industry level, customer satisfaction was markedly higher when filing claims for repairable damages, as opposed to claimants incurring a total vehicle loss. In cases of the latter, satisfaction averaged 811; 42 points lower than among those filing repairable damage claims.

Did You Know That Jason Shroot Has Access To a Majority of These Top Rated Insurance Companies & Can Provide You With a Home / Auto / Business Insurance Quote For Your Review Today.

Please Call Jason Shroot at 714-988-3325 or www.JasonSellsInsurance.com

The three main contributors to the low satisfaction rate are communication, insurers must explain the claims process as well as be available to deliver new information and answer follow-up questions; speed, total loss claimants has to wait an extra six days on average when compared to the 12-day average of repairable damage claims; and fairness, knowing and understanding policies ahead of time and being made aware of out-of-pocket expenses as early as possible can avoid unpleasant surprises.

Speaking to auto insurance customers, J.D. Power and Associates’ insurance practice Senior Director Jeremy Bowler said, “It’s important for customers to examine the settlement offer and, in particular, verify the vehicle content and condition. The majority of customers who disputed their vehicle’s valuation most often cited differences concerning comparable vehicles (56 percent), vehicle condition (53 percent) and aftermarket accessories (18 percent).”

The 2011 “U.S. Auto Claims Satisfaction Study” is based on more than 11,500 responses from auto insurance customers who filed a claim within the past 12 months. The study excludes claimants whose vehicle only incurred glass/windshield damage or was stolen, or who only filed roadside assistance claims. The study was fielded March through July 2011.

The top 25 insurers surveyed with their satisfaction scores are listed below:


1. Auto-Owners Insurance (890)
2. State Farm (878)
3. Amica Mutual (865)
4. American Family (862)
5. The Hartford (858)
6. COUNTRY (853)
7. Erie Insurance (851)
8. Travelers (848)
9. Nationwide (841)
10. GEICO (840)
11. California State Automobile Association (839)
12. Safeco (838)
13. Progressive (836)
14. The Hanover (835)
15. Allstate (834)
16. Liberty Mutual (830)
17. Mercury (825)
18. Automobile Clue of Southern California (824)
19. MetLife (824)
20. Automobile Club Group (821)
21. Farmers (804)
22. Esurance (800)
23. Encompass (789)
24. Commerce (772)
25. 21st Century (771)

USAA was listed separately with a five-star satisfaction score of 889, though they were not included in the rankings because they are not open to the general public.

Please Call Jason Shroot at 714-988-3325 For a Free Competitive Insurance Quote Today.



Hired and Non-Owned Business Auto Exposures

Are You Protecting Your Business Properly?


In today’s litigious society, accident claimants will often seek recovery from as many sources as


can be found. It’s not difficult to imagine scenarios wherein any company with employees (and


possibly not even operating from a physical location) can still be sued based on non-owned auto


liability in the aftermath of a motor vehicle accident.

The classic example exists of an employee using their personal vehicle for a work errand. At the

accident site, the employee mentions, “I was just on an errand for XYZ Company,” and XYZ

Company ends up being named in an ensuing lawsuit, particularly if the employee doesn’t have

sufficient liability limits on his personal auto policy.


Or what if the owner of a company—still with “no owned autos”—is involved in a serious accident

and the claimant realizes the owner has most of his personal wealth in his company? The

claimant will likely include the company in his lawsuit, and without specific coverage for nonowned

auto liability, the insurance program would not protect the insured in these instances.


Hired auto exposures arise differently, but again, it’s not difficult to anticipate situations where

an employee or officer of a company may suddenly need to travel and rent an auto, and if it’s in

the course of business, to assume it’s covered by the company’s insurance. Hired auto physical

damage exposure occurs here as well, but again, without specific coverage in place prior to an

accident, a company may be looking at an uninsured claim.


Almost every operating business entity has liability exposures from hired and non-owned auto liability, and frequently for hired physical damage as well, whether or not the business owns any autos.
A good commercial agent, like JASON SHROOT knows that not only do their clients need this coverage, the lack of the coverage can lead to a real nighmare to any business owner who chooses to ignore this risk exposure.

Please Contact Jason Shroot directly by calling 714-988-3325 and learn more about your commercial insurance policy's risk management pratices.  Also reach Diversified Insurance Quotes by emailing Jason at jason@diversifiedinsurancequotes.com or visiting www.diversifiedinsurancequotes.com

 

Top Ten Guidelines To Limit A Company's Risks in Social Media

Top Ten Guidelines To Limit A Company's Risks in Social Media



Social media has become a powerful way for business owners (and individuals) to communicate with clients, prospects, friends, family, referral sources, and colleagues.

However, improper usage can result in serious consequences. 

The following are a list of suggestions to limit your company's social media's risk exposure:

1. Know Your Audience – Write knowing that everyone, including the folks who sign your paycheck,

will be able to see what you post. Remember that your post will be globally accessible today and long

into the next Ice Age.

2. Be Respectful – Do not disparage competitors or criticize others. This obviously includes current

and former clients. After all, who among us is perfect?

3. Be Conversational – Write as you speak to real people in a professional situation. Avoid stuffy

corporate-speak and mannered language. In fact, avoid words like "mannered." That said, also avoid

slang that will unfairly diminish you and your superior intellect.

4. Add Value – Social media is no different than other types of communication. It should help others

build their business, improve their skills, solve problems or understand our firm better.

5. Spread the Good Word — When you have something good to say about our firm, say it on multiple

social media sites.

6. Honesty is the Best Policy – Never represent yourself or our firm in a false or misleading way. Be

transparent about your identity and relationship to our firm.

7. Stay In the Zone – Cover your areas of expertise, especially when referencing corporate products.

If you are not an expert, make this fact clear to your readers.

8. No Demagoguery – Limit personal opinions to your personal life. Even then, keep controversial

opinions off personal social media pages.

9. When In Doubt, Don't – If you have to think twice about a post, this is typically a good sign that it

should not be published.

10. Observe Copyright Laws – Give credit where credit is due.

11. Respect Confidentiality – Ask permission to repeat conversations and forward communications.

12. Avoid Hot Buttons – Do not participate in social media when the topic is a breaking event. Gilbert

13. Follow the firm's Code of Conduct.

14. Follow the firm's Privacy Policy.

15. Adhere to the firm's E-mail & Internet Usage Policies.

16. What Happens At Social Events Stay There — Photo sharing sites like Picasa and Flickr are

social media. Post photos taken at company gatherings with the greatest care and consideration.

17. Be Non-Confrontational – Avoid sarcasm and be mindful of tone. Do not escalate a potentially

volatile situation. Politely disengage from the conversation instead.
 
 

For More Information About The Potential Risks of Social Media Or For Your Free Commercial Insurance Quotes Please Contact Jason Shroot at 714-988-3325 or Please Visit Diversified Insurance Solutions at www.jasonsellsinsurance.com.  You May Also Email Jason Shroot at jason@diversifiedinsurancequotes.com

 

Running A Business Without Cyber Liability Coverage...

Every day small, medium and large businesses are victims of cyber crimes committed by hackers. There is a cyber liability exposure for every type of business operation—from “Mom & Pop” stores to multibillion-dollar corporations.
Many insureds think their comprehensive general liability policies will cover these security breaches, but they are wrong. With gaps created by exclusions and endorsements on the general liability policy, special cyber liability insurance coverage has become a necessity.

Some examples of provided protection on the comprehensive cyber form include:

• Breach of Duty
• Security Costs
• Acts Performed By Third Parties (Contractors, Vendors, etc.)
• Privacy Claims Caused By Employees
• Media Liability (Copyright / Trademark Infringement & Personal Injury)

Security costs are one of the major benefits of comprehensive cyber liability coverage and include forensic costs, credit monitoring, public relations management and notification costs.

Other notable coverage in the comprehensive cyber form relates to damage caused by a hacker, business interruption and cyber extortion.

The first step in cyber insurance in understanding the coverage.

The next key step in the process is to understand who has exposure and the severity of this exposure.
The simple answer is that “all business owners” are exposed. There are, however, some industries where the exposure is more severe and alarming than in others.

There are three major criteria that can be analyzed to determine if cyber coverage is necessary:
1) The first involves recording and tracking clients’ personal information including addresses, phone numbers, Social Security numbers, credit card numbers and other sensitive information.

 2) The second criteria are the operation of a website or server to run one’s business.

 3) The third and final criteria involve credit and debit card transactions by a business.


Keep in mind, cyber liability coverage is complex and consistently evolving.
Nearly every business in operation has been exposed, and stories of substantial losses are spreading through word of mouth and media outlets. With the adoption of technology in the business world, growing Internet threats and future technology advances, the time to position oneself as a cyber liability expert is now.

Please Call Jason Shroot @ 714-988-3325 To Discuss How We Can Protect You From Your Cyber Liability Risk.

Classifying a Business Properly

The Importance of Correctly Classifying a Business


Print Classifying a business correctly is an important step in providing coverage for a risk because proper classification supports the rating structure and allows an insurance carrier to charge a rate that is commensurate with business exposures. If a business is not classified correctly, then a consumer will not be treated fairly.

For instance, when a business is classed incorrectly, the insurance carrier may use rates that are not commensurate with exposures, losses may be reported incorrectly which will skew the rating structure, or the policyholder may unnecessarily under pay or over pay their premium. Additionally, classification errors usually get caught at time of a premium audit which can lead to an unwelcomed surprise for the policyholder.

Some reasons why classifying a business can be challenging are outlined below.

Limited Number of Classifications

There are thousands of different businesses, but only a limited number of classification codes. Workers' compensation has approximately 700 and general liability has about 1,200. This means that a single classification code typically describes more than one specific business type.

For example, the classification of "STORE: RETAIL NOC" is a kind of generic store classification that can probably be applied to about 30 different kinds of store operations ranging from cigar stores to computer stores. Also, there are classifications that are very specific and only apply to one type of business and nothing else such as "ARCHITECTS & ENGINEERS – CONSULTING" which is restricted to businesses that only perform that particular type of work.

Unique Differences between Workers' Compensation and General Liability Classifications

Workers' Compensation

The first Workers' Compensation Rule for Classification Procedures states that we should assign the ONE basic classification that best describes the business of the employer within a state. With some exceptions, Workers' Compensation basic classifications include all of the various types of labor found in that business. The one exception as mentioned above is standard exceptions such as clerical office employees, outside salespersons, drivers, etc. Standard exceptions are named as such as they are standard for most businesses and exceptions to all the Rules that apply to BASIC classifications.

General Liability

There is no such thing as a basic class for general liability A rule does not exist stating that you have to find the one classification that best describes the business. Also, there is no rule about the classification within a state. Adding a classification is much easier with general liability than it is with workers' compensation. The rules for general liability state that you assign classifications based on the policyholder's business operations, or enterprises. Instead, you simply choose the classification(s) which best describes the operation or operations. More than one classification assignment may be necessary because one business may have multiple business operations or enterprises. A business may only have one legal entity, but may have several classifications based on their exposures to the general public.

What does this mean? A business may have only one classification for workers' compensation, but have several classifications for general liability.


Classifying a business correctly does take lost of insurance experience and knowledge. To ensure you have a commerical insurance policy that is properly set up please contact Jason Shroot @ 714-998-3325 or jason@diversifiedinsurancequtoes.com 

The Top 10 List of Necessary Commercial Insurance Coverages....

10 Important Business Insurance Coverages 

I’m not a cookie cutter type of guy.  Not personally and especially not professionally.

I have carried this belief into my insurance career and practice it with every client I meet.  I don’t believe in one-size fits all.  To me “One-Size Fits All” means everyone is exactly the same.  And that's not necessarily true...No two businesses are the same which means that no two clients are the same...which means that no two insurance policies should be the same either. 

However, there are several coverages which I feel need to be addressed with every single commercial client - no matter how big or small that business is.  As all these coverages are fundamental to protecting every business. 

The following is a list of 10 coverages that I discuss with every client I sit down with:

1. Building and Business Property
2. General Liability
3. Business Income
4. Crime
5. Tech Liability
6. Business Auto
7. Workers Compensation
8. Disability
9. Professional Liability (Errors and Omission)
10. Employment Practices Liability

The are many more possible insurance coverages that your Business may need.  As such, it is important to develop a strong working relationship with your local independent insurance agent, Jason Shroot, as he will ask many questions in understand the specifics of your business.  To start the analysis of your current business insurance needs, please contact 714-988-3325.

Texting Banned for Drivers of Big Rigs and Buses

Transportation Secretary Ray LaHood announced Tuesday that text messaging by drivers of large trucks and buses has been banned.

Offenders could be charged with up to $2,750 in fines and penalties.

Research has found that truck drivers regularly look away from the road when sending and receiving text messages, increasing the likelihood of an accident significantly. Some companies ban employees from texting while driving a company vehicle.

The National Safety Council estimates that 200,000 crashes are caused each year by drivers who are text messaging.

Nearly half of all states have banned text messaging while driving, and other states are considering similar legislation.