Natural Catastrophe Insurance Checklist for Getting Claims Paid

Natural Catastrophe Insurance Checklist for Getting Claims Paid

As natural disasters grow in number and intensity, businesses need to understand the scope of the insurance policies they have, identify any coverage deficiencies, and learn how to receive the maximum payout from their insurers.

Affected companies should not only consider filing claims for property damage if there is any, but also business interruption losses due to damaged facilities or equipment, incapacitated suppliers, damaged infrastructure, evacuations, and more.

Most commercial property policies include business interruption coverage, which an affected enterprise should not overlook, but that may not cover all the reasons for a business’s interruption. There may also be additional expenses that you incur as a result of a natural disaster and that your property policy may not cover.

Here’s a look at the various types of insurance that may come into play if your business is affected by a catastrophe:

Your property policy  Look to your property policy for coverage concerning any physical damage to your facilities as well as building contents, machinery and inventory. Policies will usually insure against covered natural disasters, but depending on where you live there may be limitations on coverage, particularly flooding.

Business interruption coverage This is often included as part of a property policy. It reimburses your firm for income losses stemming from interruptions to daily operations caused by damaged machinery or premises that results in lost production and/or sales.

It will typically cover lost sales from the time the covered event damaged the facility until repairs are made and production recommences.

Extended business interruption coverage  This coverage (available as an endorsement to your business interruption coverage) goes beyond the scope of typical business interruption coverage and increases the amount of time that you are covered for lost income.

It will typically reimburse your firm for lost sales starting from the time your property is repaired until the business reaches full production capacity and has returned to the same revenue levels as before the covered event. Each policy is different and may limit the amount of time it will provide coverage.

Contingent business interruption insurance  You can tap this endorsement coverage if your business loses revenue as a result of damage to a supplier’s, vendor’s or customer’s facilities. It pays for ongoing expenses while you search for a new supplier, partner or major customer to restore lost sales.

Your premises does not have to have been damaged to file a business income loss claim, unlike the above types of business interruption coverage.

Other coverages that may come into play after a natural disaster include:

Civil authority coverage  This is triggered when civil authorities restrict access to your premises due to an event that occurred elsewhere in your area. Damage to your property is not necessary to file a claim.

Ingress/egress coverage  This will reimburse you for lost profits due to damage that restricts access to your premises, such as a key road that is damaged, preventing personnel, suppliers and/or customers from reaching your facilities. Damage to your property is not necessary to file a claim.

Extra expense coverage  This valuable coverage will cover costs you incur (except for repairs and rebuilding) after a catastrophe or other covered event damages your facilities. For example, it would cover the cost of moving to a temporary site and outfitting it for production purposes.

The takeaway

After a covered event, it’s important that you calculate all of your physical and business income losses in order to collect the maximum you can from your policies.

Make sure you have complete and detailed documentation of all of your losses. You’ll need receipts and proof of your monthly revenue stream before and after an event to accurately illustrate your business income losses.

The more thorough your documentation, the more likely you’ll receive full payout. It also bolsters your case and makes it more difficult for the insurance company to reject the claim.

While claims for physical damage are pretty straightforward (as long as you have proof of purchase for all of your damaged inventory, equipment and furnishings), disputes may arise over the amount of lost income for a business interruption claim.

Finally, the COVID-19 pandemic has created severe supply chain disruptions and a general shortage of construction materials and labor, which is increasing rebuilding costs.

You should talk to us to make sure that your current policy limits reflect today’s higher construction, repair and replacement costs. They may be significantly higher than when you last renewed your property policy.

If you would like to speak with us call Gary Wallach at 914-806-5853 or click here to email or click here to visit our website.

BGES Group’s office, located in Larchmont, NY is a full service insurance agency offering, Property, Liability, Umbrella Liability, Business Auto, Bid & Performance Bonds, Inland Marine, Worker’s Compensation, New York State Disability, Group Health, Life insurance, Personal lines and Identity Theft.

Special Contractor Insurance Programs (NY, NJ, CT) – We we have 60+ insurance companies to market your general liability, umbrella liability, business auto, workers compensation, bid & performance bonds and group health coverages. We help contractors set up proper risk transfer. If you’re a contractor we offer extensive information about insurance markets, coverages, risk transfer, subcontractor screening, ways to lower your insurance costs.

BGES Group are Worker’s Compensation Specialists for the States of New York, New Jersey and Connecticut – Issues we address: 1) Lowering pricing – we have specialty programs that can save you up to 40%; 2) Finding a new company; 3) Replacing policies that are being cancelled or non renewed; 4) Audit disputes; 5) Company creating fictitious payroll at audit time; 6) Lowering high experience modifications factors; 7) Misclassification of payrolls; 8) Lowering or eliminating renewal deposits;  9) Getting coverage when you’ve been without for a few months; 10) Covering multiple states under one policy; 11) Eliminating 10% service or policy fees; 12) Timely issuance of certificates; 13) Always being able to get someone on the phone or by email when you need to.

If you would like to speak with us call Gary Wallach at 914-806-5853 or click here to email or click here to visit our website.

Company: BGES Group, 216A Larchmont Acres West, Larchmont, NY 10538

e-mail: bgesgroup@gmail.com

website: http://www.bgesgroup.com

© – Copyright – 2022 – BGES Group

Transitioned to Remote Work? Don’t Fall Afoul of Wage and Hour Laws

Employers complying with wage and hour laws.

With many companies having decided to allow staff to work remotely permanently or split time between working at home and in the office, employers have to be especially careful about timekeeping and complying with wage and hour laws.

That includes requiring staff to show they take meal and rest breaks and are compensated for overtime when they are asked to work extra hours.

The lines between work and home life can often blur for remote workers and it’s not unusual for people to work at unusual times when working from home. But it’s important that you set rules for your employees to ensure they are not working more than they should, particularly for nonexempt employees.

Also, because time can pass quickly when working remotely, it’s easy for employees to work past quitting time because they lack the visual clues of others leaving the office at 5 pm.

If you fail to keep tabs on hours worked, meal breaks and rest breaks, your organization could be sued by employees who feel cheated ­вЂ” or face enforcement action by the state.

To avoid that here are some tips you may want to consider:

Keep a general schedule for workers вЂ” By creating a schedule for employees to follow, it will be easier for managers and supervisors to monitor their hours. Require staff to follow the schedule and take meal and rest breaks as if they were in the office.

Require these employees to record their time worked вЂ” There are a number of time-tracking applications and tools available to employers who have remote workers. An off-the-shelf app can be easily installed on your employees’ computers for them to log into when they start and finish work and take breaks. These apps also help you keep track of any overtime they may work.

Closely monitor employees for overtime worked вЂ” One of the biggest risks in the wage and hour arena is not paying workers for overtime. This mistake is much easier to make when you have staff who work remotely. Don’t run afoul of overtime laws. Carefully monitor any and all overtime your staff logs.

Check in with your workers вЂ” A friendly reminder never hurts. You may want to connect with your employees on occasion to make sure they are taking scheduled paid rest breaks as well as their lunch breaks in accordance with state laws. All your staff should have a copy of your meal and rest break policy, which should be written in clear language to reinforce the importance of taking scheduled breaks.

The takeaway

If you have staff who work from home full-time or a few days a week, inform them that they need to track their time, take required breaks and report any overtime they work.

This is most important for nonexempt staff, whom you are required to pay overtime if they work more than eight hours a day.

 

 

If you would like to speak with us call Gary Wallach at 914-806-5853 or click here to email or click here to visit our website.

BGES Group’s office, located in Larchmont, NY is a full service insurance agency offering, Property, Liability, Umbrella Liability, Business Auto, Bid & Performance Bonds, Inland Marine, Worker’s Compensation, New York State Disability, Group Health, Life insurance, Personal lines and Identity Theft.

Special Contractor Insurance Programs (NY, NJ, CT) – We we have 60+ insurance companies to market your general liability, umbrella liability, business auto, workers compensation, bid & performance bonds and group health coverages. We help contractors set up proper risk transfer. If you’re a contractor we offer extensive information about insurance markets, coverages, risk transfer, subcontractor screening, ways to lower your insurance costs.

BGES Group are Worker’s Compensation Specialists for the States of New York, New Jersey and Connecticut – Issues we address: 1) Lowering pricing – we have specialty programs that can save you up to 40%; 2) Finding a new company; 3) Replacing policies that are being cancelled or non renewed; 4) Audit disputes; 5) Company creating fictitious payroll at audit time; 6) Lowering high experience modifications factors; 7) Misclassification of payrolls; 8) Lowering or eliminating renewal deposits;  9) Getting coverage when you’ve been without for a few months; 10) Covering multiple states under one policy; 11) Eliminating 10% service or policy fees; 12) Timely issuance of certificates; 13) Always being able to get someone on the phone or by email when you need to.

If you would like to speak with us call Gary Wallach at 914-806-5853 or click here to email or click here to visit our website.

Company: BGES Group, 216A Larchmont Acres West, Larchmont, NY 10538

e-mail: bgesgroup@gmail.com

website: http://www.bgesgroup.com

© – Copyright – 2022 – BGES Group

Pre-Existing Conditions Weigh Heavily on Workers’ Comp Claims

Pre-Existing Conditions Weigh Heavily on Workers’ Comp Claims

Your workers’ underlying health can greatly affect the amount of time they are off the job recovering from a workplace injury.

Employees with pre-existing health issues like hypertension, obesity and mental health spend 60% more time recovering from workplace injuries than healthy workers, according to a study by Newport Beach, CA-based Harbor Health Systems.

These underlying health issues affect the cost of claims, increase temporary total disability (TTD) days, recidivism (aggravating of the original injury), and lead to more litigation and surgery, according to the industrial injury clinic’s analysis of 7,000 injured worker cases it handled.

The longer it takes for a worker to recover and return to work, the more expensive the claim becomes, which can affect the employer’s future workers’ comp premiums.

The findings illustrate the importance of trying to keep your employees healthy through wellness programs and access to health insurance to control their conditions.

The study looked at seven comorbidities:

  • Obesity
  • Diabetes
  • Hypertension
  • Addiction
  • Mental health
  • Tobacco use, and
  • Multiple comorbidities (more than one of the above)

Shocking outcomes

The two comorbidities that have the greatest impact are multiple comorbidities and obesity, followed by addiction, mental health and hypertension, with diabetes and tobacco having the lowest impact.

Relationships between comorbidities — such as the link between obesity and diabetes – can exacerbate complications and health risks. The age of the injured worker is another factor that is associated with comorbidities and can complicate the management of a claim.

Duration and cost

  • For claims involving multiple comorbidities, claim duration increased by 76%.
  • For claims involving addiction, duration increased 67%.
  • For claims involving obese individuals, duration increased 55%.
  • For claims with multiple comorbidities, total incurred costs rose by 341%.
  • Claims in all the comorbidity groups had significantly higher TTD days compared to the control group.
  • TTD days increased by 285% for multiple comorbidities claims, and 274% for addiction-related claims.

Litigation

  • Litigation rates for claims with multiple comorbidities are 147% higher compared to claims with no comorbidities.
  • Litigation rates for claims of injured workers with an addiction are 224% higher.
  • Litigation rates for claims of injured workers with mental health issues are 248% higher.

The takeaway

You can encourage your employees to improve their health through company wellness plans and ensure that they have access to health insurance to treat their medical issues.

Claims management experts say that insurance company adjusters need to intervene early in cases for injured workers with these comorbidities.

BGES Group’s office, located in Larchmont, NY is a full service insurance agency offering, Property, Liability, Umbrella Liability, Business Auto, Bid & Performance Bonds, Inland Marine, Worker’s Compensation, New York State Disability, Group Health, Life insurance, Personal lines and Identity Theft.

Special Contractor Insurance Programs (NY, NJ, CT) – We we have 60+ insurance companies to market your general liability, umbrella liability, business auto, workers compensation, bid & performance bonds and group health coverages. We help contractors set up proper risk transfer. If you’re a contractor we offer extensive information about insurance markets, coverages, risk transfer, subcontractor screening, ways to lower your insurance costs.

BGES Group are Worker’s Compensation Specialists for the States of New York, New Jersey and Connecticut – Issues we address: 1) Lowering pricing – we have specialty programs that can save you up to 40%; 2) Finding a new company; 3) Replacing policies that are being cancelled or non renewed; 4) Audit disputes; 5) Company creating fictitious payroll at audit time; 6) Lowering high experience modifications factors; 7) Misclassification of payrolls; 8) Lowering or eliminating renewal deposits;  9) Getting coverage when you’ve been without for a few months; 10) Covering multiple states under one policy; 11) Eliminating 10% service or policy fees; 12) Timely issuance of certificates; 13) Always being able to get someone on the phone or by email when you need to.

If you would like to speak with us call Gary Wallach at 914-806-5853 or click here to email or click here to visit our website.

Company: BGES Group, 216A Larchmont Acres West, Larchmont, NY 10538

e-mail: bgesgroup@gmail.com

website: http://www.bgesgroup.com

© – Copyright – 2022 – BGES Group

Tips on Tackling Employee Dishonesty

Employee dishonesty that leads to some type of theft or embezzlement, be that of company funds, assets or vital company data, can be a serious threat to your bottom line.

There are ways you can mitigate the risk by sticking to proven hiring principles, and putting in place procedures and safeguards to reduce the likelihood of employee theft. Your strategy should also include securing employee dishonesty insurance coverage, just in case.

Small and mid-sized businesses suffer disproportionate losses from employee dishonesty because they typically have limited resources to devote to detecting fraud or theft, according to the Association of Certified Fraud Examiners. It recommends the following:

Hire wisely вЂ” Conduct pre-employment background checks of job applicants that include the following:

  • Criminal history for crimes involving violence, theft and fraud.
  • Civil history collections, restraining orders or fraud lawsuits.
  • Driver’s license check for numerous or serious violations.
  • Education verification of any degrees the applicant claims.
  • Calling former employers to verify the positions the applicant held, length of employment, and reasons for leaving.

Checks and balances вЂ” No employee should be responsible for both recording and processing transactions. Separate responsibility for these functions.

Control access вЂ” Restrict access to physical and financial assets and information to authorized employees only.

Authorization controls вЂ” Develop policies to determine how financial transactions are initiated, authorized, recorded and reviewed.

Keep staff posted вЂ” Educate employees on your policies and procedures related to fraud, the internal controls you have set in place, as well as your company’s ethics policy and how you will mete out discipline for violations. Have all of your employees sign a form verifying that they have read and understand your policy.

Hold an annual training session on fraud and theft prevention.

Anonymous reporting вЂ” To ensure that your staff can feel protected if they become aware of employee theft or other dishonest behavior, provide for a reporting system for employees, vendors and customers to anonymously report any violations of policies and procedures.

Take reports seriously and investigate thoroughly.

Audits вЂ” You should already be conducting regular audits. But you should also conduct unannounced audits, that give employees no time to cover their tracks if they’ve been stealing.

By conducting audits, you also convey to your staff that you are serious about fraud prevention. Audits can also kill any temptation on the part of an employee to engage in theft by making them uncomfortable about engaging in fraudulent behavior.

Probe reports вЂ” Investigate every incident and report, no matter how small. A thorough and prompt investigation of policy and procedure violations, allegations of fraud, or warning signs of fraud will give you the facts you need to make informed decisions and reduce potential losses.

Analyze bank statements вЂ” Review bank statements prior to passing them to the bookkeeper.

Expense procedures вЂ” Have a strict documentation policy for expense reports and audit the reports prior to payment.

Check inventories вЂ” Conduct physical inventories frequently and reconcile the inventory to sales.

Check rules вЂ” Limit the number of check signatories to a few trusted staff, and keep blank checks in a secure location.

Lock the cash вЂ” Allow a limited number of employees the ability to disburse petty cash. Require a receipt for all petty cash disbursements.

Anti-theft devices вЂ” Buy security and fraud-resistant products such as special cash drawers that limit the ability to pilfer, tamper-resistant bank deposit bags, and clear-view employee bags that allow you to see the contents, to avoid staff slipping company assets into their purses or bags.

Insurance

Finally, you can consider purchasing employee dishonesty insurance. A typical policy includes:

  • Coverage for a loss involving money, securities and other property committed by the fraudulent act of any employee.
  • Coverage of a client’s property. Your business office package policy may not provide coverage if the theft is of your client’s funds, or if it is by a third party (non-employee).
  • Coverage for workers while working off-premises at a client.
  • Automatic credit-card forgery coverage.
  • Automatic Employee Retirement Income Security Act bond coverage is included on most policies, eliminating the need to maintain a stand-alone ERISA bond.

If you would like to speak with us call Gary Wallach at 914-806-5853 or click here to email or click here to visit our website.

BGES Group’s office, located in Larchmont, NY is a full service insurance agency offering, Property, Liability, Umbrella Liability, Business Auto, Bid & Performance Bonds, Inland Marine, Worker’s Compensation, New York State Disability, Group Health, Life insurance, Personal lines and Identity Theft.

Special Contractor Insurance Programs (NY, NJ, CT) – We we have 60+ insurance companies to market your general liability, umbrella liability, business auto, workers compensation, bid & performance bonds and group health coverages. We help contractors set up proper risk transfer. If you’re a contractor we offer extensive information about insurance markets, coverages, risk transfer, subcontractor screening, ways to lower your insurance costs.

BGES Group are Worker’s Compensation Specialists for the States of New York, New Jersey and Connecticut – Issues we address: 1) Lowering pricing – we have specialty programs that can save you up to 40%; 2) Finding a new company; 3) Replacing policies that are being cancelled or non renewed; 4) Audit disputes; 5) Company creating fictitious payroll at audit time; 6) Lowering high experience modifications factors; 7) Misclassification of payrolls; 8) Lowering or eliminating renewal deposits;  9) Getting coverage when you’ve been without for a few months; 10) Covering multiple states under one policy; 11) Eliminating 10% service or policy fees; 12) Timely issuance of certificates; 13) Always being able to get someone on the phone or by email when you need to.

 If you would like to speak with us call Gary Wallach at 914-806-5853 or click here to email or click here to visit our website.

Company: BGES Group, 216A Larchmont Acres West, Larchmont, NY 10538

e-mail: bgesgroup@gmail.com

website: http://www.bgesgroup.com

© – Copyright – 2022 – BGES Group