R&R Insurance Blog

This is an unpublished case from District IV of the Wisconsin Court of Appeals filed on 5/22/14.

ISSUE: Was the lawyer in the course and scope of his employment when he was on a trip to a motorcycle rally with a client?

ANSWER: Not in this case – work comp benefits denied.

FACTS:
Westerhof was an attorney and shareholder in the law firm of DeWitt, Ross & Stevens. In an effort to market himself he joined a poker group which included small business owners and a real estate appraiser, S. Franken. The law firm would reimburse Westerhof for expenses involving this poker group from time-to-time.

Westerhof handled a small claims action for Franken which involved a cabin Franken owned near Wisconsin Rapids. Westerhof filed an answer to the complaint of Franken’s behalf, and also moved to void an insurance release.

A few months later, Westerhof asked Franken if he could go with Franken and his wife to a Harley-Davidson Rally in Tomahawk. There is some inconsistent testimony on whether the three of them had originally planned to take some pictures of the cabin on the way up to the Rally. Regardless, the plan changed due to a delay in their departure from Madison, and they did not stop at the cabin. Nevertheless, Westerhof testified that he considered the excursion to be a business trip.

Somewhere near Wausau, Westerhof lost control of the motorcycle and was severely injured.

Westerhof sought worker’s compensation benefits claiming that the injury arose out of his employment because at the time he was “rainmaking” or “networking” on behalf of the firm.

The Administrative Law Judge and the Labor and Industry Review Commission (LIRC) denied Westerhof’s claim. Westerhof appealed to the circuit court which affirmed LIRC’s decision.

The Court of Appeals affirmed the lower court’s decision and ruled that in this set of facts, Westerhof was not in the course and scope of his employment. Westerhof did not initiate the event to entertain a client. Rather he was a guest on a personal trip initiated by Franken.

The court stated that even if the poker games could be considered client entertainment or business-related networking, it does not follow that every trip or activity that Westerhof and Franken undertook together was client entertainment or business-related networking.

COMMENTS:
The case is available if you want to read it. It reviews prior cases where work comp benefits were awarded, and then distinguishes this case from those.

This material is for informational purposes only and not for the purpose of providing legal advice. R&R Insurance Services, Inc. is not a law firm. You should contact your attorney to obtain advice with respect to any issue or problem specific to your business.

Best practices for employers with outdoor workers:

• Train employees and supervisors in heat illness prevention, as well as how to recognize the symptoms of heat-related illness and what to do if someone exhibits symptoms
• On days when temperatures require preventive measures, increase the volume of water available to employees. California suggests one quart per hour. It is not enough to simply provide it - workers must be encouraged to drink the water.
• Have shade available for outdoor workers and allow frequent breaks - at least 5 minutes of rest when an employee believes they need a preventative recovery period.
• Have the ability to appropriately respond to any employee with symptoms of illness
• Allow gradual acclimation for workers unaccustomed to working outside - it can take 4 to 14 days
• Know where the nearest hospital is and directions to your work site in case emergency medical attention is needed

Heat-related resources

• Heat Illness - materials in multiple languages
• CDC Extreme Heat
• National Weather Service warnings - or search by state
• Heat Stress Control and Heat Casualty Management (PDF) guidance from the Department of the Army and Air Force
• OSHA Technical Manual on Heat Stress
• CDC Frequently Asked Questions (FAQ) About Extreme Heat
• Heat Stress: Fluid and Electrolite Imbalance Can Be Fatal
• Heat-Related Illness Prevention - California Division of Occupational Safety and Health
• Outdoor Heat Exposure - Washington State Department of Labor and Industries
• NIOSH: Working in Hot Environments

No one day is the same for Lisa Bergersen, HR Director with the City of Pewaukee. In addition to administering personnel benefits, Lisa also works closely with the common council, mayor and city administrator on unemployment and HR strategy. Many time-sensitive occurrences happen on a day-to-day basis that require quick decisions and Lisa’s immediate action. Through the city of Pewaukee’s partnership with R&R Insurance, Lisa has defined the following 3 factors as important components to the customer service provided by her Knowledge Broker.

1. Quick Answers:

Getting the answers you need in a timely fashion is a customer’s expectation of any service provider. When your question impacts the lives of many and has a financial impact on taxpayers, quick response is an even more critical element to the level of customer service provided. With Lisa Bergersen’s role directing HR efforts for the city of Pewaukee, she leans on the expertise of her R&R Insurance Knowledge Broker for answers to her questions. Everything from personnel issues, group benefits, policies and legal matters; questions should be addressed in a way that makes you feel like you are your agent’s only client.

2. Strategy:

Oftentimes when we receive an answer to our question, we are left with the feeling of ….what now? Co-workers and team members do not always possess all the information or expertise needed to make the best decisions for an organization or business. Having the confidence to rely on a consultant who specializes in municipal insurance matters can provide efficiencies and save money. Lisa finds value in having the opportunity to talk through occurrences and issues with her R&R Knowledge broker so that a recommended strategy is put into place. They work through the overall direction to handle the situation while giving thought to minimizing risk and the appropriate communication to be shared among employees and / or residents.

3. Action Plan:

Her law school experience has helped Lisa understand the importance of asking the right questions and expecting timely response in order to be efficient and effective in her job. Creating an action plan with the help of her agent may be the most crucial factor when human resources and other municipal insurance issues arise. Knowing you have a knowledgeable resource to lend credibility and ensure no details are overlooked can provide incredible peace of mind.

Relying on specialized, service-centric experts to provide municipal insurance consultation and risk management recommendations is key to successful city and village administration. Service focused on timely response, strategy development and action plans will help representatives create efficiencies and keep costs down.

What municipal insurance challenges does your city or village face each day?

We talked about a great article we came across by Jim Guidry of the Wisconsin Office of the Commissioner of Insurance that talked about a way to protect your personal property by using your iPhone® or iPad®, he also gave some pointers on how to complete a home inventory.

(Hint) A suggestion from our staff is to hire your teenager to do this for you.

Take these 9 easy steps to complete a home inventory:

1. Make a list of possessions, including "celebration" purchases, such as jewelry and fine art.
2. Think about family heirlooms, collections and furniture. Also, consider items related to everyday leisure time, from flat-screen televisions to custom guitars.
3. Take note of commonplace items such as toys, CDs and clothing. Do not forget items you may only use occasionally such as holiday decorations, sports equipment, tools, and high-ticket items kept outside your home such as landscape and swing sets.
4. Attach copies of original sales receipts and/or appraisal documents to your inventory. Be sure to note model and serial numbers.
5. Group your possessions into logical categories. (i.e., by hobby, by room in your home)
6. Carefully photograph or videotape each item and document a brief description, including age, purchase price and estimated current value.
7. Remember to open drawers and closets to document what is inside.
8. Store your home inventory and related documents in a safe, easily accessible place, such as a secured site/file online, a fire-proof box or in a safe deposit box. You may want to share a copy with your insurance provider to make necessary updates to your coverage.
9. Review and update your inventory annually and anytime you make a significant purchase.

More information on home inventories can be found on our website. Wisconsin residents who have more questions on home inventory or homeowners insurance, please contact KnowledgeBroker, Dan Wolfgram.

What would happen if your home was completely destroyed by fire or tornado? Would you be able to replace it? When it comes to insuring your home, it doesn't really matter how much it is worth, but rather it's important to determine how much it will cost to replace the dwelling.

Reconstruction values may be drastically different from the market value, especially in today's housing market. It's important to have your agent run a replacement cost estimator of your home. You can also run your own replacement cost estimators on sites like AccuCoverage. Enter the details about your home carefully, even if it takes some extra time to dig out the paperwork. Accurate details will provide a more accurate replacement cost on your home. Then, if a catastrophic loss occurs, you can be sure you have the right coverage to replace your home.

According to the executive director of United Policyholders, Amy Bach, predicting the replacement cost requires more than making a ballpark guess. "Computers don't build houses," Bach says, "Contractors do, but you've got to start somewhere." Bach went on to say that more than 67% of homeowner's are underinsured.

How can homeowners be under-insured on their home replacement costs?

• Construction costs have increased
• People forget to let their agent know about additions
• The initial replacement estimate was too low
• Coverage hasn't been reviewed annually

For example, if you have a dwelling with extended replacement cost on a home insured for $200,000, the most the insurance policy will pay out will be $250,000 if the home is a total loss. The extra coverage provides a safeguard in case the home isn't insured for enough - but it still may not be enough! The best way to make sure you are fully insured to replacement value, is insuring your home with guaranteed replacement cost. Many of our carriers offer guaranteed replacement cost which pays the full cost of replacing or repairing a damaged or destroyed home, even if it is above the policy limit.

Wisconsin residents, contact knowledgebroker Dan Wolfgram for more information or a quick quote on your home & auto insurance!

Bullying is in the news more and more and even being displayed throughout social media. Nationwide, one in six students in grades 6 through 10 say they’re bullied several times a month; nearly one in five students report being the bully at least sometimes, according to a 2001 Olweus study.

R&R Insurance is an endorsed agent for the Wisconsin Association of School Boards (WASB). We can assist school districts in Wisconsin with their anti-bullying policies to help prevent bullying and reduce your risk. Contact Bill Hattendorf for information about R&R's free anti-bullying posters for Wisconsin schools.

The emergence of Spring after a long Winter (which in our area feels more like an eternity of arctic-comparable misery) means many things: birds chirping, life's renewal, flowers blooming, and the scary stuff... thunderstorms. On one hand, thunderstorms bring heavy rainfall that washes away the snowy remnants of months past. On the other hand, they often arrive with a dangerous foe we call lightning.

Ted Marino, resident of Brookfield WI and an R&R customer since 1984, explains the peace-of-mind he had immediately after his home caught fire from a lightning strike during a storm in 2010. Ted and Chris escaped without harm, but their house was another story...

Technically speaking, lightning is an electrical discharge caused by an imbalance of negative and positive charges. Thunderstorms often result in the storm clouds becoming negatively charged due to various colliding water particles, while objects on the ground become positively charged. In an attempt to rebalance this, electrical currents pass between the negatively and positively charged entities –producing bolts of electricity and heat that are both fascinating and incredibly dangerous.

Stay safe when lightning strikes:

• If you hear thunder or see lightning, move to a safe shelter (such as a building or metal-topped vehicle with the windows closed)
• If you are in or near a body of water, get out immediately!
• Stay off any electrical equipment (such as corded phones and computers)
• Steer clear of objects that conduct electricity (such as golf clubs, barbed wire fences, power lines, and windmills)
• Keep away from high points of elevation

When it comes to lightning, an alarming number of people believe the myth that “lightning never strikes the same place twice.” In fact, lightning can and will strike the same place twice (National Geographic reported about 100 strike earth’s surface every second) and at temperatures up to five times hotter than the sun!

Wisconsin residents can have the same peace-of-mind that the Marino's experience. Contact knowledgebroker Dan Wolfgram for more information about personal insurance options through R&R Insurance Services.

By now, the deadline for registering for individual health insurance on healthcare.gov has come and gone. However the Wisconsin Office of the Commissioner of Insurance (OCI) is warning consumers to verify the status of their health insurance. The OCI has received numerous reports of consumers enrolled in incorrect plans. Much of the confusion is coming from a technical problem dealing with the zip code: either the pulled premium rate was for the wrong area or some insurers didn’t even have plans for listed zip code. In the most extreme cases, consumers are left without coverage but may not have been informed.

What to do? Be proactive and verify your coverage:

• Confirm you have received your enrollment materials
• If you have NOT received your enrollment materials within the expected time frame, check the status with your agent or insurance company
• Verify payment has been received by the insurance company
• Review policy documents that deductibles and co-pays match what you were expecting
• See discrepancies? Contact your insurance company immediately

Wisconsin residents, still have questions about your individual health insurance? Contact Donna Wahl.

One of the most important aspects of a disability policy most often gets overlooked. It's your retirement contributions. Sure you make them when you are working, receiving a full income. But what happens to the contributions if you were to become disabled? There is protection for this as I explain in this short video.....

Wisconsin doctors, dentists and attorneys, contact Donald Levings, Disability Specialist for R&R Insurance Services for more information about protecting your future.