R&R Insurance Blog

Our hearts are heavy with yet another active shooter event in Milwaukee at Azana Spa in Brookfield, WI. Our thoughts and prayers go out to the families of the victims, and our wishes for a speedy recovery for the survivors.

Unfortunately, violent attacks are becoming more prevalent in our schools and workplaces.  Being able to protect yourself begins with having a good sense of what is going on around you - scope out the situation and listen to your instincts. 

This DHS video "Run Hide Fight" gives excellent detail on how to deal with an onsite violent attack.

In the event that something should happen, first look to escape.  Hopefully by having a sense of your surroundings you have also scoped out your exits.  Next option is to barricade yourself or take cover.  Be resourceful - there is a difference between a solid barrier (i.e. a concrete wall) and hiding behind a chair or table.  This is real life - not the movies!  Once you safely exit the building, or remove yourself from the situation, do not let down your guard!  What if the shooter returns?

While these events are extremely rare and you hope to never experience, they do happen and they are something that we must be prepared to respond to.

Wisconsin Businesses wanting more information on disaster planning or business continuation coverage, please contact Rick Kalscheuer

You may think the reason you pay for homeowner's insuranceis so that you can take advantage of it whenever you need it. But, it's not that simple! According to a CBS Moneywatch article, it's not only the fact that on renewal your homeowner's premiums will likely go up, but instead you could be non-renewed and may have a hard time finding replacement coverage with another carrier. Insurance companies use a database called Comprehensive Loss Underwriting Exchange or CLUE which makes claim information available to most insurance companies.

According to J.D. Howard, an executive director of the Insurance Consumer Advocate Network, “We always counsel people not to make a claim unless the cost of the repair is three times their deductible.” So for example, if you have hail damage to your roof that can be repaired for $1,000, and the deductible on your policy is $500, it’s probably better to pay for the repairs out of pocket. “The insurance company sees too many small claims as a homeowner using his insurance policy to pay for upkeep on his house,” Howard says.

Ultimately, if you need to use your insurance and submit a claim, do it. Also, consider a home deductible that matches the amount you'd be willing to pay out of pocket at the time of a claim because it could save you some money. Why carry a $250 deductible if your not going to make a claim for anything less than $5,000?? You can save some premium up front by adjusting your deductible to a higher amount, and by talking to an independent agent.

You may believe the reason you pay for homeowner's insurance is so that you can take advantage of it whenever you need it

A "real life" example from one of our clients comes from an unfortunate accident involving their son and his girlfriend.  Despite the tragic nature of the story, there was one less thing to worry about because they had proper insurance coverage.

One of our insured's 18 year old son was driving the insured's car for a quick trip to the store with his girlfriend, the claimant. The insured swerved to miss a dog and hit a tree. There were no witnesses and the claimant has no recollection of the accident.

The claimant, an 18 year old college student, was hospitalized for over three weeks with multiple fractures and internal injuries. She is able to walk with crutches but continues physical therapy, and she does have some permanent damage.

The insured's personal umbrella policy limit was used to cover the claimant's requests.

Wisconsin residents, please contact a KnowledgeBroker for more information on umbrella policies or to get a free insurance analysis of your homeowners protection.

Related articles:

Everything can change in the blink of an eye: The importance of an umbrella policy

The Importance of an Umbrella Policy

The Better Business Bureau compiled a list of the top 10 scams targeting people and we're shocked that we haven't heard of them! Scammers are getting more creative which means people need to continue to take addtional precautions.

10:  The job scam. An apparent employer, with a professional web site, conducts a phone interview and tells a job seeker they have received a job. The job seeker is then asked to fill out an online credit form, which is used to steal their identity.

9:  The sweepstakes or lottery scam. Users of social networking sites are the target, and once the victim clicks a link to claim their prize, scammers then have access to personal information.

8:  The social media scam. Scammers target anyone curious about a particular event or news story. The victims are asked to click the link and upgrade their flash player. The link instead downloads a virus that finds the victim's passwords.

7:  The home improvement scam. Seniors are the main targets, but scammers come to a person's home and say they can do work for a low price. Most of the time the scammers take the money and run.

6:  The check-cashing scam. Scammers target people selling items on places like Craigslist. They tell the seller after the transaction that they wrote the check for too much and ask for the difference to be wired back to them. The result is that the check bounces and the scammers get the wired money.

5: The phishing scam. Victims receive an email from an automated clearing house about an electronic transaction problem, and then the link takes the victim to a fake banking site that steals their information. This scam is targeted at anyone who pays bills online or uses online banking. 4: The identity theft scam. Hotel guest are the main target when traveling. Scammers call hotel rooms claiming to be the front desk and say there was a credit card problem. Tired travelers then give the numbers to the scammer.

4:  The identity theft scam. Hotel guest are the main target when traveling. Scammers call hotel rooms claiming to be the front desk and say there was a credit card problem. Tired travelers then give the numbers to the scammer.

3:  The financial scam. Scammers target homeowners who are behind on their mortgage and claim they can help deal with the mortgage company to keep the home. Once the scammers are paid to help, they leave the homeowner high and dry.

2:  The sales scam. If you are an online shopper looking for a bargain, you could be the target of this scam. Auction sites offer high-end electronics for just pennies per bid, but even if you don't win the item, you still have to pay.

1:  The Better Business Bureau scam. Business owners receive an email saying, "Complaint against your business." When victims click the link or attachment, it downloads malware that finds out bank information and transfers money.

While we hope you are never a victim of any of theses scams, we would love the opportunity to help make sure you are adequately protected.  Learn more about what personal insurance opportunities R&R has to offer.

Catalytic converters can be stolen in less than a minute. The current prices for precious metals are fueling this demand and converters contain precious metals. Rhodium sells for roughly $9,500 an ounce, while platinum pays at about $2,000. If sold for scrap, stolen catalytic converters go for around $100 to $150.

What Thieves Look For
Vehicles that sit higher from the ground, such as SUVs, trucks and pick-ups are the most vulnerable to catalytic converter theft because thieves can slide underneath without having to jack up the vehicle. Corporate fleets are more vulnerable because thieves can hit multiple vehicles in a single location.

Preventing Catalytic Converter Theft 

1. Have the converter clamped or secured to the vehicle's frame. A muffler shop can do this for you.
2. Always park in well-lighted areas.
3. Park within a fenced area that’s busy during the day and secured at night.
4. Vehicle security systems set to trigger with the slightest motion.
5. Check out the different types of catalytic converter theft deterrent systems at your local auto parts store or on the Internet. 

Confirm with your broker that you are covered in case of a catalytic converter theft or any other metal theft affecting your business. For more information on protecting your business, contact knowledgebroker Rick Kalscheuer. 

Metal Thefts Continue to Hit Businesses Hard

With so many "name your own price" online insurance companies these days, we are often asked "why should I work with R&R Insurance when I can just buy my insurance online?"

We had a gentleman approach one of our agents asking to review his current homeowners policy.  He believed he was paying too much with his current company and knows that R&R represents a variety of companies to get him competitive pricing.

Our agent suggested looking at his entire insurance coverage: home, contents in home, autos, and recreational vehicles.  A bigger, and often overlooked, part of this holistic insurance program is the liability coverage that is needed.  Too often online insurance companies convince consumers that it is all about "naming their own price".  The catch: often times their quote is for extremely low limits so they aren't finding you a better price, they're finding you less coverage.

After review, this gentleman had decent coverage for his home but was paying too much with his current company (which we offered a solution to lower his payments).  His auto insurance on the other hand was a different situation.  His auto insurance had liability limits of $25,000/$50,000/$10,000.  (Most people, including this gentleman, have no idea what this means nor should they - they are not insurance agents.)  With buying insurance online, you become your own insurance agent.

What do those numbers mean?  In the event of an accident, the most his policy would pay for injuries is $25,000 per person, but no more than $50,000 per accident.  If he is found at fault and wrecks another car (or property), his policy only pays $10,000.  Try to find a new car for $10,000.... (and imagine if it was a luxury vehicle - you may have some out of pocket expense!)

Where does this leave him? Fortunately he has not had an incident where these low limits have cost him future wages or savings.  Moving forward, he has a decision to make: continue to roll the dice or seek the advice of an R&R knowledge broker?  The best part about working with R&R Insurance is that we guarantee you will work with someone local and knowledgeable who can offer professional advice.  How much is that worth to you?

Wisconsin residents, for a free home and auto quote please visit our website.

Don't be surprised if your renewal comes through with a significantly reduced dividend or none at all. The insurance market is changing. The soft market and other external financial factors warranted workers compensation carriers to offer large flat dividends to their commercial insureds. Those days are numbered. (See CFO.com September 18, 2012: Insurance Rate Outlook: From Flat to Soaring) 

• If your flat dividend is significantly reduced, how do you fight to keep it?
• If you're offered either a flat or a variable dividend, how do you know which one to choose?
• Perhaps your only choice at renewal is a variable, how do you ensure that you receive the most dividend that you deserve? The simple answer to all of these questions is that you earn it... Here's how:

Fight to keep the flat dividend that you have
If your loss ratio is perfect and if you have the systems and programs in place to keep your losses at a very minimum, then your broker should be presenting you in that light. Prove that your business is worthy of the flat dividend by showing your process controls. Your loss ratio will be a key driver of this.

Flat or Variable Dividend - which one is right for your business?
This depends on your loss ratio. Obviously, if you have a big flat, then try to keep it. If you are offered a low flat or a higher variable dividend, it's a gamble. Do you have the processes in place to ensure a low loss ratio? Do you have a return to work program? A culture of safety? Accident investigation processes that work in your favor? How do you manage your experience MOD? If you're doing these things correctly, then perhaps the variable is the right choice. The correct processes and programs in place will enable you to earn as much of the variable that's offered.

If your only choice is a variable dividend, how do you earn the maximum? The same above applies. Earn it. Earn all of it. It's possible, with the right resources, the right processes, and a zero-accident culture, that your business can earn the workers compensation dividend that it deserves.

Wisconsin businesses, if you don't have these processes in place, if you don't have local in-house resources to help make this happen, or if your broker isn't looking out for your best interest when it comes to fighting for your dividend, then you need to contact a knowledgebroker.

Related information:

3 Ways to Improve Your Chances of Earning a Workers Compensation Dividend
Advantages of a Structured Return to Work Program
3 Common Mistakes of Accident Investigation
Making Time Work For You in a Workers Compensation Claim

Return to work quick videos

A lot of business owners concentrate on the dividend portion of a workers compensation insurance policy. Rightly so, it’s a significant refund and can be critical to the bottom line of any business.  What business owners and CFO’s don’t often realize, though is that if you manage your experience MOD first, the dividends will follow.

If you currently have a flat dividend, you'll need to protect that by proving that your business is worthy of it again upon renewal. If you have a variable dividend, since the variable is loss-sensitive, you'll need to have as minimal a loss ratio as possible to get the maximum return.

Either way, flat or variable, you need to be in control of your workers compensation program to get the maximum return. Here are 3 ways to improve your chances of earning (or keeping) a workers compensation dividend.

1. Control your claim losses, and more specifically your lost-time claim losses.
2. Prevent accidents in the workplace.
3. Help your injured workers return to the job as soon as medically reasonable with the implementation of a strong return-to-work program.

Concentrate on managing your experience MOD, and the dividends will follow! Need help with managing your experience MOD? Contact a knowledgebroker today.

Attend our Accident Investigation Seminar, held in Pewaukee, Wisconsin

Related information:

How to keep your flat work comp dividend
Advantages of a Structured Return to Work Program
3 Common Mistakes of Accident Investigation
Making Time Work For You in a Workers Compensation Claim

See CFO.com September 18, 2012: Insurance Rate Outlook: From Flat to Soaring

The State of Wisconsin estimates it could save $12 billion dollars if residents "slim down".

With National Health Expenditures continuing to rise, employers profits are being consumed by healthcare costs.  Some estimates are as high as 58% after taxes!  Today, nearly half of all workers compensation claims include loss time or disability rating.

In particular, obesity is affecting work comp claims in a big way.  A 2007 Duke University Medical Center Study compared obese employees to normal weight employees:

• 50% more workers' compensation claims
• 13x more lost work days
• 7x higher medical costs
• 11x indemnity claim costs

For information on how to reduce your workers compensation costs, improve the health of your employees and increase their productivity, contact a knowledgebroker today!