R&R Insurance Blog

Not everyone is able to complete all home-improvement projects on their own! Before you hire a contractor for a remodel project, ask these questions:

 Q: Are you licensed and insured?  Most states require contracts to be licensed by law. To confirm if your contractor is licensed in Wisconsin, you can perform a search on the Official Website of the Wisconsin Department of Safety and Professional Services. You'll want to make sure your contractor carries general liability insurance and worker’s compensation insurance. These insurance policies will protect you in the event something goes wrong during the construction that the contractor is responsible for and to protect your from the liability of a worker being injured while on your property.

 Q: What will the terms of payment be? You should know upfront what you’re expected to put down, or if they offer a pay-schedule and when they expect the final payment.

Q: Will you provide an itemized quote? This should include costs for materials, labor, demolition, and clean up.

Q: Will you pull all the required permits? Permits insure the work is done to code. Some contractors prefer not to pull permits because of how time consuming the process is; however, this could be a warning sign that they aren’t able to pull the permit because they’re unlicensed.  Ask for a proof of permit as well.

Q: Will you provide a list of written references? A good contractor won’t be bothered by this question because they will have been in the business long enough to give you an idea of their work history. They should be able to provide you with several clients that were happy with the work performed within the last year. Recent and relevant project experience is important.

Q: Do you guarantee your work or materials? Work should be warranted for at least a year from completion date. They should also disclose any warranties on the materials used if they are available.

Q: Who will be in charge of the job? You can’t be in charge when you’re not home, so this is your point of contact person! This is also the contact person for any sub-contractors. If sub-contractors are used, you'll need to know who they are too. What will be sub-contracted?

Q: Will you have a timeline?  They should know approximately how long the project will take. You should also be aware of their work routine and what time they start working in the day and whether they do the job until it’s finished or whether or not they will be working on multiple projects.

Q: How do you handle dirt & dust? Construction projects are messy. Be careful to know who is responsible for sweeping up and placing all the garbage in a container at the end of the day and at the end of the project. You'll want to know the contractor will make an conscious effort to keep the mess to a minimum.

Q: How do you handle callbacks? If there is a building-related problem your contractor should be willing to return to the job and correct the issue as soon as possible. It’s the contractor’s job to satisfy clients and do the work right.

At the end of the project make sure that your home value is reflected in your homeowners coverage.  If you have significantly increased it's value, you want that documented for coverage.

Wisconsin residents interested in a no-obligation coverage analysis, please contact Kori Cumley.

Summer is upon us, and with that will come the opportunities for part time summer jobs. Seasonal businesses expand, and potential employees return home from college for the summer - these are great opportunities for all parties involved.

Wisconsin employers of part time summer help should be aware that there are some potential pitfalls that come with workers compensation claims as they relate to part time summer employees.

In Wisconsin, part time employees, in most cases, are not going to be paid part time wages if they are injured on the job. If your summer help is injured on the job, it is extremely likely that he or she will qualify to be paid full time wages during the period of disability.  Generally, part time wages would be expanded to forty hours, unless the injured worker is part of a regularly scheduled class of part time workers, or restricts his or her availability in the labor market to part time, and is not employed full time somewhere else. As a general rule, these are not conditions that would apply to your summer help.

A second challenge with summer help is that if you have an employee who is working on restrictions, and there is not work available within those restrictions, that person is entitled to an ongoing weekly benefit. The only thing the employer can do to stop that benefit is an offer of work, or a full release from the treating doctor.

The final consideration is what happens when the worker must return to school? If the employer has work available within the restrictions, but the worker is not available because he or she has returned to school, no benefits are owed. If the student is completely off, he or she would be eligible to receive workers compensation benefits until released to light duty. If the worker is attending school far away from where they spend their summers, it can be an even bigger challenge for the workers compensation insurance carrier to get the doctor to provide an updated examination or release to work.

Seasonal work can again be a benefit to all parties involved, employers should; however, be aware of their obligations should a workers become injured on the job. The best solution would be to make sure that you have a light duty return to work program to accommodate any injured worker released to restricted work.

For questions regarding workers compensation insurance in Wisconsin, contact knowledgebroker Mike Geldreich.

Summer is here and we're spending more time outside grilling brats and burgers! There are a few things to consider before firing up the grill:

• Check the grill  hoses and burners for cracks or leaks before using
• Use the grill on an outdoor level surface
• Read your owner's manual
• Never leave a grill unattended
• Never grill on a balcony
• Never grill within 20 feet of a building
• Don't move the grill after it's hot
• Have a fire extinguisher or garden hose nearby
• Keep children and pets away from flames
• Never use gas on charcoal grills
• Do not apply lighter fluid once the grill is already ignited
• Place ashes or coals in a metal container for disposal

Wisconsin residents with questions, please contact Dan Wolfgram.

I am sharing a great consumer article published by the Independent Insurance Agents & Brokers of America.  If you're contemplating selling your business, please read this article.  Discontinued operations and products liability is available and affordable. 

Abstract:  If you retire, did you know that you can still be sued if you sold a defective product or performed faulty work and someone or their property is injured or damaged because of it? If you don’t renew your liability insurance when you retire, what are you to do?

 As a homebuilder, you spent your life making sure the work you did was safe and sufficient. Every year you purchased a commercial general liability (CGL) policy just in case. You made it many years with no claims and want to reward your good work with a much deserved and overdue retirement in where else?  Florida.

 Understanding that coverage under the CGL policies you have purchased is triggered by an “occurrence,” thus solidifying coverage “forever into the future,” you decide not to renew your policy. After all, who wants to keep paying for insurance on a business they no longer work in, especially knowing that if a claim were to arise from past work you’re covered anyway?

 Basking in the sun next to your cellular phone, you are surprised to receive a call from a familiar voice from your past. It’s your insurance agent, informing you that a deck you installed on a home two years ago collapsed during a party.  No one was killed, but several of the 35 folks on the deck were injured. A claim is being filed against you for the injuries and damage to the home resulting from the accident.  Your agent then informs you that you have no insurance to cover the claim. 

How could this be? After all, you always purchased “occurrence” CGL policies, including the policy in force two years ago when you built the deck. And since “occurrence” coverage goes forever into the future, why is there no insurance coverage for this recent accident? 

The concept of an “occurrence” policy is one of the most misunderstood in liability insurance. It is true that an “occurrence” policy could provide coverage for accidents that happen well after the policy has been in force. However, the agreement in the policy says that for insurance to apply the “bodily injury” (in this case to the folks rudely introduced to the ground below the deck) and/or “property damage” must occur during the policy period. 

To simplify, some refer to an “occurrence” policy as “boom” coverage. Specifically, when did it go “boom?” In this case, while the negligently constructed deck was installed two years earlier, the “boom” happened when the deck actually collapsed; this was the accident that caused the bodily injury and property damage. The only liability coverage that would cover this claim would be a policy that was in place when the deck actually went “boom.” 

You can leave a business behind, but liability can follow you forever. Anyone in a business that provides products or services is susceptible to this fact. To address the risk of the unknown, insurance companies have developed insurance called discontinued operations liability. This policy will continue to provide liability insurance to you even after your interest in a business ceases. Call us about discontinued operations liability insurance and how it will help you enjoy the future even if the past gets in the way. 

Copyright 2008 by the Independent Insurance Agents & Brokers of America, Inc. All rights reserved

Jon Nilsen, a long-time customer of R&R Insurance, explains just how easy the claims process can be. Jon's travel trailer was damaged by high winds in June 2010.  Jon was able to have his property replaced in only 4 days!

Wisconsin residents, if you would like additional information, please contact us.

Weather is hard to predict, even with new technologies and smarter computers, insurance companies have to rely on historical data to predict the future. And if they are using recent history, that future doesn't look so bright for the cost of home insurance. (In 2010, more natural disasters hit in a single year than any other over the past 60 years! Source: FEMA) (The chart to the right shows a county-level map of federally-declared weather-related disasters between 2006 - 2011. Tornadoes and severe thunderstorms in the Midwest, and heavy rains and snows from Nor'easters, hurricanes, and other storms in the Northeast gave those two regions the most disaster declarations.)

For homeowners in more affected areas, that likely means facing insurance rate hikes in the future. It's only logical, of course, that the more risky a certain area is deemed to be, the higher the insurance premiums charged by insurers in that area. Florida is a prime example where insurers have dropped coverage coverage completely since Hurricane Andrew hit in 1992.

At R&R Insurance, we take great pride in our role as advisor and protector of our clients’ most precious assets.  We realize you’ve worked hard for everything in your life, and do the best we can to help you safeguard it. To start, Dan Wolgram, Vice President of Personal Lines has a quick suggestion that everyone should do...

We also understand that an unexpected emergency can quickly uproot everything you’ve worked so hard to acquire.  With that in mind, we want to help you plan for protecting the people you love, the things you love and the things you need as quickly and easily as possible should disaster strike.  If you were sitting in your living room and suddenly heard the tornado siren,what would you do?  How can you keep your family and possessions safe in the event of a disaster?  Here are a few tips from the NOAA:

1. Learn your community’s warning signals and evacuation plans for all types of disasters that could affect your area
2. Meet with your family to create a plan.  Pick two places to meet:  a spot outside your home for an emergency, such as a fire, and a place away from your neighborhood in case you can’t return home.  Discuss what you would do if advised to evacuate.  Consider under what circumstances you would instantly locate and safeguard the vital information, documents and keepsakes that you’ll need to have access to.  Determine what those items should be.
3. Implement your plan. 
4. (1)  Post emergency telephone numbers by home phones, or add them to your cell phone contacts 
   (2)  Install safety features in your house, such as smoke detectors and fire extinguishers 
   (3)  Create and safeguard an inventory of your personal property 
   (4)  Have your family learn basic safety measures, such as first aid
   (5)  Teach children how and when to call 911 
   (6)  Keep disaster supply kits in your home and vehicle.  Be sure these kits include access to your insurance documents and contact names for your home, cars and other property. 
5. Practice and maintain your plan.  Ask questions to make sure your family remembers meeting places, phone numbers and safety rules.  Conduct drills.  Test your smoke detectors monthly.  Test and recharge your fire extinguisher(s) according to manufacturer’s instructions.

Here are a few tornado safety rules it never hurts to review:

1. In a home or building, move to a pre-designated shelter, such as a basement
2. If an underground shelter is not available, move to a small interior room or hallway on the lowest floor and get under a sturdy piece of furniture.  Put as many walls as possible between you and the outside.
3. Stay away from windows.
4. Get out of automobiles.  Do not try to outrun a tornado in your car; instead, leave it immediately for safe shelter.
5. If caught outside or in a vehicle, lie flat in a nearby ditch or depression and cover your head with your hands.
6. Be aware of flying debris.  Flying debris from tornadoes cause most fatalities and injuries.

 Please share your storm stories with us on this post, or on our Facebook Wall!

The Business Income from Dependent Properties portion of your property policy provides insurance coverage in the event the damage or destruction of non-owned property reduces or terminates the insured's earnings. Dependent property coverage extends to protect the insured from business income losses emanating from the suspension of operations of non-related entities. You don't want to underestimate the impact that dependent properties could have on downtimes and the restoration and resumption of a business.

What is a Dependent Property?
There are four types of entities that qualify as eligible dependent properties:

1. Suppliers: 
   ISO refers to these as "Contributing Locations" - Contributing locations supply the insured with the parts, materials, or services necessary to manufacture its product or provide its service.
2. Buyers:
   ISO's terminology for a buyer is a "Recipient Location" - A recipient location buys/accepts the products, goods, or services of the insured.  This may be the insured's sole buyer or one that buys a majority of the insured's output.
3. Providers:
   ISO's terminology for a provider location is a "manufacturing location" - A manufacturing location as used in this endorsement, is not a location owned by the insured and part of the insured's supply chain.  
4. Drivers:
   Also known as a "Leader Location"  - these can include anchor stores (Sears, Kohl’s, Wal-Mart, Boston Store, Target, Macy's, etc.), sports and entertainment venues, and other such operations or entities that draw customers to the area.

For more information about business income from dependent properties, business continuation, business income worksheets or property insurance, contact knowledgebroker Scott Brookes.

About Scott
Scott has over 25 years of risk management, risk control, underwriting and leadership roles with insurance carriers.  He has detailed experience in large accounts, large property exposures including fire protection engineering, property valuation including building, business personal property, business income, and acting as a risk manager for insured’s.  In addition, Scott has written and taught a number of property training classes, property valuation classes, and business income valuation classes.

It’s possible not to laugh when America’s Funniest Videos runs a montage of people falling down. But when someone is hurt in a slip-and-fall accident on your property, the humor fades quickly.

Nearly 9 million people seek emergency services from slips and falls each year, millions more see a doctor within a few days, and thousands more die.

Unfortunately, there’s also a pervasive belief that you’re automatically liable if someone slips on your property, which makes slip-and-fall scams the second most common type of insurance fraud.

Winter is slip-and-fall season

Not all injuries are visible in a slip and fall. If someone reports an accident on your property, treat him or her with kindness, respect and empathy, and collect the following information for your incident report:

• Name, birth date, primary and secondary contact information
• Detailed description of the incident, including date and time
• Any physical or visual impairment
• What the person was carrying, if anything
• The type of shoes he or she was wearing
• List of witnesses
• If able, ask him or her to show you exactly where and how the accident happened
• Take pictures of the area and document the conditions
  • Rain, snow, ice, tracks
  • Weather conditions for the current day and several days leading up to it
  • Lighting
  • Any other observations

Healthcare workers are frequently exposed to bloodborne pathogens. OSHA - Occupational Safety & Health Administration together with NIOSH - National Institute for Occupational Safety and Health is continously working to educate employers and employees about these hazards and the best means of prevention.

A recent NIOSH-supported study shows how the Needlestick Safety and Prevention Act (NSPA) and OSHA’s Bloodborne Pathogens standard have significantly reduced needlesticks and bloodborne disease exposure for healthcare workers as recent as December 2011. OSHA's revised standard requires employers to provide safety-engineered devices to workers who are at risk for exposure to bloodborne pathogens, to include employees in the selection of these devices, to review exposure-control plans at least annually, and to maintain specific sharps-injury logs.

For more information about bloodborne pathogens and needlestick prevention, visit OSHA's Safety and Health Topics page . To request a review of your organization's bloodborne pathogen plan or other safety programs contact Maureen Joy with R&R Insurance's Resource Center.