R&R Insurance Blog

All of the printed information and major news telecasts have addressed the "what" as it relates to the American Taxpayer Relief Act of 2012. Of greater importance to people, specifically higher net worth business owners, is the "now what do I do?"

There are many moving parts with this new law. An article by NFP explains possible income and estate tax strategies to consider under the new law. Major tax changes:

Health Care / Payroll Taxes

• 3.8% Medicare tax on net investment income
• 0.9% increase in Hospital Insurance (HI) tax on wages
• 2% increase in Payroll taxes

Income Taxes

• 39.6% top income tax rate
• 20% top rate on long-term capital gain and qualified dividends
• Expanded retirement planning
• Personal exemption phase-out and limits on itemized deductions

Transfer Taxes

• Higher rates
• Same exemption, inflation-adjusted
• Reunification and portability made permanent
• State estate tax deductions

Further explanation and example strategies.

I have spoken with many business owners and we work together to create the best strategy for their organization and their personal finances. Please contact me to discuss the best strategy for yourself.

We've started a new group on LinkedIn to conglomerate all the information we have been publishing on Obamacare. As well, we will give pointers for business owners to survive the exchange nightmare, keep employees happy, continually offer great benefits for recruitment talent and most importantly for everyone's sake - keep your profit!

Please join our LinkedIn group : Strategies for Business to Survive Obamacare. Read the discussions, download our materials and share with your fellow business owners. We are all in the same boat, and we are glad to help!

Obamacare: Strategies for Business to Survive

One thing's for sure - you have to have a strategy. We will share strategies for controlling the cost of health care insurance + ways businesses can take control of their profits and take care of their employees. You'll be surprised at what some of the options really are - and the control you still have!

http://www.linkedin.com/groups?gid=4907076

Click the link, log in and join the conversation………add your expertise!

The Local Government Property Insurance Fund (LGPIF) has implemented a number of coverage changes to the property insurance coverage form. These changes include:

• Restrictions on Flood Coverage
• Restrictions on Surface Water Coverage
• Reduction in Ordinance and Law Coverage
• Addition of an Anti-Concurrent Causation Coverage Restriction

In addition to these coverage restrictions, we have been seeing large property rate increases. The combination of these changes now enables other insurance carriers to be price and coverage competitive.

For more information please contact knowledgebroker Scott Brookes.

The LGPIF form now excludes loss from Flood, water below ground, back up of sewers and drains outside of the building.

Coverage is now excluded:

• If you are in a flood zone as defined by FEMA, National Flood Insurance Program (NFIP) – Flood Insurance Rate Maps (FIRM)
• If water below ground exerts pressure on or flows into your facility
• If sewer, septic system, and storm or sewer drains outside your building overflow and the water enters your building from a source other than your drains

At R&R Insurance, we have the ability to help you evaluate your exposure. We know how to research and read the NFIP – FIRM data. We can help you understand your exposure and offer alternative solutions. Please contact me to see if your building is in a flood zone.

• Restrictions on Surface Water Coverage
• Reduction in Ordinance and Law Coverage
• Addition of an Anti-Concurrent Causation Coverage Restriction

The LGPIF now restricts surface water to $1,500,000. Previously, coverage was provided up to the total values on the policy.

The number and severity of summer storms has been increasing. With this increase, the amount of rain water has also increased leading to the inundation / overflow of the current storm drain systems. This runoff is considered surface water and is now restricted.

If you are in an area that is prone to inadequate storm water drainage, in an area that storm drains have not been updated to today’s standards, or in an area that cannot handle heavy rain flow, then you may be susceptible to Surface Water loss.

At R&R Insurance, we have the ability to help you evaluate your exposure. We know how to research and read the NFIP – FIRM data. We can help you understand your exposure and offer alternative solutions. Please contact me to discuss your exposure.

• Restrictions on Flood Coverage
• Reduction in Ordinance and Law Coverage
• Addition of an Anti-Concurrent Causation Coverage Restriction

If you have an older building that is not up to the current building codes and a covered cause of loss occurs, you may have to provide upgrades to your facility to comply with the current building codes. The building codes could require you to install a fire sprinkler and alarm system, update electrical and plumbing, install elevators, remove asbestos, and make your building ADA compliant.

Ordinance and Law coverage is designed to provides insurance coverage to a facility in the event of these code changes.

Coverage under the LGPIF form has been reduced to $2,000,000. Previously, coverage was provided up to the total values on the policy.

At R&R Insurance, we have the ability to help you evaluate your exposure. We know how to research and read the NFIP – FIRM data. We can help you understand your exposure and offer alternative solutions. Contact me today to ensure your facility is properly insured.

• Restrictions on Flood Coverage
• Restrictions on Surface Water Coverage
• Addition of an Anti-Concurrent Causation Coverage Restriction

From the LGPIF notice:

• "Anti-concurrent causation language now applies to certain losses that are excluded in Section VI of the policy. The language applies to exclusions related to nuclear; fungus; virus; flood and surface water; war; and excluded water losses such as those that arise from water pressure below the surface of the ground. Anti-concurrent causation language means that these losses are excluded even if another covered peril contributes to a loss arising from these excluded perils."

Example – Flood is now excluded under the policy. If your loss comes from flood, then the resultant loss from the flood – MOLD, is now excluded.

At R&R Insurance, we have the ability to help you evaluate your exposure. We know how to research and read the NFIP – FIRM data. We can help you understand your exposure and offer alternative solutions.

To get the latest information on updates to the LFPIF form, please contact me.

• Restrictions on Flood Coverage
• Restrictions on Surface Water Coverage
• Reduction in Ordinance and Law Coverage

In 2011, DOT-regulated truck, bus and motor coach companies paid $30,674,218 in fines for failure to comply with Federal Motor Carrier Safety Regulations (FMCSRs). The average fine per case was $5,050.

One of the most costly violations is the falsification of a driver log. In these cases, companies paid an average fine of $9,394. The next most costly violation was the transportation of hazardous materials without a properly prepared shipping paper. The average cost in those cases was $8,578.

According to Rob Moseley, head of the transportation department at Smith Moore Leatherwood, juries are relatively accepting of truck drivers who make mistakes. Moseley said in a recent interview, “Juries are much less forgiving when safety issues are ignored at the management level of the company.” Adding, “A trucking company gets to explain two problems or inconsistencies. After that, the jury doesn’t listen and will punish the trucking company.”

Additional costs to a non-compliant company:

• Increased frequency of inspections and the additional violation fines identified during these inspections
• More detailed inspections (e.g., more Level 1 inspections) and the associated violations identified
• Impact on insurance rates
• Loss of business due to poor CSA scores
• Reduction in contracted rates for carriers with poor CSA scores

Being compliant means saving money. Contact me to discuss how to take proper actions to keep your company compliant.

From 2009 to 2011, the amount of text messages sent has increased by nearly 50% and is still on the rise today. Over 1/3 of drivers have sent or received text messages while driving; 18% of people admit to doing this regularly. However, distracted driving is not just texting while driving - it also includes eating, talking on the phone, reading, and anything else that takes your concentration off the road.

Driving with all of life's distraction is a growing epidemic. I've put together a few short videos with additional information and statistics - take a look and I welcome any suggestions on how we can get the word out to help prevent distracted driving.

• What is Distracted Driving?
• Distracted Driving and Wisconsin Law
• Distracted Driving Awareness: Stop the Distraction Campaign
• Distracted Driving Statistics

R&R Insurance is doing their part to ensure our roads are safer. Learn more about the "Stop the Distraction" campaign and to request your free materials at www.myknowledgebroker.com/stopit.

Cintas Corporation, a restaurant facility solutions, has named its top 13 hidden risks to restaurant operations, as well as tips on how to avoid them. Full article as appearing on QRSWeb.com

1. Slips and falls
2. Broken doors and locks
3. Dirty restrooms
4. Cooking fires
5. Identity theft
6. Cuts and burns
7. Unfocused employees
8. Ugly floors
9. Untrained workers
10. Norovirus
11. Missing fire extinguishers
12. Improperly mized chemicals
13. Natural disasters

For more information about risks to restaurants and food processing manufacturersplease contact a knowledgebroker.