Metropolitan Risk is a risk management and insurance brokerage firm in Irvington that serves to help find insurance for small businesses in the tri-state area surrounding New York City. Met Risk is the fastest growing risk management and insurance brokerage in Westchester county and is well reviewed and received by many to all of its clients.
When deciding on acquiring a contractor for a job, it is almost never a smooth, easy process. A contractor or specialized worker is sometimes necessary last minute. For that reason, it’s helpful to develop a plan for screening contractors and determining which one is best.
There are a few key steps to take in order to achieve the best results when acquiring a contractor.
The first, most important step, is to develop an approval process that either accepts or denies potential contractors. Only allow exceptions in very limited situations while documenting all thought processes on why the contractor should be used. Be sure to do this when it comes to making exceptions for contractors that aren’t initially accepted. Finally, it is important to gather data on what went right and wrong to further refine the approval process.
When struggling to find a contractor to fill a certain position, it is important to evaluate all choices and to have a system that selects the best available contractor.
An owner wouldn’t want an employee not doing their best work, so it doesn’t make sense to hire a contractor that isn’t best suited for the situation. Using a proper system will ease the task of finding a contractor, increase performance on the job, and boost the reputation of a company. Being diligent in the approval process is key.
Better contractor fits save a company time and money, whereas poor fits hurt the profit of a company. Poor fits can also potentially damage a company’s reputation. Successfully operating an approval plan also is a self-fulfilling prophecy. As more and more contractors are sorted, data is collected which further refines the plan, making it more effective. It’s a challenging process to come up with a solid approval plan but will be worthwhile in the long run.
For more information contact one of our Risk Advisors or call 914-357-8444
There have been some recent trends in new pieces of personal protective equipment, or PPE. For example, equipment is becoming more personalized and comfortable. New respiratory devices are being produced that allow users to have facial hair, and equipment is becoming more lightweight and breathable. In addition, there is a lot of exciting news regarding future breakthroughs in PPE in the next couple of years. One potential breakthrough will be the use of “smart” equipment that can monitor the body for temperature, fatigue, and different chemical levels in the body. These are just a few examples of long term terms safety solutions in the workplace.
PPE is the main protection separating people and dangerous working conditions. As equipment gets better, workers will be able to withstand tougher conditions while being more protected than in the past. These advancements don’t just help workers though. A business will run much more efficiently through the use of advanced equipment. Workers will be less affected by outside elements and can focus more intently on the job at hand. With fewer costs associated with worker injuries from poor equipment, a company will additionally profit more from better equipment.
There are a few main impacts of advanced protective equipment. To start, using this equipment in real scenarios will allow more data to be acquired which will further improve the equipment. Next, companies should have fewer claims filed for worker’s comp with improved equipment. Since the equipment is better and more personalized, employees should be injured less on the job. Fewer injuries mean fewer payouts to employees and decreased future insurance premiums. This relates back with increased efficiency to result in more profit for companies that are willing to invest in this new equipment. It may seem like investing in new technology comes with a hefty cost, but in the long run, the choice to use better protective equipment will yield more profit and safer employees.
Ordering a pizza, listening to music, getting a mortgage. All are examples of normal activities that have adapted with the emergence of computers. It is no wonder that insurance has also taken part in this advancement into the new era. However, this new, innovative idea that combines insurance with computers holds a name that the average person may find overwhelming and hard to understand: cyber insurance. On the surface, cyber insurance is very similar to most other insurance. Carriers take on your risk for a price in order to limit your losses in a case regarding cyberspace. However, since this is new, there are a lot of questions about coverage and how to purchase a plan.
Cyber Policies
Cyber attacks can cripple a company as so much of a business is done through computers these days. For that reason, it is imperative that companies become acquainted with cyber insurance, as it will cover against these devastating hits. Cyber insurance mitigates the risk involved with doing online business which allows for companies to take part in a new growth area while still being protected against the heightened risks involved with doing business online. It is also important to understand what each policy covers as there are some pretty complex rules that carriers follow when determining their exposure to certain events.
With a whole new category of insurance in place, it is important for businesses to understand what exactly is incorporated into their cost of insurance premiums, so they can take the resulting steps to reduce these costs as much as possible. A few factors that affect a cyber insurance premium are annual revenue, industry, and network security. So although cyber insurance will be an additional cost incurred for a company, there are ways to reduce this cost while still reaping the benefits of diminished risk surrounding cyberspace. Even with this additional cost, it still makes sense to take advantage of this new insurance. Hacking can disrupt business dramatically while causing costs to skyrockets and the company’s reputation to plummet.
FAQs
What needs to be covered?
It is important to understand what the biggest risk areas are. After determining the largest risk areas based on potential reputation damage, restoration costs, and reimbursement from regulatory fines, it would be logical to cover as much as possible starting with the largest risk areas.
What are the different types of cyber liability insurance?
Cyber liability insurance falls into two main categories: first-party and third-party. First-party insurance covers the holder’s direct losses from cyberattacks while third-party insurance covers companies that allowed a client network to experience a data breach. Some things that first-party insurance would cover include data theft, compensation for lost income, costs of notifying customers, and the cost of repairing a company’s reputation. An example of third-party coverage would be the following. A company made a website for another company and hacker took over the website. The creating company might receive legal fees and compensation for settlements or damages in court cases.
Exclusions of cyber incidents from coverage?
There are a few issues that most providers don’t include in coverage. Some of these include cyber issues resulting from failure to maintain a minimum level of cybersecurity, the careless mishandling of sensitive information, and malicious acts by employees. All of these examples should be avoidable through careful management and decision making.
In the case that it’s the company’s fault, do insurers still pay?
The short answer is that it depends on the situation and policy. Depending on what the coverage agreement is, insurers may still cover issues that are the company’s fault.
How long does a company have to report the breach?
Insurance companies like for companies to report the breach when practical. They understand it might take time as a company’s first priority may be to fix the problem. They also know they may need to provide clarity to all affected. However, the insurance company might become concerned if the issue is reported a long time after it is discovered as that might come off as fishy and affect the settlement deal.
Pricing of cyber insurance?
The main factor in pricing cyber insurance is the company’s annual revenue, as more revenue correlates to higher risk exposure. In addition to revenue, insurance companies also look at industry type. It is important how much network security there is in order to price insurance premiums.
For more information book time with Risk Advisorsor call 914-357-8444
Too much of a good thing is a very real thing when dealing with insurance.
Sometimes less is better when dealing with repair work coverage. What makes it even worse, is that a lot of people struggle to understand the complexities of endorsements.Seen as work coverage enhancements, repair work endorsements oftentimes provide no additional benefit. Repair work coverage often protects against bodily injury and property damage resulting from repairing something that has already been completed. A problem occurs when this coverage is in use concurrent with a products-completed operation (PCO) extension, which is the same thing. When an injury occurs, an insurer often selects the coverage that benefits them the most, hurting the company.
Since insurance companies often take this approach, it begs the question, “Is repair work coverage even beneficial?”
The answer is a little more complicated than a yes or no. First, it depends if a company already has a products-completed operation extension. If a company doesn’t, then it would make sense to buy repair work coverage as one should always have some protection when repairing finished products. If a company does have a PCO, a company should only get repair work coverage if there is a glaring hole in the PCO or if there is no detriment that can arise from conflicting terms between the two plans. As mentioned before, these plans are pretty complicated, so they should be read over with diligence and scrutiny to catch any conflicting terms.
Many problems can arise if these separate coverages are not implemented correctly. To start, having no coverage at all can result in hefty payouts as there is no protection for workers. Yet, having both plans can be a waste of money that doesn’t provide any extra benefit. Thus, it is important to find a happy medium between repair work coverage and a PCO extension. Doing so can ensure a company for repairs while spending the least amount of money possible.
For more information contact one of our Risk Advisors or call 914-357-8444
In today’s advanced, analytical society, data rules the world. With such an emphasis on data to optimize business, there are plenty of sources to access tons of public data. However, most companies acquire a competitive edge based on their data privacy that should be for the company’s eyes only. Unfortunately for the company, complex supply chains provide opportunities for error in software framework to arise, either intended or unintentional. These mishaps in the supply chain can have drastic consequences for a company.
Through unintentional errors or on purpose, issues in software can be detrimental to a company’s data, and thus their operations. Misrepresentations in data have a large impact, hitting almost all facets of a business including marketing, accounting, sales, and finances. In addition, faulty data may affect customers which may be an even bigger concern than internal issues.
The Problems With Data Privacy
These problems will result in high costs for a company in order to fix the current supply chain and to make up for all those affected by the initial issue. Finally, some software issues stem from others trying to steal private information which opens a plethora of other problems like losing a competitive advantage which results in even more costs.
For example, consider a situation where a milk supplier delivers 1,000 gallons of milk every week to a grocery store. Through a faulty piece of software, a zero might be dropped resulting in a delivery of 100 gallons. This screws up the accounting as 900 extra gallons were accounted for and leaves normal customers without milk, weakening the reputation of the supplier. Also, the grocer will be unhappy, as they are missing out on 900 potential sales.
Real-Life Context
Now imagine an error like this occurring on a grander scale due to bad data and a bad supply chain. The consequences could be catastrophic! Just one erroneous piece in a huge chain can tarnish customers and other businesses’ views, invalidate the accounting records, and cause marketing to stray to the wrong demographic. Although it may seem like a minor detail, it is vital for companies to invest in high-quality equipment and software with routine maintenance in order to prevent mishaps that result in data impairment.
For more information on data privacy contact one of our Risk Advisors or call 914-357-8444.
In some work environments, employees can be exposed to a number of toxic and non-toxic elements. Employers are mandated to keep records of these exposures for a minimum of 30 years from the last date of entry in accordance with OSHA’s Standard on Access to Medical and Exposure Record [Title 29 of the Code of Federal Regulations (CFR) Part 1910.1020]. These records need to be accessible by current employees, former employees, and designated employee representatives. Below are just a few ways to comply with the OSHAs new mandates along with a link to our new eBook.
Employers need to preserve and maintain a number of things to remain compliant with this standard.
Preserve and maintain accurate medical and exposure records for each employee
Inform workers of the existence, location, and availability of those records
Give employees any information that OSHA makes available on this standard
Make records available to employees, their own designated representation and OSHA as required
Consequences for not maintaining and storing these records include fines that can sorely hurt businesses. Do not lose precious cash reserves to preventable fines from these new mandates.
Click HERE to Download Our eBook “access to medical and exposure records” to learn more about this OSHA standard, or contact us at Metropolitan Risk here.
OSHA announced May 6-10th is “National Safety Stand-Down” week. Falls are the number 1 on the job cause of death for the construction industry.
Here is a list of resources & ideas for events and conversations to have with your employees during “National Safety Stand-Down” week:
Have a discussion about yourLadders Safety Program. If you do not have a ladder safety program in place, now is the time to start one. It is never too late to implement a job site safety program.
Download our infographic on the leading causes of workplace accidents.
Have a Tool-Talk, a 10-15 minute conversation about workplace and job site safety.
Looking for something fun? Play Spot the Hazard, courtesy of Stop Construction Falls
Review your near-misses with your supervisors, then have a conversation with the rest of your staff about ways you can improve your site safety.
Job site safety is only part of having a strong risk management solution. The other part is having tangible metrics to track your near misses and accidents. This way, you learn from past mistakes before they become a very expensive problem. If you’d like more information on job site safety or need help with risk management, contact one of our Risk Advisors today or call 914-357-8444.
Commercial Insurance is one of those things that every company has but not every company understands. In some cases, a person is chosen to be put in charge of the insurance buying process and this person is usually an HR person who has a very little understanding of what goes into the insurance buying process.
To recap the video, commercial insurance is essentially when a person, business, or group of people transfer a risk that could cost money in damages to an insurance carrier. To transfer the risk, the business will pay a flat fee – a premium – that changes in cost every year based on the previous year’s claims. There are also difference types of insurance as well, including workers compensation for worker injuries on the job. There is also auto liability, general liability, property damages, and others.
The one part of insurance many do not understand is: Why do carriers agree to this? The damages may be 10x the insurance premium. It turns out that out of the hundreds of millions of premium policies carriers write every year, they will lose money on only a very small fraction of them. When insureds (those buying insurance) pool their risk into a small group of carriers, many of them pay for a premium. However, much of the time it turns out that their were no damages or claims to need compensation. That does not mean they should not pay for insurance the next year. Insurance is for the protection against the unpredictable. A driver with a perfectly clean record can skid on ice one day. Those damages can cost tens of thousands of dollars.
Learn about the different types of commercial insurance and the role it plays inside of your business. This is just a starting point to learn some of the basics of commercial insurance.
Still have questions? Call one of our risk advisors today at 914-357-8444. Or, visit our website here.
Commercial Insurance Is Essentially A Very Expensive Credit Line In Reverse…
Have you ever missed a payment on a Visa card only to watch your interest rate double because of that simple mistake? Misaligned goals are common and, unfortunately, costly. This happens all the time, and currently there is no way to take back that simple mistake. Like an offense, it stays on the record wherever you go, meaning being proactive and anticipating mistakes like this can be crucial to narrowing costs regardless of the amount of claims filed.
Find out how the commercial insurance marketplace works the same way. Why their goals and your goals are misaligned, trapping the commercial insurance buyer in a cycle of escalating premium increases.
Knowing their playbook helps you adjust your game plan to beat them and your competition. While your goals will never be aligned and on the same page, understanding their objective better will help navigate yourself to your own objectives: lower claims, lower premiums, less costs in general.
Still confused? Still have questions? We are here to help. That is, after all, our job!
Contact one of our professional risk advisors right now at 914-357-8444 or visit us at our website here.
