Captive insurance companies can be set up in different ways including one that owned by an association, its members or both. It is called a “captive” because only a limited amount of entities is eligible to participate in the program. Association captives were meant to be a solution to the rising costs of insurance, which resulted in the banding together of companies to insure as one entity. Each captive insurance company selects a domicile, a state or offshore country that has enacted captive insurance laws and regulations giving that domicile primary regulatory jurisdiction over them.
Captives have gone through a swing in popularity
Association captive insurance companies have existed since the 60’s, and provide property and liability coverages to association members. However, market conditions discouraged the formation of new associations in recent years, with some existing programs disbanding due to a lack of demand for these types of services. The insurance market has subsequently changed more recently and associations are experiencing a renewed interest in the forming of captive insurance groups.
There are various benefits to an association and its membership in forming a captive insurance company. Those benefits include the following:
- Meeting member needs for affordable insurance coverage
- Availability of coverages not provided by the commercial insurance market
- A source of revenue for the association, and
- Opportunities to increase association membership
The first of these benefits is vital, as the rise in insurance costs can be a major burden on many business institutions. By meeting member needs, captives prove to be a valuable way of doing business, and are therefore imperative to a successful program. The other benefits, availability of certain coverages, a source of revenue, and increased association membership alone will not sustain a successful captive insurance program.
The 90’s were a period where captives did not perform well
During the 1990’s the commercial property and casualty insurance market was characterized by intense competition for businesses, mostly among the commercial insurance carriers. This was actually good for those in the market for certain insurance products, and it resulted in the availability of affordable insurance coverage and fairly broad coverage for the first time in a while. During this decade the insurance industry experienced what is referred to as a “soft” market. Thus, most associations captives were not in demand during that period simply because insurance was not an issue for most of those doing business.
Captives make a comeback
The formation of captives is on the rise with more states passing legislation to allow captives to be formed. In addition, emerging trends such as cyber risks and increased healthcare costs has seen increasingly more companies turning to captives, including midsize companies.
Every business has to provide their customers quality web-based information in order to meaningfully connect with them. This is especially true of insurance websites. Customers need to see at a glance the most important information and feel confident that it comes from a trustworthy, authoritative source. Providing clients and prospective clients with the online resources they want is simple though there are a few key points to keep in mind.
Focus on the Essentials
Customers visiting insurance websites are generally looking for three things:
- Information about policies offered
- Explanations of currently-held forms of coverage
- Contact information for their agent or a 24-hour response line
These three elements should be given priority on insurance websites.
Inviting Further Contact
An insurance agency should be easy to contact; many agencies are served by 24 hour contact services that help customers handle claims at any time of day or night. Some websites include live chat boxes to help customers access necessary services. Basic contact information should also be included; make sure that customers can easily locate the general phone number of the agency as well as the mailing or street address where physical letters can be sent. The email address and phone number of each agent should also be included.
Creating insurance websites that are informative and user friendly requires insight and expertise. Experienced marketing agencies can create a website with detailed information that is easy to understand and relevant to the concerns of your customers.
nursing home worker’s compensation
Aging is an inevitable part of human life. As the human body progresses through life, the need for quality health care increases alongside the demand for safe communities and residencies. Nursing homes are no longer a place for senior citizens to simply eat and sleep. They are now lively homes filled with health care, weekly events, and opportunities to build relationships throughout the local community. However, these beneficial systems cause an increase in the number of staff who need to be protected through nursing home worker’s compensation.
Essential Elements of Worker’s Comp
Providing nursing home staff members with worker’s compensation is beneficial to the managers, employees, and residents. The programs create safe and supportive environments in which staff can provide the best in care for each resident. When looking for nursing home worker’s compensation programs, directors or managers should look for the following inclusions and coverages:
- On site and web based training for staff
- Protection for nursing home and commercial sites
- Protection of company automobiles
- Employee liability programs
- Risk management training for directors
- Customer support and service both online and over the telephone
These components are important to keep in mind when searching for nursing home worker’s compensation programs. As society members continue to live longer lives, their needs for socialization and events outside of the care facilities will increase. So will their need for privacy in eating, bathing, and sleeping, as their healthier bodies will not require as much dependent care. Nursing homes still play a critical role in senior care, and keeping employees safe and satisfied is the first step in providing supportive and healthy environments for the residents.
insurance agent professional liability
Insurance agent professional liability, also known as E&O (errors and omissions), is treated much like malpractice in other professions. Its strict definition states that E&O liability occurs whenever an agent causes financial loss to a client. Here are three important tips to help agents understand this important liability:
Policies Are Issued on a Claims-Made Basis
E&O protection does not cover the term of the execution or completion of the work product. The policy must be in effect when the claims are made. That generally means that an agent should maintain an active policy throughout the liability period of any work product.
E&O Does Not Cover Client Conflict Resolution
A common occurrence in the insurance world is an accusation by an agent client that the agent caused financial harm by stealing away a client’s customer. These types of situations are not covered under general E&O policies, and should be addressed with another type of coverage.
E&O Liability Is Not Necessarily Related to the Quality of the Work Product
Agents who carefully proofread their work and limit the number of mistakes are not necessarily any better off as far as E&O liability is concerned. Lawsuits are often less about the quality of the work, and more about the expectations of the clients. For this reason, E&O protection is important, even for agents who have never been sued.
Agents should contact their local insurance provider to provide a personal estimate of their insurance agent professional liability.
employment agency insurance
Of the several policies included in a custom employment agency insurance package, employee benefits liability is one that deserves due consideration. Every business should cultivate their insurance to cater to their unique needs as a company, and hiring firms are no different. The policies tailored in this direction are, of course, employee-centered, focusing on issues they may have in the workplace. When your business is centered on hiring, it is important that those you hire are well taken care of.
In many cases, insurance policies are put in place to guard against the inevitable nature of human error. For instance, the employee benefits liability protects the business against claims about negligence in the distribution of various benefits. It also covers things like a failure to tell employees about certain benefits. No business owner truly wants to forget their employee, but everyone makes mistakes, and it may just slip their mind. This policy can account for missed benefits like life insurance, health insurance, worker’s compensation, unemployment, and more.
With a policy like this as a building block of your employment agency insurance package, the company is held accountable and the employee receives what they are owed. Along with the coverage, having such a system in place can also help prevent such incidences, knowing that those responsible will be held accountable. At the same time, they will be somewhat protected from their own mistakes, for the good of the company itself. After all, everyone needs protection from themselves sometimes.
Workers compensation, considered the nation’s oldest social insurance program, is burdened with issues related to the care and rights of the workforce. Initially introduced as a no-fault program to provide medical benefits and wage replacement in the place of the uncertainty of tort recovery, workers’ comp has seen a significant rise in rates over the years and this is a concern for many business owners looking for effective ways to reduce costs
How to reduce the scope and extent of injuries
There has been sustained and coordinated efforts by many employers to find ways to reduce the amount of injuries sustained in their field of operation. Many service industries rely on safety programs, training and weekly meetings to discuss the “how’s and why’s” that lead to workers suffering both minor and severe injuries and what can be done to keep the number of issues down to a manageable number.
For many workers, injuries are often plain and simply, “just part of the job.” Auto workers fully expect to sustain minor cuts and bruises, simply because of the nature of their work. Restaurant workers expect to get cuts and minor burns because they work around or near hot ovens all day. Office workers expect to get occasional carpal tunnel syndrome because of the repetitive nature of their work.
But serious injuries can and should be prevented. Knowing the dangers associated with certain types of work makes it easier to construct rules, suggestions and methods from preventing them from occurring:
- Don’t lift heavy objects alone; enlist the help of another worker
- Never stack items (such as tires at an auto shop) so high that they can tumble over and injure another employee
- Never put heavy items up on high shelves (for example, in a supermarket) where they can fall and strike a worker on the head or foot and cause injury
- Don’t leave things lying on floors, or near stairways where an employee could have a serious trip and fall causing severe injuries
While this may seem like common sense, the fact is that many businesses allow these types of practices, or don’t realize that these types of behaviors can easily lead to injuries, which can result in a workers compensation claim being filed. While there is no doubt that some workers may make fraudulent claims from time to time, but when a real and serious injury does occur is not the time to consider added safety measures. That is merely putting the cart before the horse.
Workers compensation auto dealer
While every employer wants to make their workplace safe, accidents can and do happen. At a car dealership, working with large and occasionally fast-moving vehicles, employees can be subject to a number of risks. When considering workers compensation auto dealer and insurance broker alike should remember that there are several benefits to this type of insurance.
Workers compensation insurance helps to keep employees from getting hurt in the first place, since good safety practices that protect them also help keep premiums low. This provides an incentive to reduce risk. Also, employees are more likely to be satisfied if they receive compensation; it improves morale and reduces lawsuits. Finally, compensation for workers isn’t just a good idea, it’s the law in many US states. It helps keep the company stable and productive.
This kind of compensation is good for employees too, not just employers. If a worker is injured on the job, they don’t want to have to worry about lost wages or medical fees. Compensation helps them keep their lives together in case disaster strikes and makes them more likely to return to the company after they have recovered.
There are lots of places to look for this kind of insurance; insurance brokers and managing general underwriters (MGUs) can help a workers compensation auto dealer. Employee compensation keeps companies stable, workers safe, and everybody happy.
Risk Management for CCRCs
As the life expectancy increases, the senior living industry grows with the aging population. Many of these seniors look for continuing care retirement communities (CCRC) to age at an independent living facility. This non-traditional option for seniors is meant to help them progress from independent to assisted living, and then if needed, extra care facilities. For these communities to thrive, it is important to have risk management. Risk management for CCRCs puts the residents and their wellbeing first in the facility, and provides the needed support and programs for keeping the standard of care high.
What are the Advantages to Risk Management?
Many CCRC facilities will find that there are huge advantages to risk management. By protecting the residents and their caregivers, these facilities can do the following:
- Control Their Costs
- Reduce Risk
- Decrease Losses
- Build a Stable Environment
- Increase Efficiency
What is Included in Risk Management?
There are several important aspects of a risk management program which help protect the facility from financial losses that are not anticipated. Some of these parts may include:
- Disaster Preparedness
- Health Programs
- Safety Programs
- Asset and Liability Management
It is important to implement risk management for CCRCs into your business so that you can access and prioritize the risks, and work out a way to minimize and control unfortunate events that may come your way. Talk to a qualified agent today to get more information on the best risk management strategies.
Higher Education Insurance
Higher education institutions face many challenges. One of them is overseeing a large group of faculty, staff and students. A comprehensive risk management strategy, including higher education insurance, offers protection from exposure in the event a university becomes involved in a personnel issue.
Accusations of Harassment
Harassment is illegal and can have serious ramifications. Harassment encompasses a broad range of offensive behavior including sexual, psychological and workplace harassment. In a university setting, allegations could potentially involve two co-workers or a teacher and student. Higher education insurancecan provide the resources necessary to address any accusations of harassment.
Issues Connected to Tenure
Tenure involves granting a professor a permanent position at a university usually after they have completed a probationary period of several years. It is believed to provide those who attain it more academic freedom since they don’t have to fear losing their job if they research unpopular ideas and subjects. Tenure and who gets it can be a hotly contested topic and may result in disputes.
Discrimination can involve issues on race, gender, age and sexual orientation. Implementing a thorough risk management strategy can help ensure there is a plan in place to address any claims of discrimination.
Higher education insurancepoliciescan be tailored to cover personnel disputes including accusations of sexual harassment, issues connected to tenure and any discrimination claims.
We’ve broken down common risks that the staffing industry might face and provided a staffing insurance solution to reduce that risk in this staffing insurance infographic.