The Fiduciary Responsibility of Staffing Firms

According to the experts at World Wide, any individual or individuals that design, manage, or administer benefit plans to employees are subject to fiduciary liabilities. Individuals and/or employers that are authorized to administer any aspect of a plan, whether health and welfare, pension programs, profit-sharing, savings, or otherwise, can be held liable when a breach of duty is suspected or alleged.

The Challenge for Staffing Firms

Those working for a staffing agency find themselves in a unique employment situation. While an employee may be filling a specific role with one company, the individual is solely employed by the staffing agency. As a result, the administrative team at the staffing agency is responsible for overseeing the benefits to which an employee is entitled. Due to the Affordable Care Act, staffing firms have a potential requirement to extend certain healthcare benefits to their employees.

The Potential for Litigation

Staffing agencies must follow a mandate to both offer minimum coverage and make it affordable, either using fully or partially self-funded plans. These employers must keep up with coverage offerings, premium differentials, auto-enrollment, wellness incentives, W2 reporting, and more. All employees must receive timely communications concerning plan options and alternatives as well as the ongoing administration of their benefits. Any error or oversight, no matter how small, presents a fiduciary liability.

Risk management in this area includes using automated processing to help reduce human error, as well as carrying an insurance plan that addresses fiduciary duties.

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Paying the Price for Someone Else’s Mistake

As a business owner, you are responsible for everything that goes on in your business, even if it means an employee or a contractor you hired created a disaster. Contingent liabilities are the incidents that occur outside your scope of direct control but yet you and the business are financially responsible for. No matter what kind of safety policies you put in place or how thoroughly you stress care and quality in daily operation, you can still find yourself being sued for someone’s mistake.

Same Coverage, Different Name

Contingent liability insurance is a way to protect your company from the financial fallout of dealing with employee, contractor, or agent error. It might also be referred to as vicarious liability or indirect liability. Regardless of what name it goes by, the premise of liability means you are legally responsible for another person’s poor work or wrongdoing according to the workings of legal relationships. Employees are generally the biggest risk with vicarious liability, and whether or not they were abiding by company policies, their actions are pinned on the company.

Should a customer decide to sue your company, you could be looking at thousands and upwards of million dollars in legal fees, lost productivity, settlement costs, and reputation management efforts. An insurance plan addressing vicarious liability helps offset these costs, keeping your business from going under.

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What Is a Segregated Cell Captive?

Segregated cell captives can be used by businesses that wish to separate and protect their assets individually to prevent unnecessary risks. Unlike traditional insurance options, this allows businesses to own their insurance, thus providing added security and control over their assets.

Advantages of Segregated Cell Captives

The main advantage of a segregated cell captive program is that it separates the risks of one cell from another. If one cell, assets owned by a single individual, comes under fire, another cell owned by a different individual cannot be used to pay off the first cell’s liabilities. Therefore, each individual’s assets are protected within their own bubble.

Reasons to Set up a Cell Captive

Segregated cell captives are not costly to create or to maintain once they are up and running. They offer flexibility and are easier to leave than traditional insurance options. The owner can take charge of cells to monitor risk more closely as well.

Many businesses can benefit from setting up a segregated cell captive. Whether a company is small or simply doesn’t want to join with larger cell captives, these individually-owned cells can provide that necessary flexibility while still maintaining a strong security factor. Consider looking into a segregated cell captive program to protect your business’s assets.

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How Modification Rate Affects Workers Comp Costs

When it comes to calculating premiums for workers’ compensation insurance, the criteria involved are not always straightforward. One of the factors that are part of the equation is called an Experience Modification Rating. It is a multiplier that typically takes your claims history over the past three years into account. The mod rate can have a significant effect on how much more (or less) a company pays for workers’ comp coverage.

The rate starts at a baseline 1.0 and is adjusted from there. An above-average amount of claims over the time period can shift this value upwards. Typically, a business is compared to other companies with similar classifications to determine if the amount of cases is excessive or not.

Steps To Reduce Mod Rate

Since more claims result in a higher mod rate, then the opposite is also true. Fewer claims over time can reduce the rate – resulting in lower insurance premiums. There are several corrective and preventive ways to accomplish this:

  • Develop and promote safety and training programs.
  • Investigate accidents and learn how to prevent them from happening again.
  • Search for ways to improve ergonomics and fatigue-related injuries.

Workers’ compensation insurance can be a large expense for employers. Understanding the modification rate is essential for understanding how to reduce those costs.

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Three Things To Remember When You Move Into A Condo

Purchasing your first condo is no joke; after all the hell and high water that you’ve taken to get the keys, finally moving in is one of the most exciting days of your life. Don’t forget about some of the realities of moving into a condo, however.

Have Insurance In Place

Insurance is a must-have no matter where you live, and condos are no different. If you’re curious about condo insurance specifics and what different packages are offered, look at the data found at Byrnes Agency Insurance to help guide you along.

Be Mindful of Neighbors

Living within close proximity to other people is always a challenge, but courtesy and remember to think about others during your daily life goes a long way. For example, running the vacuum at two AM might be convenient for you, but your neighbor’s sleeping baby might not feel the same way.

Have A Clear Understanding of Fees

On top of rent and insurance, other fees are likely lurking somewhere in your monthly payment: HOA fees, for example, or other small payments you may be making. If you have questions, head to your condo’s office and have someone break it down for you.

Better than an apartment but less work than a house, a condo can make a fantastic home. Don’t wait until it’s too late by knowing what you’re getting yourself into when you move in.

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Rent Default Insurance Coverage

When it comes to concerns related to becoming a landlord, there are few greater worries than that of not bringing in rental income. Most people can’t afford to miss one month of rental income, let alone six months to a year. And unfortunately, this is more common than one might think. The good news is that loss of rent insurance can be found on such sites as https://www.rentrescue.com. While it may not cover all rental income losses, it does cover a lot of them.

Tenant Abandonment

There are several reasons why a tenant may abandon their rental property. Some of these reasons include:

  • Military Deployment
  • Family Emergency
  • Serious Illness
  • Imprisonment
  • Death

Although individual policies vary, loss of rent insurance may pay anywhere from 1 – 6 months of lost rent under these kinds of circumstances.

Eviction

Evictions happen, and they happen for a number of different reasons that range from selling a property to not adhering to noise curfew regulations. Under some circumstances, landlords may get reimbursed for the total amount of rent after a resident is evicted.

Legal Fees

Landlord and tenant arguments sometimes lead to legal action, which comes with pretty hefty fees. Whether it’s attorney fees, filing fees or court costs, an insurance policy could help with some of these expenses.

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Is Your Commercial Real Estate Truly Covered?

When you own and run your own business, it goes without saying that comprehensive insurance coverage is a top priority. This includes in regards to your commercial real estate. However, if your property insurance policy doesn’t include ordinance or law coverage, there’s a good chance you won’t be fully covered in the event your building is ever damaged or compromised.

What Is Ordinance and Law Coverage? 

As discussed on https://www.nsins.com/, ordinance and law coverage is a type of real estate coverage that is often overlooked despite its importance. Without it, a given property would be protected in the event of total destruction due to fire, natural disaster, vandalism, or other common occurrence. However, a loss that isn’t total may not be should the undamaged portion be declared unusable under an applicable ordinance or zoning law. For instance, the property owner could be required to cover the costs of rebuilding, repair, or demolition without the help they otherwise would have gotten under their insurance policy.

Make Sure You’re Covered

Ordinance and law coverage becomes even more important when you consider the ever-changing nature of city ordinances, zoning laws, and the like. Without it, there’s always the chance that you wouldn’t be fully compensated should the worst ever happen, even if you perhaps would have been at some point in the past. Speak to an insurance agent today about truly safeguarding your business today.

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Do You Have Flood Insurance?

No one enjoys having to deal with the disaster that comes with flooding. Many homeowner’s are unaware that flooding is not covered under their homeowner’s insurance policy, which means they may be unprepared. However, private flood insurance can fill in the gap and keep you protected, as seen by the information provided by Transparity Insurance.

Coverage Under Flood Insurance

Homeowner’s can face heavy financial and material losses with even an inch of standing water in the home. Fortunately, purchasing a flood insurance policy means you can be covered for the following items:

  • Structural property damage
  • Appliances
  • House systems, such as HVAC
  • Plumbing
  • Electrical systems
  • Detached garage

Each insurance policy is unique, and some may offer expenses for additional living costs while your home is being remodeled. The type of policy you receive depends on where you live and the type of flood damage you may expect to have. Your insurance agent can run a risk analysis and offer you different policies to choose from.

Being Prepared Means Being Protected

If you live in a flood-prone area that experiences hurricanes or yearly heavy rainfall you should be prepared for any potential damage with private flood insurance. It takes 30 days to be put into effect, so be sure to select your policy before the rainy season starts.

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The Benefits of Personal Liability Coverage

No matter how safe your building is or how careful you are as a business owner, accidents sometimes occur. If people get hurt, you may be liable for their injuries. That’s where your liability coverage comes in. If you have a Paramus commercial liability insurance policy, what can you expect it to cover?

Injuries on Property: If a visitor to your building is injured on your property, he or she may sue you for damages.

Your commercial liability policy can cover the expenses associated with the legal resolutions process:

  • Legal defense fees
  • Damages awarded by the court
  • Plaintiff’s legal fees that are part of the settlement

Injuries From Product Use: When your product is put on shelves, there is an understanding that, when they use it as directed, the buyers will come to no harm. If your product causes injury or damages their property, they may need to be compensated for these damages. You need the appropriate Paramus commercial liability insurance to protect you from having to pay these expenses out of pocket.

There are many situations where solid liability coverage can come in handy. When you are responsible for a business, you can’t afford to leave yourself vulnerable. Discuss your commercial liability needs with your insurance agent to make sure you have all the coverage you need.

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Commercial Marine Insurance Programs are Vital to Our Economy

Much of the trade and product distribution in the US is dependent upon companies involved with global supply chains and the logistics service providers that work fervently to ensure the delivery of goods in the US and around the world. Commercial Marine Insurance Programs consist of services and products specifically designed to respond to the intricate risk profiles of the many entities that make up this dynamic and complex industry.

Brokers like you need to be able to provide your clients in the marine cargo industry, many involved in the transportation of goods on state highways, including oversized cargo, along with warehouse operators, with flexible and broad coverage for travel by rail, road and waterways. Many of your clients understand the value of a stock throughput policy that provides coverage from the “cradle to the grave.” Providing the necessary insurance solutions to ensure that they are covered in the event that any one of a number of issues develop during their daily operations gives them much needed peace of mind.

Worldwide stock throughput coverage is vital

A Stock Throughput policy is helpful in eliminating possible coverage gaps thereby creating a policy that protects many products and other merchandise on a global basis from loss or damages that may occur. This policy provides a safeguard for the entire time the insured is responsible for the goods in their care. As the broker you’ll be providing not only continuous coverage, but also a simple and easy claims process, and reduced premium expenses as well.

Freight forwarders, property brokers, and warehouse operators are unfortunately all in a position to be held liable for any damage to precious cargo while it is in their care, custody and control. This includes those times when they are arranging for transport of the shipments. Explain the benefits of this coverage (available in various forms) to provide defense to intermediaries against any allegations of neglect or mishandling and provide for indemnification in instances where they are found negligent.

Warehouse operators also have a legal responsibility for cargo lost or damaged while in their custody. Providing them with bailee legal liability coverage, also available under Commercial Marine Insurance Programs, will satisfy their needs when a claim is brought against them as well.

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