Improve Your Workers Compensation Program Through Employee Selection

Improve Your Workers Compensation Program Through Employee Selection

One of the most important things an employer can do is hire the best possible person for the company. In the current employment market, it is easy to lose sight of how employee selection is directly tied to employee injuries. Hiring the wrong person can put your workers;’ compensation program at risk. Fortunately, there are actions you can take to help prevent workers’ compensation losses through the right hiring processes.

• Always require formal applications for all employees.
• Conduct detailed interviews.
• Check references.
• Conduct background checks and drug testing as the law allows.
• Train your interveners to watch for indicators of past job performance issues. These might include applicants who offer vague responses, quite a previous job without notice
• or show negative patterns of behavior in their job histories.
• Be aware of any past employee fraud issues. This may include being fired or blaming others for performance issues.
• Have clear job responsibilities and share these with a potential employee.
• Develop a return to work program.
• Your job description should have specific physical demands outlined, and the employee should sign they can meet these demands.

Workers’ compensation is an important part of your business insurance program. It is required by state law that your business has workers’ compensation insurance.

As a business owner, you go to great lengths to provide a safe working environment for your employees. Workers’ compensation continues to be a significant cost driver for most employers, and understanding all the factors that can drive your workers’ compensation cost can often be complex and time consuming.

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Posted in Church Insurance Workers compensation by Scott Stuart. Comments Off on Improve Your Workers Compensation Program Through Employee Selection

Is Earthquake Insurance Really Worth The Cost?

Is Earthquake Insurance Really Worth The Cost?

We all know that earthquake insurance can be costly. However, many businesses mistakenly fail to consider earthquake insurance due to the cost and other factors. We hope to show you the value of having earthquake insurance as part of your insurance portfolio.

  • The biggest mistake business owners make is to think it won’t happen to them. According to the U.S. Government, there were over 15,700 earthquakes in 2012. The economic damaged caused, was over $12,000,000 worldwide.
  • Almost 80 percent of all the planet’s earthquakes occur along the rim of the Pacific Ocean, called the “Ring of Fire”; a region that encircles the Pacific Ocean and is home to 452 volcanoes (over 75 percent of the world’s active and dormant volcanoes).
  • Each year the Oregon area has about 4,000 earthquakes; the majority of which go unnoticed. If there is a large earthquake, however, the aftershock sequence will produce many more earthquakes of all magnitudes for months.

National Earthquake Information Center, Red Cross

The cost of earthquake insurance is much more competitive than you may think. When the damage exceeds the deductible, the insurance company pays the difference, although there may be limits on the maximum paid out. If you have any loans against your facility, you may be required to carry earthquake insurance. You should consider earthquake insurance when the risk of financial loss is greater than your tolerance.

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Five Common Problems That Lead To Financial Losses

Is Your Church Protected?

A recent report issued by the Association of Certified Fraud Examiners, places the cost of employee fraud at 7% of annual revenues.  Employers with less than 100 employees saw a median loss of $200,000 according to the ACFE. Another study performed by the Institute for Corporate Productivity and HR.com showed that 20% of all employers have some form of employee fraud.

Manage These Risks

  1. Duties need to be separate. No one person should have authority to authorize transactions, approve checks, and maintain records
  2. Hire qualified people. Many small businesses tend to hire family members of people who do not have any financial background.
  3. Develop accounting procedures and review them regularly.
  4. Require everyone to take vacations.
  5. Complete background checks on all new employees.

Employee Dishonesty Insurance

Crime and employee dishonesty coverage, also known as fidelity insurance, is specifically designed to reimburse an employer for those types of losses. We can offer coverage for employee theft of money, securities, or property, written with a per loss limit, a per employee limit, or a per position limit. Employee dishonesty coverage is one of the key coverages provided in a commercial crime policy.The scope of coverage can vary from one insurer to another. What might be excluded in one policy could be included in another. It takes an expert to know the market and the experience to negotiate the best arrangement for an insurance buyer.

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Posted in Church Insurance Church Risk by Scott Stuart. Comments Off on Five Common Problems That Lead To Financial Losses

Do You Know Your Cost Of Risk?

This article is a continuation of our series on creating a new way of thinking about insurance. As you consider your business insurance, we invite you to think about this subject in the much larger spectrum of “Total Cost of Risk”. Your insurance program is more the premiums you pay

Total Cost of Risk is the sum of the costs arising from all of the risks faced by an organization. Risks can generally be categorized into one of the following three classes:

Operational– Operational Risk includes the cost of products, protection of property, insurance, damage to or destruction of supply sources for key raw materials, components, or services, injuries to employees or outside parties, damage to the property of outside parties including resulting consequential loss, damage to the environment, and employment decisions.

Financial– Financial Risk includes risks associated with commodity price variability or commodity availability, costs of capital and borrowing, customer credits, business development, profit and banking costs.

Strategic– Strategic Risk includes issues of risk that can have a major impact on the overall viability of an organization. These include issues centering on reputation of the organization or its employees, loyalty to the organization of customers or clients, development of new products or services, meeting the demand for existing products or services, and pricing of the organization’s products or services.

When you consider all your risks, it is important to understand how a well-designed insurance program can impact all these areas.

Change your Thinking About Insurance

Most businesses only look at their premiums when they evaluate insurance costs. We would like to provide an alternative view. For example, by only considering insurance premiums you are eliminating many other factors in your total insurance costs. Here are factors that make up your total cost of risk.

  • Internal Risk Administration
  • Legal and Claims Expenses
  • Deductible Costs
  • Uninsured Loss Costs
  • Safety Program Costs
  • Insurance Premiums
  • Contracted costs

Next up; we will review each of the cost of risk areas and how they impact your overall insurance program.

Posted in Church Risk Church Safety by Scott Stuart. Comments Off on Do You Know Your Cost Of Risk?

Does Your Church Need Fidelity Bond Coverage?

What is a fidelity bond?

A fidelity bond, or employee dishonesty, is not insurance but it protects your ministry against specific losses that may occur from the dishonest acts of employees. The fidelity coverage guarantees that the insurance company will pay the insured ministry for money or other property lost because of dishonest acts of its employees, either named or by positions.

Why consider a fidelity bond?

We think every ministry needs a fidelity bond. The costs are very competitive and can be included within your church insurance program. A church leader purchases such a bond to protect himself or his ministry against fraudulent activities by an employee.

  • Sixty percent of lost inventory is a result of employee theft.
  • The FBI considers employee theft one of the fastest growing crimes in America, including churches.
  • The US Chamber of Commerce states that 20% of business bankruptcies are a result of employee theft.

Things to consider when purchasing a fidelity bond

  1. The application process asks questions about your financial and accounting procedures which can be beneficial to your business.
  2. We always recommend notifying all current and new employees that the bond is in place and that they may need to provide information.
  3. Embezzlements occur often but are rarely reported, and in only a few cases are publicized.  Few people realize how common embezzling really is.

We can help you better understand your risks and help you manage the short application process. Call us today.

 

Posted in Church Insurance Church Safety by Scott Stuart. Comments Off on Does Your Church Need Fidelity Bond Coverage?

Don’t Get Distracted While Driving

Have you ever driven drowsy? Texted while behind the wheel? Or reined in rowdy behavior from the driver’s seat, so you didn’t have to stop the church van?

If so, you’re not alone. At any given time, thousands of drivers battle distractions that threaten to take their minds off the road. Crashes involving distracted drivers kill more than 3,000 people a year in America and injure more than 300,000.

Your ministry can help prevent crashes on church trips by educating drivers about traffic safety issues and enacting policies that promote distraction-free driving.

While using cell phones behind the wheel is one of the most talked about driving distractions, it’s not the only one out there. There are many other things that we do behind the wheel that you may be surprised to find are considered driving distractions!

Driver distractions are the leading cause of most vehicle crashes and near-crashes. According to a study released by the National Highway Traffic Safety Administration (NHTSA) and the Virginia Tech Transportation Institute (VTTI), 80% of crashes and 65% of near-crashes involve some form of driver distraction. The distraction occurred within three seconds prior to the vehicle crash!

Issue 1: Drowsiness
Ministry drivers may be asked to drive long distances on little sleep. This is often the case with youth group outings, which might require an all-night drive to reach a destination. Many accidents involving ministry vehicles each year are caused by drowsy drivers.

The policy: Always have at least one backup driver for each vehicle.

Issue 2: Cellphone Use
Using a cellphone while driving is one of the most common distractions drivers face. It’s especially dangerous because it can divert someone’s attention visually, manually, and cognitively, increasing their chances of being involved in an accident.

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Three Ways To Reduce Your Churches Risk

 

When you’re just starting to develop a comprehensive risk management plan, the process can seem daunting. Keep it manageable by breaking the project down into smaller steps. Ask the right people (and enough of them) to complete each one and develop a project plan with firm delivery dates along the way. Call me for help.

  1. Identify the hazards. Determine what areas of your ministry might pose risks. Consider any hazard that can cause injury, illness, death, loss, or damage to equipment or property. Consider a variety of “what if” scenarios.
  2. Make risk control decisions. Once you have chosen a strategy, determine the level of risk remaining. Do you still think the remaining risk is acceptable? Or should you modify the plan to develop measures to better control the risk? Capture your decisions in writing.
  3. Supervise and review. Make sure everyone is playing his or her role appropriately once your plan is in place. As time passes, review the plan periodically to ensure it’s still working. Get feedback from people involved in all aspects of the plan, and use their comments to modify it as needed.

Make sure your church insurance is up to date, call us today!

Christian Ministries Insurance is committed to providing sound advice and insurance products to churches, universities, Bible colleges, private schools, camps, mission organizations and other 501c3 and related ministries.

What Christian Ministries Insurance can do for You

Christian Ministries Insurance will provide sound advice, training and insurance programs designed specifically for your ministry. We provide much of our unique risk management consulting services at no additional cost.

We become part of your ministry team

Posted in Church Insurance Church Risk Church Safety by Scott Stuart. Comments Off on Three Ways To Reduce Your Churches Risk

Are You Ready For The Next Big Earthquake?

May 2018 saw a number of small earthquakes in California and Oregon. Many experts are predicting a quake on the west coast in the next 12 months. The only thing we have control over is how prepared we are when an earthquake hits our area.

What You Can Control

  1. Get earthquake insurance on your home. Earthquake insurance covers damage to your home and your possessions. Most earthquake policies also cover costs incurred to minimize further damage after an earthquake, plus costs for additional living expenses. Deductibles are generally 10-15% of the insured amount. Exterior structures such as pools, irrigation systems, driveways, and detached garages are generally not covered.
  2. Create a disaster plan.
    • Know where to go. If you are ordered to evacuate, know the local evacuation route(s) to take and have a plan for where you can stay. Contact your local emergency management agency for more information.
    • Put together a “go-bag” or disaster supply kit should you need to evacuate, including a flashlight, batteries, cash, first aid supplies, medications, and copies of your critical information.
    • If you are not in an area that is advised to evacuate and you decide to stay in your home, plan for adequate supplies in case you lose power and water for several days and you are not able to leave due to blocked roads.
    • Make a family emergency communication plan and review it regularly with members.
    • Many communities have text or email alerting systems for emergency notifications. To find out what alerts are available in your area, search the Internet with your town, city, or county name and the word “alerts.”
    • Disconnect electrical appliances and do not touch electrical equipment if you are wet or standing in water. You could be electrocuted.

Christian Ministries Insurance is committed to providing sound advice and insurance products to churches, universities, Bible colleges, private schools, camps, mission organizations and other 501c3 and related ministries.

What Christian Ministries Insurance can do for You

Christian Ministries Insurance will provide sound advice, training and insurance programs designed specifically for your ministry. We provide much of our unique risk management consulting services at no additional cost.

We become part of your ministry team

 

 

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Mission Trip Insurance

Brotherhood Mutual’s Passport to Ministry® insurance program offers some of the most comprehensive travel insurance and assistance services available to ministries. This program is for short-term missions and foreign travel including Holy Land trips, study abroad, and more.

As a customer, you’re offered:

  • Comprehensive insurance coverage
  • Access to a network of thousands of international doctors and hospitals
  • A multi-lingual customer service phone line, available 24/7/365
  • Ongoing travel support during your trip

Passport to Ministry
This is our most comprehensive package—providing liability, medical, travel, and security protection and services for teams traveling outside the United States* and Canada, including:

  • General foreign liability ($1 million)
  • Medical expenses: Accident and sickness ($10,000, $25,000, $50,000, or $100,000 limits per person)
  • Emergency cash advance
  • Political evacuation

Click here for more options and information.

Live Events Create Risks

Is there anything worse than planning and preparing for a special event only to have it canceled at the last minute due to weather, or some other unforeseen reason? Special events are important and you want your event to go off without any issues. Event Cancelation Insurance helps protect your business and the planning days leading up to it.

Special events can include sporting events and competitions, trade shows, conferences, lectures, festivals, fairs, film, television, premiers, concerts and tours, corporate functions, community events, weddings and other special family gatherings.

Event Cancellations Insurance can help if you face a cancellation or postponement due to an unforeseen event such as illness, inclement weather or loss of speakers. Event Cancellation Insurance will provide reimbursement for deposits forfeited and other charges paid or contracted to be paid by the insured. This can include transporting costs, catering services, property and equipment rentals, location rentals, accommodations (including travel arrangements and accommodations for a honeymoon if applicable), specialized equipment, flowers, event photographs, videos and entertainment expenses. Event Cancelation Insurance should not be confused with Event Liability Insurance, which is designed to cover guests and other third parties if they are injured or suffer loss at your event.

Examples of Event Cancellation Claims:

  • Heavy fog at a spectator event
  • Heavy winds at a balloon event
  • Snow/hailstorm at a golf event
  • Flooding of local roads prevent access to the venue
  • Pool sanitation issues at a swimming event
  • Flooding at a boat race
  • Convention center destroyed by fire
  • Performer unable to attend due to accident or illness

Christian Ministries Insurance is committed to providing sound advice and insurance products to churches, universities, Bible colleges, private schools, camps, mission organizations and other 501c3 and related ministries.

What Christian Ministries Insurance can do for You

Christian Ministries Insurance will provide sound advice, training and insurance programs designed specifically for your ministry. We provide much of our unique risk management consulting services at no additional cost.

We become part of your ministry team

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Posted in Church Safety by Scott Stuart. Comments Off on Live Events Create Risks