Business Insurance and Covid 19

Business Insurance

How Business Insurance Responds To COVID-19

After weeks of shelter-in-place orders, crashing markets and industries decimated virtually overnight, business owners can’t help but embrace reality and prepare for the long-lasting impacts of COVID-19. As part of the process, it’s crucial to understand how business insurance responds to COVID-19-related issues.

So how can various types of business insurance help companies get through the pandemic? Here are the insurance coverages and major factors — operational, political and regulatory — that can make or break coverage in this trying time.

Business Interruption: Physical Damage And Civil Authority Issues

The business interruption (BI) feature of a property insurance policy responds when a business is inoperable due to physical damage, such as a fire or structural damage. Disasters of this caliber can quickly, albeit temporarily, close businesses, resulting in severe loss of income. Some policies also include coverage for civil authority interruptions, which is when a governmental authority orders the closure of businesses. In both cases, claiming income losses typically triggers BI insurance to respond.

Unfortunately, recovering COVID-19 losses under a Property policy is an uphill battle at the moment. It’s highly unlikely that, under most policies, insurance carriers will qualify COVID-19 BI losses as caused by physical damage or a civil authority claim. We’ve seen this already in the declination letters received from many carriers.

Physical damage requires direct physical damage to the property and many insurers have taken the position that direct physical damage does not exist under the current circumstances. While some business owners have sued, claiming that the virus can be present on surfaces in their office or store, therefore directly physically damaging it, courts are far from resolving this dispute. Most policies have a standard virus exclusion that may also exclude coverage. Furthermore, claims based on civil authority are being declined because police have not physically cordoned off spaces, which is typically required for a successful recovery under this coverage.

For further discussion or to answer specific questions about your coverage or circumstances, please give us a call.

49 or so Fall Homeowner Tips

49 or so Crucial Fall Maintenance, Homeowner Tips You Should Never Forget

You’ll definitely regret skipping over any of these important home maintenance tasks this fall

Fall Homeowner Tips

Aerate the soil

“Aerating” simply means making holes in the ground by removing plugs of soil. And it’s the single most important task you can perform to maintain a healthy, good-looking lawn. Nothing else comes close! It relieves compaction caused by foot traffic and creates extra pore space in the soil, allowing air, nutrients, and water to enter. All of that helps roots to thrive. Aerate your lawn at least once a year, preferably in the fall. Do it two or even three times each year if you can. The more, the better. You can rent a lawn aerator at any equipment rental store. Get one that will remove plugs of soil rather than one that pokes holes in the ground.

2. Gutter cleaner

An old plastic spatula makes a great tool for cleaning debris from gutters! It doesn’t scratch up the gutter, and you can cut it to fit gutter contours with snips. Grime wipes right off the spatula too, making cleanup a breeze. Don’t feel like putting in that much elbow grease? Consider a gutter cleaning robot!

3. Clean weep holes

Weep holes may be the tiniest feature of many sliding windows and vinyl replacement windows, but they serve a big function. The little holes, located on the exterior bottom of the frame, are an outlet for rainwater to drain away from the home, but they often can become clogged up with debris. To make sure they’re working properly, spray the outside of the window with a garden hose—a steady stream of clean water should exit from the holes. If it doesn’t, use a wire hanger or compressed air to force the blockage out. Re-test with fresh water to ensure they’re completely cleaned.

4. Reseed late in the growing season

Reseed in the late summer/early fall. Whether you’re seeding a small patch or a whole yard, you’re going to be much more successful if you wait for the cooler, damper weather of late summer or early fall. It’s almost impossible to get seed to survive during the dog days of summer. It’s simply too hot and dry. You’ll most likely just waste your time and expensive seed.

5. Get your gutters ready

Make sure your home is ready to deal with the rain and snow that comes as the seasons change. Walk around your home and check for loose gutters, broken pieces, and detached downspouts and make the necessary repairs. Ensure your gutters are clear of leaves and other debris and that your downspouts are directing water away from your foundation.

5a. Check exterior caulking and weatherstripping

Fall is the perfect time to make sure your house is properly caulked and your weatherstripping is in good shape. Inspect around windows, doors, and anywhere else two materials meet to make sure the caulk is in good shape. Check the weatherstripping around doors and replace if it’s broken or missing—it’s super easy to do.

6. Give your roof a once-over

No one wants to be fixing a roof in the dead of winter. Give it a once-over to make sure there aren’t any signs of trouble. Pay attention to broken or missing shingles, missing flashing and any discoloration.

7. Fix driveway and sidewalks before they get worse

Changing temperatures and moisture can turn a small concrete problem into a big one. Take some time to repair broken concrete and get some more time out of your sidewalk, driveway, and steps before they’re in need of full replacement.

8. Install frost-proof outdoor faucets

New outdoor faucets are frost-proof and also prevent unsanitary water from contaminating your water system. Installing a new outdoor faucet takes just a few hours and will give you peace of mind all winter long.

9. Winterize your gas grill

If you’re not a winter griller, now’s the time to pack away your grill before it’s covered with a foot of snow. In addition to giving your grill a thorough cleaning to remove grease and food scraps, take these steps to help prevent any unpleasant surprises when you fire up your grill again next spring.

Shut off the gas at the LP tank, unfasten the burner, slip the gas tubes off the gas lines, and lift out the unit. Coat the burners and other metal parts with cooking oil to repel moisture that can build up over the winter and to prevent rust. Then wrap the burner unit in a plastic bag to keep spiders and insects from nesting in the gas tubes during the winter. This is a common problem that can make for balky starts, uneven flames or even a one-alarm fire the next time you light your grill.

If you’re storing your grill outside during the winter, just keep the propane tank connected (but shut off) and put a protective cover over the entire grill when you’re done cleaning it. If you’re storing the grill indoors, don’t bring the tank inside, even into the garage or a storage shed. A small gas leak can cause a huge explosion if the tank is stored in an enclosed space. Instead, disconnect the tank and store it outside in an upright position away from dryer and furnace vents and children’s play areas. Tape a plastic bag over the grill’s gas line opening to prevent insects from nesting.

10. Winterize your sprinkler system

You don’t have to pay someone to blow out your sprinkler system. You can do it with your own compressor, but be aware that even the largest home compressor isn’t powerful enough to blow out the entire system at once.

If you like number crunching and you have the original irrigation layout showing the gallons per minute (gpm) of each sprinkler head, divide the gpm of each zone by 7.5. That’ll give you the cubic feet per minute (cfm) you need to blow it out. Otherwise, rent a 10-cfm compressor and hose from a tool rental center.

Set the compressor air pressure regulator to a maximum of 80 psi for rigid PVC pipe systems, or 50 psi for flexible black polyethylene pipe. Then turn off the water supply and set the system timer to open just one zone. Next, open the manual drain valve at the end of that zone (if equipped). Then, connect the air line to the blow-out port, as shown. Close off both valves on the backflow preventer. Then remove the plug on the blow-out port and screw in a quick-connect hose adapter. Snap on the air hose and connect the other end to the compressor. Now blow out the line. The heads should pop up and spit out water. Disconnect the hose as soon as they run dry. Don’t overdo the blow-out—without water cooling the plastic gears, they can melt in less than a minute. Move on to the next zone and allow the heads to cool. Then go back and blow out each zone a second time.

11. Seasonal battery storage

You’ve emptied the gas, sealed the exhaust and prepared the engine for seasonal storage. But before you throw the tarp over your boat or roadster for the long winter sleep, think about how you’re going to care for the battery.

Batteries lose their charge when they sit idle, and when that happens, you could wind up with a worthless battery in the spring. To keep batteries healthy, they should be charged every six weeks. But leaving a standard battery charger connected for the whole season isn’t a good idea—that will overcharge the battery and shorten its life. Instead, invest in a ‘battery maintainer.’

Battery maintainers are designed to be left on for the entire offseason. They monitor battery voltage and automatically adjust the charge to avoid under- and over-charging.

12. Drain garden hoses or waste money on replacements

Due to circumstances (laziness), I sometimes neglect to drain garden hoses before putting them away for the winter. Usually, it’s not a problem. But every once in a while, freezing water splits a hose open. I’ve lost a few cheap hoses this way and a super-expensive one (ouch!). That’s just dumb because draining hoses is so quick and easy: Blast out the water with an air compressor or stretch them out on a sloped yard or driveway.

13. Change your furnace filter

Changing your furnace filter is one of the easiest things you can do to keep your furnace in good shape. If you haven’t changed it in a while, make sure you have a fresh one before you turn your furnace on for the first time.

14. Take a peek at your furnace

Make sure your furnace is in good shape before you really need to use it. With a few tools and some time, you can perform a DIY furnace inspection to head off problems before they start.

15. Check your chimney or risk a fire

Creosote buildup causes chimney fires. You should have your chimney professionally inspected or cleaned after every 70 fires. If you burn wet wood (which you shouldn’t), have it inspected or cleaned every 50 fires.

Don’t remember the last time you had it cleaned by a pro? A quick way to tell if your chimney needs cleaning is to run the point of your fireplace poker along the inside of your chimney liner. If you find a 1/8-in. layer (or more) of buildup, call a chimney sweep.

16. Stop airflow up the chimney

Fireplace chimneys can be very inefficient, letting your warm inside air disappear like smoke up a chimney. If you have airtight glass doors that seal the opening, you’re in good shape. (The doors are available at fireplace retailers and home centers.) If not, a special balloon or chimney-top damper will get the job done.

For fireplace chimneys that are seldom or never used, inflate a Chimney Balloon inside the chimney to stop the air leaks. Buy it directly from the company. Partially inflate the balloon by mouth or with a pump, then stick it into the chimney and blow it up the rest of the way.

Putting in and taking out the reusable balloon can be messy, so you don’t want to hassle with chimney balloons if you regularly use your fireplace. But that doesn’t mean you have to settle for energy loss. Instead, you can install a chimney-top damper system, like the Chim-a-lator, which seals the top of the flue when the chimney’s not in use. A lever in the fireplace controls the damper via a long cable.

Installation involves attaching the damper and screened-in cap to the chimney top, then mounting the lever in the fireplace. If you don’t feel comfortable working on the roof, hire a chimney sweep or mason, who can install the system for you.

17. Check your water heater

Extend the life of your water heater tank and maintain your water heater’s efficiency and safety with a few minutes of basic maintenance once a year.

18. Winterize your lawn mower

Don’t just shut off your lawnmower and leave it until spring—that’s a bad idea. But winterizing your mower only takes an hour. Give the deck a thorough cleaning. Then, add fuel stabilizer and a few ounces of oil to make sure the engine will start right up without hesitation in the spring.

19. Store outdoor furniture

Don’t leave your outdoor furniture exposed to the elements all winter long. At the very least, give your furniture a thorough cleaning and cover it or bring it inside for the season.

20. Take care of those leaves

Once leaves are on the ground, put aside some time to tackle that chore.

21. Deep clean rugs and carpeting

Take advantage of one of those beautiful fall afternoons to give your rugs a deep clean. Take area rugs outside and give them a good shake (or a good whack), then give them a thorough vacuum with your shop vac. Don’t forget our interior carpets—you can rent a carpet cleaner and give your carpet a deep clean before you start hosting holiday gatherings.

22. Get your snowblower ready for service
You’ll want to be sure your snowblower starts before the first big snowfall. Take some time to get your snowblower running and in good order so it’ll be spitting snow as soon as it hits the ground.

23. Get your property ready for snow

Before the snow flies, take a few minutes to inspect your property. Remove rocks, dog tie-out cable, extension cords, holiday light cords, and garden hoses. Then stake out paths that run near gardens so you don’t accidentally suck up rocks and garden edging. Mark your walk and driveway perimeters by pounding in driveway markers. If the ground is frozen, just drill a hole using a masonry bit and your battery-powered drill.

24. Make a winter driving kit

This kit is overkill for year-round driving, but it could be very useful during winter. It only takes a few minutes to put together and you probably already have most of the stuff! Then, make sure you make these winter car care fixes as well so your car survived the winter.

25. Stockpile firewood

Whether you have a source of wood on your property or need to purchase a cord or two, fall is a great time to spend cutting and chopping wood to burn in your fireplace all winter long. And if you’re using a chain saw, make sure to brush up on your safety knowledge before you hit the forest.

26.Cut your lawn short

Keep mowing your grass until it stops growing. And your last mow of the season should cut your grass nice and short. This reduces the chance that your lawn will get snow mold and vole damage.

27. Fertilize your lawn

It’s important to apply fertilizer to your lawn during the fall—in fact, if you only apply fertilizer once a year, fall is the time to do it. Your lawn has spent all summer growing and it’s hungry.

28. Bring paint inside

Freezing can ruin latex paint and other finishes, so make sure to move your paint inside before the first frost. Some latex paint can survive a couple of freeze/thaw cycles, but it’s better not to chance it.

29. Don’t let glue freeze

Many adhesives–wood glue especially–can be ruined by just one freeze/thaw cycle, so it’s a good idea to store them in a heated space during cold months. Even glue just left overnight in a car can freeze and make it unusable.

30. Water your lawn in the fall

Your lawn still needs water in autumn, even though the leaves are changing, the growing season is winding down and your grass isn’t growing fast. Fall watering helps your lawn recover from summer stress and gain strength for the winter ahead. Also, if you fertilize in the fall, watering is necessary for the fertilizer to dissolve and soak into the ground where it’s needed. So don’t put your hoses or sprinklers away until the ground starts to freeze, your fall grass needs it.

31. Build a mitten and shoe dryer

Drill pairs of 1/8-in. holes in a scrap of 2×4 and insert U-shaped pieces of galvanized 14-gauge wire. If you have forced-air heat, drill 1-in. holes between the pairs of 1/8-in. holes using a spade bit, and set the rack on a register for fast drying.

32. Bleed hot water radiators

When trapped air clogs a hot water radiator, some or all of the ‘fins’ will stay cold. At the top of the radiator, look for a small valve like the one shown. Take a radiator key, 1/4-in. 12-point socket, or a flat screwdriver (depending on the valve type) and slowly turn the valve counter-clockwise until water starts dripping out. This releases the trapped air and lets hot water into the cold fins. While you’re at it, you might as well repeat the process on all of your radiators. Have a cup or dish handy to catch the water.

33. Clear steam radiator vents

Steam radiators have an air vent like the one shown. Unfortunately, many of these vents get painted over, plugging the air hole. Clear the air hole in the top of the vent with a small wire or sewing needle. If you’re still worried about the air vents working properly, consult a hot water/steam heat specialist who can replace the vents.

34. Install stovetop fire suppressors

Kitchen fires can quickly get out of hand, and with Thanksgiving on the horizon, you’ll likely be cooking more. Do yourself a favor and get a pair of fire suppressors. These magnetically-mounted cans live in your range hood and are activated when flames reach the fuze on the can. You find them for about $50, which may seem spendy, but they’re cheap insurance against something much worse.

35. Inspect and fix your garage door

Cold can wreak havoc on garage door tracks. Make sure your garage door is in good shape so you don’t find yourself stuck in the garage (or worse yet—stuck outside).

36. Check your detectors

With furnaces turned on, the windows closed and portable heaters humming along, fall is a great time to make sure your smoke and CO detectors are working. Check batteries and expiration dates—smoke detectors are typically good for 10 years, and CO detectors last for about six years.

37.Empty pots and planters

The water in soil left in flower pots and planters over winter can freeze and expand. Make sure to empty your clay and ceramic planters so they’ll survive for next season.

38. Fix your furniture

Not only is fixing your furniture a fun and easy indoor project, but you’ll also be glad to have sturdy, good-looking chairs and tables when guests stop by for holidays.

39. Insulate pipes

Pipes running through unheated basements and crawlspaces as well as exterior walls can be prone to freezing during winter (and causing bigger problems). Make sure it doesn’t happen to you.

40. How to seal outlets and ceiling boxes

The tiny gaps around outlets on exterior walls and ceiling boxes let cold air in (and warm air out). Sealing these areas takes just half a day and will help cut down on drafts (and your heating bill!).

41. Protect your house from critters

As temperatures drop, mice and other vermin will want to find a warm place to hunker down. Don’t let it be your house! Seal up any critter gaps and have a game plan for getting rid of any critters that might make themselves at home.

42. Test for radon

If you haven’t tested your house for radon, now is the time to do it. Sealing up your house for the winter also means you’re trapping potential cancer-causing radon gas. Get your house tested and take means to mitigate it if it’s a problem.

43. Clean dryers and vents

Thousands of dryer fires are caused by lint every year, yet they can be easily prevented with a few minutes of cleaning. With drier air and cooler temperatures approaching, make it a fall ritual to clean out your dryer and vent..

44. Handrail safety check

Go around your property and test and secure any loose handrails. Think about someone grabbing a handrail when slipping on some ice or snow, and make sure it’s up to the task.

45. Fill your bird feeders

If you’ve been feeding birds around your property, make sure to keep the bird feeders full through winter. They’ll come back to the area looking for food, and you want to make sure they don’t go hungry.

46. Don’t prune your trees

While intuition might want to make you get out your chainsaw and start pruning after the leaves fall, you could do more harm than good. Most trees are still active in the fall and any pruning during fall will encourage new growth at the wrong time. Wait until your trees are truly dormant to do your tree trimming—during winter or early spring.

47. Save your tender bulbs

A lot of northern gardeners treat tender bulbs as annuals, allowing them to die at season’s end. Instead, overwinter them. To make it simpler, plant tender bulbs in containers. Then, after frost kills the tops, whisk the containers into cool storage in a basement or attached garage. Water sparingly—maybe once a month—while they’re dormant so the soil doesn’t totally dry out—and bring the containers back out in spring.

48. Store lawn chairs

Here’s how to store your lawn and folding chairs so they’re out of your way. Take two pieces of 1×4 lumber (any scrap lumber will do) and create some simple, cheap and useful brackets on the wall. Cut each board 7-3/4 in. long with a 30-degree angle on both ends. Fasten pairs of these brackets with three 2-in. screws to the side of the exposed wall studs, directly across from each other, and you’ve got a perfect place to hang your chairs..

Earthquake Coverage

On Sunday, November 8th, a 3.6 magnitude earthquake struck at 9:10 a.m. in an area of Buzzards Bay about nine miles south of New Bedford. The United States Geologic Service (USGS) website received over 14,000 visits reporting the quake. Fortunately, the quake caused no injuries. However, the Red Cross reported that they were aiding twenty people who were forced from their homes because their residence suffered some quake-caused structural damage.

No coverage for earthquakes under a homeowner policy

The standard, HO3 home policy provides broad, open-perils coverage for losses EXCEPT for excluded perils, such as:

Earth movement, Floods, Mold damage, Wear and tear, Damage due to insects, vice or vermin, Eminent domain, Power failure, Intentional destruction of property, Acts of war, Faulty workmanship

According to a March 2006 report: “Earthquakes a National Threat,” the USGS identified twenty-six urban areas in the United States at risk to significant seismic activity. The fourth urban area on the USGS’s listing was Boston.

Earthquake insurance map — *Earthquakes in the northeastern United States and Southern Canada from The Northeast States Emergency Consortium*

The map above shows the seismic activity of the New England region from 1975 until 2017. The seismic activity in the New England area is constant. Some geologists predict that the Massachusetts area could have a 6.0 to 7.5 magnitude earthquake. In fact, since the settling of New England, there have been two.

In Central New Hampshire, a magnitude 6.5 earthquake occurred in 1638. The shaking from this quake was felt up into Canada and down into Boston. Around Boston, the quake’s aftershocks were felt for twenty days following the first earthquake.

Near Cape Ann in Gloucester, a Magnitude 6.0 earthquake occurred in 1755. Thirty-four miles south of Cape Ann, in Boston, about one-hundred chimneys were toppled, and as many as fifteen hundred other chimneys were damaged. Several brick buildings had walls collapse, and ground cracks opened.

Get a quote for Earthquake Coverage

Some companies offer earthquake coverage through endorsement. Other companies require separate policies.

Give us a call and get a quote for Earthquake Coverage.

Property Damage

pROPERTY DAMAGE

Part 4, Property Damage, is a compulsory coverage on the MA auto policy, with minimum limits of $5,000.

Most of our clients carry Part 4 limits of $100,000 per accident. More and more are electing to buy, $250,000.

This coverage provides Property Damage coverage for any property you might damage while driving. This could include another vehicle(s), fence, house, telephone pole, or whatever else you might hit.

Driving next to a BMW car transport truck on Route 128 the other day, I was reminded that $100,000 may not be adequate coverage.

The annual cost to increase Part 4, Property Damage, coverage from $100,000 to $250,000 is about $7.

Conversely, the annual savings, going from $100,000 down to $50,000 of coverage is about -$5.

Part 4. Damage to Someone Else’s Property

Under this Part, we (the insurance company) will pay damages to someone else whose auto or other property is damaged in an accident. The damages we will pay are the amounts that person is legally entitled to collect for property damage through a court judgment or settlement. We will pay only if you (named insured) or a household member is legally responsible for the accident. We will also pay if someone else using your auto with your consent is legally responsible for the accident. Damages include any applicable sales tax and the costs resulting from the loss of use of the damage property.

We (the insurance company) will not pay for property damage which occurs:

1. While your auto is being used as a public or livery conveyance. This does not apply to the use of your auto in a share-the-expense car pool arrangement or in an expense reimbursement program wither as a volunteer or at work.

2. While any auto is being used by anyone in the course of his or her employment in the business of selling, servicing, repairing or parking autos. This exclusion does not apply to the ownership, maintenance or use of your auto by you or a household member.

3. While anyone is using a vehicle in the course of any business other than the business of selling, servicing, repairing or perking autos. This exclusion does not apply to private passenger autos or to pic-up trucks, vans or similar vehicles not used for the delivery or transportation of goods or materials unless such use is incidental to your business of installing, maintaining, or repairing furnishings or equipment.

4. While a household member, other than your spouse, is using an auto which you or any household member owns or uses regularly unless a premium for this Part is shown for that auto on the Coverage Selections Page.

5. While you or your spouse, if a household member, is using an auto which you or your spouse, if a household member, owns or uses regularly unless a premium for this Part is shown for that auto on the Coverage Selections Page.

6. To an auto or other property owned by you or the legally responsible person. Similarly, we will not pay for damage to an auto or other property, except for a private residence or garage, which you or the legally responsible person rents or has in his or her care.

7. When the property damage is caused by anyone using an auto without the consent of the owner.

The most we will pay for damage resulting from any one accident is shown on the Coverage Selections Page. This is the most we will pay as the result of a single accident no matter how many autos or premiums are shown on the Coverage Selections Page.

If someone covered under this Part is using an auto he or she does not own at the time of the accident, the owner’s auto insurance must pay its limit before we pay. Then, we will pay for any damages not paid by that insurance, up to the policy limit shown on the Coverage Selections page. However, if the claim is covered by us and another auto policy, we will pay only our proportionate share of those damages not paid by the owner’s auto insurance.

Under this Part, we may have ot pay for property damage even if youor the legally responsible person fails to give us prompt notice of the accident. In that case we may be entitled to reimbursement from that person.

This Part is Compulsory. You must have limits of at least $5,000. However, you may want to buy more protection. Higher limits may be purchased if agreed upon by you and by us. However, $5,000 is the most we will pay for property damage caused by an auto covered under this Part which is being operated in any prearranged or organized racing, speed, stunting or demolition contest or activity or in practice or preparation for any such contest or activity.

Call Johnson & Rohan Insurance to review your coverage today!

Massachusetts Happy Halloween 2020

Halloween 2020 Safety Tips

2020 has been a difficult year for everyone. Governor Charlie Baker recently announced that, in spite of the pandemic, he would not be cancelling Massachusetts Halloween 2020 this year.

In a Salem, MA press conference he shared a letter he received from one of his young constituents:

“It was written with a crayon, but it was quite clear. It said, ‘Governor Baker, I want to thank you for not canceling Halloween. And I think the best thing you can do to make sure that people really limit their exposure to each other when they’re out is to tell everybody that they should give out one large candy bar, instead of those baskets of many small candy bars, because then kids won’t put their hands in and fish around for them.’”

In addition to this great safety tip, the Governor’s office released additional safety measures this Halloween:

Enjoy Halloween outside rather than attending indoor events.
Place candy on a platter instead of a bowl
Instead of traditional trick or treating, opt for one-way trick-or-treating, with treats placed outside of the home for trick-or-treaters as a “grab and go” while keeping distance from others.
Consider leaving hand sanitizer by any treats left out for trick-or-treaters to use.
Wear a face mask or face covering. For more information on face masks and face coverings, please see the state’s Mask Up MA webpage.
- A costume mask is not a substitute for a face mask or face covering. To protect yourself and others, ensure you are wearing a protective face mask or covering instead of or in addition to a costume mask.
Observe good hand hygiene, including hand washing and use of alcohol-based sanitizers with at least 60% alcohol. Carry hand sanitizer and use it often, especially after coming into contact with frequently touched surfaces and before eating candy.
Refrain from touching your face.
Decorate your yard for others to enjoy from their car or while on a socially-distanced walk.
Hold virtual costume contests or pumpkin carving events.
Celebrate with members of your household with a Halloween-themed meal, Halloween movie night, or by preparing a Halloween scavenger hunt.
Maintain social distancing of at least 6 feet of physical distance from all other participants who are not members of the same household.
Avoid:
- Attending crowded costume parties held indoors, or any gatherings that exceed indoor or outdoor gathering limits;
- Going to an indoor haunted house where people may be crowded together and screaming; and
- Going on hayrides or tractor rides with people who are not in your household.
- Indoor haunted houses and;
- Stay home and refrain from Halloween activities, including handing out Halloween treats, if:
  - you feel unwell;
  - you have tested positive for COVID-19;
  - you have been exposed to someone with COVID-19; or
  - you have traveled to or from a state that is not classified as lower risk within the last 14 days. For more information on lower risk states, please see the state’s COVID-19 Travel Order webpage.

On behalf of Johnson & Rohan Insurance: have a fun, safe & healthy 2020 Halloween!

How to Avoid Hitting a Deer

Did you know that the highest rate of deer collisions occurs between October and December? This is the migration and mating season for deer, so they are likely to be moving at a more frequent pace.

According to the National Highway Traffic Safety Administration, there are one million car accidents involving deer each year in the United States, resulting in close to 200 deaths and an additional 10,000 injuries. The financial costs are also high, as deer collision damages to vehicles total upward of $1 billion in costs a year. On average, a vehicle collision with a deer will cost an insured more than $3,000 in damages. The Insurance Information Institute (I.I.I.) attributes the increase in deer-vehicle collisions to the fact that more roads are being built through wildlife habitats, which causes deer to be displaced from their natural habitat.

How to avoid becoming a statistic

Stay alert and look for signs: The easiest way to avoid crashes is to stay awake and aware of your surroundings while driving – a best practice in any season. Drivers should also look for signs regarding deer crossing, as studies have found that crash risk can be reduced by up to 34% when signs are posted.
Recognize deer patterns: You’re most likely to see a deer at dawn or at dusk, and if you do see a deer, always slow down. Deer typically travel in groups so if you see a deer crossing alone, you should wait a few minutes – more deer are likely to follow.
Don’t swerve to avoid a deer collision: If a crash with a deer becomes inevitable, it is better to apply the brake hard and fast rather than try to swerve in another direction; this could cause a more serious accident with another vehicle, guardrail or tree. Brake firmly, holding onto the steering wheel, and bring your vehicle to a controlled stop.

If you are involved in a crash, make sure to notify police officials and your insurance agency immediately. It is important to fill out the accident forms completely and accurately.

How to financially prepare for a hurricane

When you’re preparing your home for an approaching hurricane, you might go over your evacuation plan, put together an emergency kit, tightly seal the doors and windows and haul the deck furniture indoors. But what about getting your financial house in order?

As you’re scrambling to protect your home, yourself and your family, you might overlook the financial impact of a hurricane. The U.S. Congressional Budget Office estimates American households get walloped by $34 billion in annual losses from most types of damage caused by hurricane winds, storm surges and rainfall.

In most cases, none of the financial precautions you take “will really be necessary and the inconvenience will be limited to a few days. But it is always better to plan for the worst and hope for the best,” said Josh Simpson, a financial adviser at Lake Advisory Group in Lady Lake, Florida.

In light of the monetary catastrophes that a hurricane might cause, experts recommend taking these seven pre-storm steps to batten down your financial hatches.

How to prepare financially for a hurricane

1. Establish an emergency fund

Bob Castaneda, director of the master’s degree program in finance at Minneapolis-based Walden University, suggests putting money in a special savings account to take care of basics—like food and lodging—in case you’re not able to return home for a while following a hurricane. This should be done weeks, if not months, in advance of a hurricane.

The emergency fund should contain enough money to pay $60 to $70 a day in expenses for each family member, Castaneda said. At minimum, the fund should cover a week’s worth of expenses for your entire family. For a family of four, that would be roughly $1,700 to $2,000.

“From a financial perspective, an emergency fund serves as the safety net between an unexpected event and a financial crisis,” said Brian Walsh, certified financial planner and leader of the financial planning team at online lender SoFi.

2. Stash some cash

Store a small amount of cash in a secure place in your home, said April Lewis-Parks, director of education and corporate communications at Consolidated Credit, a consumer credit counseling service. This can help you overcome the inability to use your debit or credit cards at ATMs or stores during a power outage.

Financial coach Kasey Ring, president of Upward Personal Finance in Heber City, Utah, said you should stockpile enough cash to pay for at least two to three days of meals, lodging and transportation.

“Have a reasonable amount of cash on hand,” Ring said. “Storing a boatload of cash in your mattress or on your body is not advised. Your money is better protected in a federally insured banking institution.”

3. Set up electronic deposits

If you regularly receive paper checks for government benefits or other purposes, it’s wise to switch to electronic deposits before a hurricane hits to ensure you’ll have money in the bank when you desperately need it.

The U.S. Department of Homeland Security notes that a hurricane can disrupt mail service for days or weeks. In addition, a paper check could be stolen from your mailbox while you’re away from home.

Each month, more than 2.7 million paper checks for Social Security and Supplemental Security Income are sent to people living in hurricane-prone states, according to the U.S. Treasury Department.

4. Designate a credit card just for emergencies

Marine Federal Credit Union in Jacksonville, North Carolina, says the credit limit of your emergency-only credit card should enable you to buy enough supplies to last at least 10 days. Having a credit card solely for a hurricane or another disaster also can help track expenses that your homeowners insurance policy might reimburse.

You may want to choose an emergency credit card that delivers rewards at places like grocery stores, restaurants, gas stations and hotels—places you’re likely to spend money in the wake of a hurricane.

5. Get rid of ‘bad’ debt

If you live in hurricane territory, wiping out “bad” debt can put you in a better position to financially weather a storm. Of course, you’ll need to tackle this debt reduction well ahead of a hurricane that’s bearing down on your town.

SoFi’s Walsh explains that there’s “good” debt and “bad” debt. Good debt, such as a student loan or mortgage, helps boost your earning power or net worth and typically comes with low interest rates.

Meanwhile, bad debt includes balances on higher-interest credit cards and loans. This type of borrowing typically doesn’t help you achieve your long-term financial goals.

“Bad debt not only eats up your budget with costly interest payments, but it also limits your flexibility to leverage debt in the event of a financial emergency,” Walsh said.

If it consumes a big chunk of your available credit, bad debt restricts the amount of credit you can tap into after a hurricane, he said. In addition, bad debt may hinder your ability to take out a lower-interest emergency loan, as that debt might bump up your credit utilization ratio and therefore push down your credit score.

6. Collect important documents

Your critical documents should be kept in a weatherproof “grab and go” kit in case you need to evacuate ahead of a hurricane, according to Walden University’s Castaneda. These documents include insurance policies, Social Security cards, driver’s licenses, birth certificates, passports, mortgage paperwork, tax records, wills and recent financial statements.

Experts recommend making copies of these documents as backups and saving them through a password-protected cloud storage service like Google Drive or Dropbox.

“Depending on how bad the storm is, the hard drive on your computer—let alone your hard copies—may not survive,” warned Jim Pendergast, senior vice president of altLINE, a division of Gadsden, Alabama-based The Southern Bank Co.

7. Review your insurance coverage

Pendergast recommends scrutinizing your homeowners insurance policy to fully understand what will and will not be covered in case a hurricane damages your property. Make sure both the structure and your belongings are adequately covered. Check with your insurance company or insurance agent—before a hurricane hits—if you think your coverage isn’t sufficient.

Keep in mind that policies in hurricane-prone states typically come with either a hurricane deductible, a windstorm deductible or both.

Also important to note is that standard homeowners policies usually don’t cover flood damage; separate flood insurance is normally required. During a hurricane, flooding causes much of the property damage.

In advance of a hurricane, take photos of your household belongings to support any insurance claims you’ll file, Pendergast said. In addition, the Insurance Information Institute advises creating a complete inventory of all your possessions and their values to help speed up the claim process.

By John Egan

Sep. 7, 2020

ABOUT THE AUTHOR

John has nearly 30 years of experience in journalism, brand journalism, blogging and public relations. He is editor in chief at Austin, Texas-based startup SpareFoot, which helps people find and book self-storage units. John also writes for The Huffington Post, PR Daily, Muck Rack, CultureMap Austin, Allvoices, Texas Enterprise and Texas School Business magazine. From 1999 to 2006, John was editor and managing editor of the Austin Business Journal. John’s interests include sports, movies, music, travel and dining out. A native of Kansas, John earned a bachelor’s degree in journalism from the University of Kansas.

Personal Liability Umbrella Coverage

If you are at-fault in a bad accident and there’s an injury, you’re going to wish you had personal liability umbrella coverage.

A Personal Liability Umbrella Policy “sits-over” your home and auto liability limits. Coverage limits start at $1,000,000 and provides you protection from lawsuits.

Coverage is relatively inexpensive to purchase. $1,000,000 of coverage sitting over two autos and a home would cost about $200 annually.

Umbrella Policies require underlying motor vehicle liability limits of $250,000 per person/ $500,000 per accident.

In addition to coverage limits, insurance companies provide legal defense.

So, in essence, when you purchase higher limits you are also purchasing improved legal defense.

Umbrella Insurance protects your assets. If you don’t have an umbrella policy, you should. It’s an important part of one’s financial portfolio.

In an ideal insurance world, you want your liability coverage to, at least, match the amount of your assets.

Regarding retirement plans:

“Most plans that fall under ERISA act (Employee Retirement Income Security Act) cannot be touched by a creditor if you’re sued. Most 401k plans fall under ERISA. IRA’s, on the other hand, are typically not ERISA plans, and can be lost if sued.”

So, most 401K plans cannot be touched. IRA’s can be.

Please call or click if you would like to discuss Personal Liability Umbrella Coverage.

Reopening Plan: Phase 3

Phase 3

Much of Massachusetts moved to Phase 3 effective Monday, July 6, 2020. Boston requested more time and will move to Phase 3 effective Monday, July 13th.

Bars, casinos, gyms, museums and others in the entertainment and arts industries can reopen. All other business activities can resume except for nightclubs and large venues.

More recreation is allowed to restart, including youth sorts with games and tournaments, though crowd sizes will be limited.

Massachusetts has warned that not only is Phase 3 considered the riskiest of phases — it is the one we will likely be in for the longest time.

Phase 4

Effective upon the development of vaccines and treatment

Full resumption of activity in the “new normal,” including travel, all outdoor recreation and activities as well as events in large venues and nightclubs.

People will still be urged to wear face coverings, maintain physical distance and proper hygiene.

Rental Property Insurance

The Basics:

Dwelling forms are used primarily for rental property insurance. That is, property’s that are occupied, but not owner occupied. Typically properties that are one to four family dwellings.

Rental property insurance covers you from potential exposure to financial loss from unpredictable events such as: Fire, windstorm damages, vandalism of personal property, and lawsuits from an injured person. Dwelling owners can protect themselves against all of these losses by purchasing Dwelling Fire and Liability insurance.

Dwelling:

Coverage is provided for the residential dwelling, any structures attached to it, and materials and supplies on or adjacent to the location that are used for construction, alteration or repair of any structures at the described location. Coverage does not apply to land, including the land on which the dwelling is located.

Other Structures:

Coverage is provided for other structures on the described location, set apart from the dwelling by clear space. This includes structures connected to the dwelling by only a fence, utility line, or similar connection. This coverage does not apply to land, including land on which the other structures are located.

Personal Property:

A limited range of perils protects personal property usual to the occupancy as a dwelling. This coverage is not automatically provided in the Dwelling policy and must be specifically requested.

Fair Rental Value/Additional Living Expense:

Fair rental value and Additional living expense provide compensation if a covered loss renders the residence premises unusable.

Fair Rental Value means the fair rental of that part of the dwelling rented to others less any expenses that do not continue while that part of the dwelling rented or held for rental is not fit to live in.

Additional Living Expense means any necessary increase in living expenses incurred by you so that your household can maintain its normal standard of living.

Personal Liability:

This is important coverage if you or your family members are found negligent in causing bodily injury or property damage to another party that arises out of the ownership, maintenance or use of the insured premises. In that event, you have the peace of mind knowing we will pay the legal damages imposed on you and include legal defense cost if necessary.

Medical Payments:

If a visitor is injured in or around your home, we will pay for the medical expenses incurred by that person.