Managing Losses
What Is Loss Control?
The process of identifying and mitigating situations that may lead to losses is called "loss control." Loss control may involve both simple and complex ways to reduce the likelihood of facing a loss. Loss control can also be use methods to minimize losses that may not be totally avoided. Often, insurance is purchased for handling losses.
Insurance Regulation
Following are some key events that helped create the regulatory status of the insurance industry.
Paul vs. Virginia
In the 1860s, a New York insurance agent began insurance transactions into Virginia. Legal action was filed against the agent for failing to comply with Virginia law. The case made it to the U.S. Supreme Court, which addressed whether individual states maintained the right to regulate insurance. The court preserved the assumption that insurance was not interstate commerce and should remain under each state's jurisdiction.
Unfair Claims Practice
Faithfully handling your premium payments creates the expectation that your insurance company will investigate and, if applicable, pay for a loss. Loss payment includes taking care of expenses associated with settling a loss or handling the defense costs of a lawsuit.
Insurance Fraud
Fraud is a major, ongoing plague for the insurance sector. Consumers often view the problem far less seriously than do insurance companies. There are various reasons why the two groups perceive fraud so differently. There is a similarity with how individuals view tax fraud. Regardless any justification, many feel that “cheating” on taxes or insurance claims may be acceptable because they may consider both as unnecessary and unwelcome financial burdens.
Internet Insurance Information
The Internet has long been an ideal method for promoting and selling insurance. However, even as greater advantage is being taken of cyber insurance transactions, it is important to keep a bit of old, yet still excellent, advice - "Let the buyer beware."
The Businessowners Policy
If you own and/or run a smaller business, your insurance needs may be properly handled by a businessowner policy (BOP). A BOP is a single form that offers both property and liability protection. Retailers, wholesalers, small contractors, artisan contractors, dry cleaners, restaurants, offices and convenience stores (including those with gas pumps) are eligible for BOP coverage. All such operations may be insured by a BOP as long as they do not exceed the square foot or annual sales limits established for the program.
Inland And Ocean Marine Coverage
Ocean Marine is the oldest line of insurance. Merchants trading goods over waterways developed the earliest concept of minimizing risk. Traders shipping goods along the Nile usually divided and loaded shipments onto more than one vessel. Using several barges meant that the loss of one shipment would only result in a partial loss.
Insuring Electronic Data Processing Equipment
Most businesses are computer-dependent. Only the smallest retailer can operate without computer aid. Embedded chips and computers operate manufacturing equipment, contractors’ equipment and equipment found in hospital operating rooms. Rather than insuring computers as office or manufacturing equipment, the Electronic Data Processing (EDP) form protects hardware, software, media and other similar property. Coverage is available for hacking (unauthorized computer system access) and virus damage, power shortages, overload and outages.
Covering Your Signs
Business signs tell their customers their name, address, hours of operation and so on. Signs may be simple or complex and many businesses typically use lighted signs. The Sign policy created by Insurance Services Office is available to insure against the loss or destruction of signs, including fluorescent, neon, automatic or mechanical models. Coverage also extends to lamps. However, fixed, non-lighted signs (such as billboards) are not eligible under a sign policy, even if they are illuminated by separate electric lights.
A Safer Prom
High school proms are early chances to participate in a formal event. It is also considered a chance to act as a full-fledged adult. The event involves arranging a complete evening of dining, dancing and socialization. However, just as much time should be devoted to making the event as safe as possible.
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