We manage more than a quarter billion dollars of premiums for a diverse range of clients around the globe.
It is vital to understand specific terms found in insurance policies. The inability to do so may result in an unwanted surprise such as a lower than anticipated claim payment following a loss. For example, Actual Cash Value (ACV) and Replacement Cost (RC) are two different methods of valuation that will determine how the insured is indemnified.
It’s been, roughly, a quarter-century since widespread asbestos installation in the United States came to an end, but the ramifications of its use are still being felt today. While the US has not banned the use of asbestos completely, it is no longer used as a form of insulation in construction projects. The shift away from the use of asbestos came at the turn of the 1990s. Of particular interest is the fact that, many of the buildings constructed during that time are now being demolished or renovated, which exposes workers to the air-borne particles that can cause ailments such as lung cancer and mesothelioma.
The recent cyber security breach to Sony Studios should make companies think more carefully about areas of susceptibility in the company. The focus here is “employee data” – now while this has reverberated in the motion picture industry it should make the average company a bit more cautious with employee data systems.
The global outbreak of the Ebola virus not only has long term social ramifications but economic ones as well. Recently, this issue has become more and more prevalent on construction projects in developing nations. When a local government considers a substantial construction project it is expecting certain economic outcomes to follow. In light of the Ebola crisis, risk managers of construction companies and material supply companies must now factor into their budgets the real likelihood of a project being delayed or shut down even after a substantial amount of funds have been expended. A recent WSJ article, “Mining Projects Take Hit From Ebola Crisis”, spoke about how major mining efforts
It’s everyone’s favorite time of year again. The department stores and commercials have already begun to advertise Christmas gifts, and it is not even Thanksgiving. As exciting as the holidays can be, we sometimes forget to think about the risks that go hand in hand with the holiday season, including credit card hacking and fires starting from decorations or cooking.
This past Tuesday, The Home Depot announced its 3rd Quarter earnings for 2014, but also warned shareholders that there will be more costs associated with the data breach that was originally announced in September 2014. According to a recent Wall Street Journal article, “the company said the data breach resulted in $28MM of pretax expenses in the most recent period, adding that it estimates the net cost for the year to be $34MM.” Based on various articles that I have reviewed, the retailer carries a $100MM insurance policy for expenses related to the breach. Having read about many other security breaches over the past year and the significant costs associated
Construction accidents occur far too frequently, often due to inadequate safety measures. Earlier this month, an independent contractor was fatally struck by a falling tape measure at a new Jersey City high- rise. As reported here, by NJ.com, both OSHA and the building department of Jersey City will now be conducting investigations into the matter. Given the high rate of pedestrian foot traffic in the area, the parties involved should consider themselves lucky that it was not a bystander that was hurt.
It was interesting to stay at the Gaylord Opryland Hotel in Nashville, TN, while attending this year’s IRMI Construction Risk Conference. You see, the whole time we were there, the property was being dressed for the Christmas season. Garland, ribbons, lights, candy canes and brightly wrapped packages were being strategically placed throughout the hotel, as well as all over the grounds. And the biggest indoor tree I’ve ever seen was being erected right before our eyes. Apparently, this property is quite famous for its elaborate holiday décor. Click here to enjoy some photos from the conference.
As you may have heard, The ALS Group is attending the annual IRMI Construction Risk Conference in Nashville, TN. I was happy to attend a workshop on Insuring Delay in Opening and Associated Costs, as the presenters hit on two of my pet peeves – declare all values at the beginning, before construction begins, and the contractor’s or construction manager’s fees (as part of its General Conditions) are included in the Hard Costs of the builder’s risk policy. Whether you are the owner/developer or the contractor buying Builder’s Risk coverage for a project, it is important that your values are detailed and reported up front. It’s at the beginning, when
