Protection Detail: Insurance
Coverage in 2012
Presented By:
Nezih Hasanoglu
and
Kim Singleton
M3 Insurance Solutions for Business
Agenda
1.Insurance Coverage
a. General Liability
b. Property/Inland Marine
c. Foreign
2.Broker Services
a. Business Plan
b. Strategic Planning Meetings
c. Insurance Audit
3. Questions and Answers
Not Addressing These Coverages
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•
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Auto
Workers’ Compensation
Umbrella
Directors’ & Officers/EPL/Fiduciary
Cyber Liability
Other Specialty Coverages
General Liability (CGL)
(definition)
A standard insurance policy issued to business
organizations to protect them against liability claims
for bodily injury and property damage arising out of
premises, operations, products and complete
operations; and advertising and personal injury liability.
Questions to Ask
• Do you provide advice to clients on proper
exhibit design?
• Are you responsible for the delivery of the
exhibit to the correct venue and on time?
• Are you responsible for any changes or
modifications in design plans?
• Are you responsible if the exhibit is lost?
Questions to Ask
• Are you responsible for your customer’s
financial loss for any reason?
• Do your customers share trade secrets with
you and your employees?
• Do you perform work on your customers
exhibits?
Risk Management Solutions
• Consider purchasing a professional liability
policy. Almost any firm that performs a service
with potential to cause financial harm to a client
has a professional exposure that is not insured
by a standard general liability policy.
• Review contracts with legal to better understand
the risks you are assuming.
• Consider having a relationship with a rental
company.
Risk Management Solutions
• Modify the care, custody and control exclusion.
• Add the Legal Liability Coverage Form CP 00
40. Pays sums you are legally obligated to pay
as damages including loss of use. The covered
property (customers trade show booth) must be
listed in the declarations.
• Confirm your property policy has property of
others in the definition of covered property.
Property
(definition)
First-party insurance that indemnifies the owner or user
of property for its loss, or the loss of its incomeproducing ability, when the loss or damage is caused by
a covered peril, such as fire or explosion.
Inland Marine
(definition)
A group of property insurance coverages designed to
insure exposures that cannot be conveniently or
reasonably confined to a fixed location or insured at a
standard rate under a standard form.
Questions to Ask
• Are you responsible for the transit of your customers
exhibit?
• Are you responsible for your customer’s exhibit while
it is at the venue waiting for installation?
• Will you suffer a financial loss if the exhibit does not
arrive at the venue? Under what circumstances?
Questions to Ask
• Will you incur additional expenses if the exhibit is
damaged while in transit?
• Are you responsible for your customer’s property
while it is stored off premises or at the venue?
• Are you responsible for your customer’s software?
Risk Management Solutions
• Extend the coverage for property of others while in
transit and at undescribed premises.
• Add installation coverage for property of others held at
an exhibition site.
• Add property in transit-time element coverage.
• Add property at undescribed premises-time element
coverage.
Foreign
(definition)
A specialty policy for an insured’s liability for foreign
operations arising out of business conducted in another
country.
Questions to Ask
• Are you shipping exhibits overseas?
• Are your employees traveling outside of the United
States?
• Are you providing services overseas?
• Do your employees rent automobiles while traveling
overseas?
• Do you store property overseas?
• Do you have foreign sales?
Risk Management Solutions
• Purchase a foreign package policy.
• Minimal property coverage is built into the foreign
package policy.
• Deduct the foreign revenue from the domestic general
liability policy as the exposure will now be insured on
the foreign policy.
• Foreign Workers Compensation is included in the
package as well as repatriation expenses.
• Consider purchasing a kidnap and ransom policy
(depending on countries traveling to).
Risk Management Solutions
• Educate your employees that they must purchase the
insurance from the rental car agency when traveling
outside of the United States.
• Find the right broker. If you have a permanent location
in another country often times you will need to purchase
the insurance from an agent and insurance company
licensed to do business in that country.
Broker Services
• Business Plan
• Strategic Planning Meetings
• Insurance Audit
Questions to Ask
• Do you have a business plan?
• How often do you meet with your insurance
broker?
• When is the last time you conducted a
policy audit of your program?
Business Plan
• What are your goals?
• What tasks need to be completed to
accomplish your goals?
• Who will be responsible for these tasks?
• What are acceptable dates for
completion?
Strategic Planning Meetings
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Policy Delivery
Mid Year Strategy Meeting
Pre-Renewal Meeting
Renewal Meeting
Policy Delivery Meeting
• 30-60 Days Following Renewal
• Deliver Copies of Polices
• Review Updated Copy of Insurance
Summary
• Make Necessary Updates & Changes
Mid Year Strategy Meeting
• Middle of the Policy Period
• Review Current Insurance Summary
• Discuss Changes that Have Occurred & Make
Adjustments
• Upcoming Renewal Projection
• Review Status of Business Plan
• Set Expectations
Pre-Renewal Meeting
• 90 Days Prior to Renewal Date
• Review Information Compared to Previous
Year
• Compare Rates Year over Year
• Review Premium vs. Loss Ratio
• Discuss Strategy for Upcoming Renewal
• Discuss Your Expectations
• Set a Timeline to Execute
Renewal Presentation Meeting
• 30 Days Prior to Renewal Date
• Review Renewal Proposal
• Review Alternative Options Discussed from
Pre-Renewal Meeting
• Make Any Final Adjustments
• Review Completed Business Plan
Insurance Audit
• Review Current Policies Including
Endorsements
• Cross Reference Insurance Summary to
Policies
• Analyze Loss Runs for 3 to 5 Years
Q&A
Nezih Hasanoglu
nezih.hasanoglu@m3ins.com
Kim Singleton
kim.singleton@m3ins.com
Thank you for your time