Category: Personal Insurance

The benefits of travel insurance for holiday travelers

Anita Byer

The holiday travel season is officially underway. In the coming weeks, tens of millions of people will be gathering at airports, train stations, baggage claims, car rental counters, and toll booths across the land hoping that their best laid plans will endure the chaos of holiday travel. Despite springing eternal, hope tends to disappear along with lost luggage and missed flights. But the benefits of a travel insurance policy, like reimbursement for covered financial losses, will remain even after the hope of a smooth trip is gone.

Travel Insurance is designed to limit financial losses caused by various travel-related risks. These losses can range anywhere from a few hundred dollars to tens of thousands of dollars. Many types of travel insurance policies are available, but there are a handful of coverages that most travelers are likely to need.

Trip Cancellation. Reimburses pre-paid, non-refundable travel expenses if your trip is cancelled for a reason that is covered under the policy, which may include:

  • Injury, illness or death involving you, a family member or a travel companion.
  • Inclement weather, natural disaster or act of terrorism that affects your destination.
  • Military duty, strike, or lost documents (passport, visa, etc.).
  • Bankruptcy or financial default of your travel supplier.
  • Unforeseen work-related obligation.

 

Medical Emergencies and Evacuations. Covers emergency medical and dental treatment that is needed while traveling abroad. Treatment for pre-existing conditions is typically not covered. Policies may also cover emergency evacuations, medically equipped transportation, and repatriation of remains.

Lost or Delayed Baggage. Covers personal belongings if your baggage is lost, stolen or damaged. Baggage delay coverage reimburses the cost of buying essential items that are needed while waiting for your baggage.

Trip Delay. Reimburses expenses, like food and lodging, caused by travel delays.

Here are a few tips to remember when purchasing travel insurance.

  • Choose a policy that matches your travel plans and financial situation.
  • Travel insurance has distinct coverages, conditions and exclusions. Read your policy carefully.
  • Don’t assume your homeowners’ or renters’ insurance policy will provide sufficient (or any) travel-related coverage.
  • If you’re traveling with expensive items, like jewelry or sporting equipment, you may need a personal property floater to cover them.
  • Expanded coverage options may also be available for an additional charge. Cancel for Any Reason (CFAR) coverage, for example, is an optional upgrade that allows policyholders to cancel a trip for virtually any reason and receive a partial refund of their non-refundable expenses.

 

Please contact us to learn more about your travel insurance options.

Safety tips for Thanksgiving and Black Friday

By Anita Byer, Setnor Byer Insurance & Risk

This week, many will be celebrating Thanksgiving in traditional fashion. By traditional, we mean eating and shopping. With so much time spent planning and preparing, it is easy to forget about the risks associated with these activities. The good news is that both can be made significantly safer by taking appropriate preventative measures. So, before the binging begins, take a few minutes to read the following Thanksgiving and Black Friday safety tips.

Thanksgiving Fire Prevention. Did you know that the average number of residential fires nearly doubles on Thanksgiving? Fortunately, FEMA put together the following list of safety tips to reduce the risk of a Thanksgiving fire.

  • Stand by your pan. If you leave the kitchen, turn the burner off.
  • Keep an eye on what you fry. Most cooking fires start when frying food.
  • Roll up your sleeves. This reduces the chance they will catch fire.
  • Supervise children and pets. Make sure they stay away from the stove.
  • Watch what you’re cooking. If you see smoke, or grease starts to boil, turn the burner off.
  • If there is an oven fire, keep the door closed. Turn off the oven and keep the door closed until it cools down.
  • Move flammable items away from the stove. This includes dishtowels, bags, boxes, paper and curtains.
  • Turn pot handles toward the back of the stove. This makes it harder to bump them or pull them over.
  • Only use a turkey fryer outdoors. Place it on a sturdy surface, away from things that can burn.
  • Check smoke alarms. Working smoke alarms should be close to where anyone may be sleeping.

 

Avoiding Black Friday (and Cyber Monday) Scams. We are not the only ones preparing to take full advantage of Black Friday. Hackers and other bad actors are preparing too, hoping to take advantage of stressed, hurried, and oftentimes careless consumers. It is a target-rich environment, and the predators know it. The following tips from the Better Business Bureau can help keep you safe while shopping online this holiday season.

  • Beware of false advertising and phony websites. Watch out for lookalike websites. Pay close attention to the spelling of the web address in your browser.
  • Shop with trustworthy sellers on secure sites only. Be wary of unfamiliar merchants. Check their BBB Business Profile on BBB.org. Only purchase from secure websites (web address begins with HTTPS).
  • Keep your antivirus software up to date.
  • Price check before you buy. Best price offers may be misleading. Compare prices yourself because the best deal may not be a real deal.
  • Use your credit card. If questionable charges appear later, you can contest them through your credit card company. Never pay with prepaid debit cards or by wiring money.
  • Understand return policies. Understand the return or exchange policy for the exact items you want to purchase. Be aware that stores may not allow returns for “final sale” or “closeout” items.
  • Watch out for phishing scams. Look out for unsolicited emails, texts, calls, etc. Never click the links or open any attachments. Avoid phishing scams by ignoring suspicious correspondence and calls from unfamiliar phone numbers.
  • Look for the BBB Seal.

 

Happy Thanksgiving!

Catalytic converter thefts soaring nationwide

By Anita Byer, Setnor Byer Insurance & Risk

Thieves in search of precious metals have caused catalytic converter thefts to soar nationwide. The National Insurance Crime Bureau analyzed insurance claims involving catalytic converters and found a dramatic increase in the number of thefts across the United States. According to the NICB, there was a 325 percent increase in thefts from 2019 to 2020. In 2021, catalytic converter theft claims increased 1,215 percent compared to 2019. Here’s what you need to know about the recent surge in catalytic converter thefts.

What is a catalytic converter? A catalytic converter is part of an automobile’s exhaust system. It contains a catalyst designed to convert environmentally harmful exhaust into less harmful gasses. Catalytic converters are located on the underside of a vehicle and look like a large metal box with two pipes coming out of it.

Why do thieves steal catalytic converters? Money. These devices rely on precious metals to convert a car’s exhaust into less harmful gasses. By precious, we mean expensive. Catalytic converters contain platinum ($891 per ounce), palladium ($2,219 per ounce) and rhodium ($14,250 per ounce). It’s easy to understand why catalytic converters are stolen once you know what’s inside.

Which vehicles are thieves targeting? According to Carfax, thefts are not limited to certain types of vehicles or manufacturers. Although multiple vehicles are being targeted, some patterns have emerged. According to Kelley Blue Book, hybrid cars seem to be at greater risk because the precious metals inside the catalytic converter last longer than they do in gas-powered vehicles. Newer cars are more likely to be targeted than older ones for the same reason. Personal and commercial trucks and SUVs seem to be targeted more frequently, not necessarily because they are more valuable, but because they are higher off the ground, which makes then easier to steal. Unfortunately, no car is safe.

What can you do to protect your catalytic converter from being stolen? The NICB recommends installing a catalytic converter anti-theft device, which are readily available from various manufacturers. Kelley Blue Book offers the following tips to reduce the likelihood of theft.

  • Get your catalytic converter etched. Identifying numbers make it easier to determine a converter’s rightful owner. It also makes it much harder for the converter’s wrongful owner to sell it for quick cash.
  • Whenever possible, park your car indoors, in a well-lighted area or in an area covered by surveillance cameras.
  • Install a dashboard camera or anti-theft device. Though nothing is foolproof, thieves are less likely to target vehicles with obvious security measures.

What’s being done to address the problem? A number of states have proposed legislation to help reduce the number of catalytic converter thefts. According to the NICB, in 2021, twenty-six states proposed bills to address the problem, including ten states that either enacted new legislation or revised existing legislation. Legislation is also being considered at the federal level. In January 2022, the Preventing Auto Recycling Theft Act was introduced in Congress.

Is a stolen catalytic converter covered by insurance? A stolen catalytic converter may be covered under the comprehensive portion of your personal or commercial auto insurance policy. This coverage generally covers damage to a vehicle caused by something other than a collision. Each policy, however, contains various exclusions that may affect coverage.

If you’re not sure whether your current auto insurance policy covers a stolen catalytic converter, please contact us.

Are you ready for Hurricane Season 2022?

By Anita Byer, Setnor Byer Insurance & Risk

Did you know that the first week of May is Hurricane Preparedness Week? The National Oceanic and Atmospheric Administration sponsors this week to raise awareness of the hazards posed by tropical storms and hurricanes. And to encourage everyone at risk to start preparing now. Hurricane Season 2022 is less than a month away. Are you prepared? If not, NOAA offers the following tips to help you get started.

Determine your risk. Find out what types of storm-related wind and water hazards exist where you live. Hurricanes are not just a coastal problem. Dangerous and destructive winds and water can make their way hundreds of miles inland. Flooding can happen anywhere. Those living in unsound structures or flood-prone areas must know in advance if it’s safe to remain at home during a storm.

Develop an evacuation plan. Where will your family go if you are ordered to evacuate? Know your hurricane evacuation zone and develop an evacuation plan that specifies where to go and how to get there. Don’t forget your pets! They may not be allowed in shelters and hotels, so find suitable accommodations now so they don’t get left behind.

Assemble disaster supplies. Whether you’re evacuating or sheltering-in-place, you will need sufficient supplies to get through the storm and its potentially lengthy aftermath. Have enough non-perishable food, water and medicine to last each person in your family a minimum of 3 days (longer, if possible). Remember to get gas, cash, batteries and flashlights. Consider a portable crank or solar-powered USB charger for your cell phones.

Strengthen your home. Make sure your home is ready to withstand the wind, rain and flooding a hurricane can bring. Check to see if your home meets building code specifications. Consider retrofits, many of which are not as costly or time consuming as you may think. Renters should work with their landlord to prepare for a storm.

Help your neighbors. Talk to your neighbors about their hurricane plans and preparations. Discuss how you can help one another prepare before a storm and rebuild after.

Have a written plan. Preparing a written plan can help identify your family’s unique needs and understand what must be done to protect those you love during a storm. Write down your hurricane plan and make sure everyone in your household knows and understands it.

Get an insurance check-up. NOAA stresses the importance of insurance, particularly during hurricane season. Make sure you have enough insurance to repair or replace your home, car and any other property that might be damaged during a storm. Don’t forget about insurance for your business. Remember, standard policies do not cover flooding, so you will need a separate flood insurance policy for your home and business.

It only takes one storm to make it an active hurricane season for you. Take advantage of Hurricane Preparedness Week. Start preparing before the lines grow long and supplies run short. Contact our team of experienced and responsive insurance and risk management professionals to find affordable options to protect your home and your business in the event of a hurricane.

Wedding Insurance … Because S#*t Happens

By Anita Byer, Setnor Byer Insurance & Risk

As COVID restrictions loosen nationwide, people are starting to plan special events. A lot of them, it seems, are planning weddings. According to The Knot, there will be more weddings this year than the national pre-pandemic annual average, with nearly 75% of those engaged in 2021 already setting a date in 2022. With so many deciding to join you in tying the knot, doesn’t it make sense to have wedding insurance? You know, because stuff happens?

Wedding insurance is a kind of special event insurance designed to cover various wedding mishaps. According to Travelers, the most common wedding claims are:

  • Vendor issues (29%)
  • Property damage (19%)
  • Illness / injury (17%)
  • Other (14%)
  • Weather (6%)
  • Special attire (6%)
  • Military deployment (6%)
  • Event gifts (2%)

Wedding insurance policies typically include:

Additional coverages are also available, including liquor liability, lost deposits and Call-to-Duty. Policies can also provide additional insured status, which is often required by event venues. It’s important to choose a policy that matches your wedding plans and financial situation. And, don’t assume your homeowners’ or renters’ insurance policy will provide sufficient (or any) wedding-related coverage.

Remember, when shopping for wedding insurance, pay special attention to coverage exclusions that may be relevant to your situation, such as those relating to pregnancy or other pre-existing medical conditions. Read your policy carefully. Please contact us to get a quick quote for affordable wedding insurance.

How do you know if your identity has been stolen?

By Anita Byer, Setnor Byer Insurance & Risk

The likelihood of identity theft seems to increase daily. With so many identities being stolen, many believe it’s a matter of when, not if. Taking preventative measures is crucial to reducing the likelihood of being a victim, but nothing is foolproof. When identity theft does happen, early detection is the key to limiting the damage. The sooner you know, the better. But, how do you know when your identity has been stolen? It can be harder than you think.

Fortunately, the Federal Trade Commission offered some helpful advice during this year’s Identity Theft Awareness Week. According to the FTC, you need to understand how thieves might use your stolen identity and be on the lookout for signs.  

An identity thief could use your information to get credit or service in your name.

How to spot it: Get your free credit report at AnnualCreditReport.com. Review it for accounts you didn’t open or inquiries you don’t recognize. A new credit card, a personal loan or a car loan will appear as a new account. A new cell phone plan or utility service (water, gas, electric) will show up as an inquiry.

An identity thief could use your credit card or take money out of your bank account.

How to spot it: Check your credit card or bank statement when you get it. Look for purchases or withdrawals you didn’t make. Sign up to get text or email alerts from your credit card or bank whenever there’s a new transaction. This could help you spot unauthorized or fraudulent activity on your account.

An identity thief could steal your tax refund or use your Social Security number to work.

How to spot it: A notice from the IRS that there’s more than one tax return filed in your name could be a sign of tax identity theft. So could a notice that you have income from an employer you don’t work for.

An identity thief could use your health insurance to get medical care.

How to spot it: Review your medical bills and Explanation of Benefits statements for services you didn’t get. They could be a sign of medical identity theft.

An identity thief could use your information to file a claim for unemployment benefits.

How to spot it: A notice from your state unemployment office or employer about unemployment benefits that you didn’t apply for could be a sign of fraud.

When preventative measures fail, insurance is available to help victims through the expensive and time-consuming process of recovery. Please contact us if you would like more information about insurance specifically designed to protect against identity theft.

Now Is the Perfect Time for Your Annual Insurance Check-Up

By Anita Byer, Setnor Byer Insurance & Risk

The end of the year is a great time to reflect on the past and prepare for the future. It’s also the perfect time for an annual insurance check-up. As the days, weeks and months go by, our lives change. So do our insurance needs. To make sure you haven’t outgrown your insurance, it’s a good idea to review your coverages at least once a year to determine whether any recent life changes require any insurance changes.

  • Have you gotten married? You may be entitled to marital status or multi-car premium discounts on your auto insurance. Your homeowners’ insurance may no longer be sufficient after merging two households under one roof.
  • Have you had a baby? Children need to be covered by health insurance and should be protected by life insurance.
  • Did your child get a driver’s license? Covering teenagers under a parent’s auto insurance policy is often cheaper than purchasing a separate policy. Discounts may also be available for good grades or driving school.
  • Have you switched jobs? New jobs often mean new fringe benefits, so identify which employer-provided coverages have been gained or lost, and adjust personal coverages accordingly. If income increases, coverage limits may also need to be increased.
  • Have you done extensive renovations on your home? Major home improvements, such as adding a new room, enclosing a porch or expanding a kitchen, may leave you underinsured. Homeowners’ coverage limits may need to be increased to cover the increased value of your renovated home. New structures, like a gazebo, pool or hot tub, may not be covered under your current policy.
  • Did you buy a second home? Second homes may be harder to insure because they are often located in areas with specific risks (earthquakes, avalanches, floods, etc.) and vacant for long periods of time.
  • Have you acquired any new valuables (jewelry, electronics, fine art, antiques)? Standard homeowners’ policies offer limited coverage for certain high-value items, so a personal property floater may be necessary.
  • Did you purchase any new toys? In addition to being valuable, items like boats, motorcycles and recreational vehicles can create potentially significant liability exposures that must be covered by insurance.

According to the Insurance Information Institute, these questions can help identify and avoid painful coverage gaps. They can also save you money if it turns out you have more insurance than you need. Please contact us to learn more about evaluating your current insurance needs.

What is Multi-Factor Authentication and Why Should Everyone Be Using It?

By Anita Byer, Setnor Byer Insurance & Risk

Did you know that the majority of data breaches are driven by credential theft? Hackers are constantly probing the Internet trying to steal login credentials. One uninformed or unsuspecting user or one careless act, and that’s it. Your world is now their oyster. Fortunately, there is a simple way to keep this from happening. It’s called multi-factor authentication, and it’s very effective. In fact, according to Microsoft, MFA can block over 99.9 percent of account compromise attacks.

Multi-factor authentication (MFA) is a security process that requires more than one method of authentication from independent sources to verify a user’s identity. In other words, a person cannot access a system or account without first providing two or more authentication factors (credentials) that uniquely identify that person. These credentials can be:

  • Something You Know (password, PIN, security question)
  • Something You Have (security token/app, verification via text, call or email)
  • Something You Are (fingerprint, facial recognition, voice recognition)

A common form of MFA requires users to enter their username and password (first factor). The system will then generate and send a unique one-time code (second factor) to the user’s phone or email. If this code is not entered before it expires, account access will be denied. The level of security increases with each authentication factor added to the login process. As you can see, MFA requires hackers to steal more than just your password to access your accounts, like your phone or your thumb(print).

Small and medium-sized businesses should have Cyber Perils Insurance Coverage to protect against various cyber threats and liability exposures, including the cost of complying with data breach notice laws.

According to the Department of Homeland Security’s Cybersecurity & Infrastructure Security Agency (CISA), MFA should be used whenever possible, particularly for systems, networks and accounts containing sensitive financial, business or personal data. MFA should also be deployed to Internet-facing systems, such as email, remote desktop and Virtual Private Network (VPNs).

MFA makes it very difficult for hackers to access personal or business systems, networks and accounts, like remote access technology, email, ACH and billing systems, even with the password. While some accounts require MFA, others make it optional. If you have the option to enable MFA, do it now. Systems that still don’t have MFA capabilities are way behind the curve, and should probably be avoided.

Please contact us to learn about insurance coverage that is specifically designed to protect against cyber threats, data security and identity theft.

Florida Home Inspections Will Soar Under Citizens’ New “Holistic” Plan

By Anita Byer, Setnor Byer Insurance & Risk

Citizens Property Insurance Corporation, Florida’s insurer of last resort, is planning to drastically increase the number of residential property inspections in the coming years. Citizens inspected roughly one percent of all its policies in-force last year and plans to inspect 2-3% of its covered properties by the end of this year. These numbers are expected to soar under Citizens’ new holistic inspection plan. So much so that by the end of 2025, Citizens plans to inspect approximately 20% of all its residential policies in-force.

Citizens’ holistic inspection plan has a greater focus on new business inspections and establishes condominium unit inspections. It also incorporates automation so a percentage of properties with little-to-no risk can bypass underwriting review. Citizens plans to use a new, lower cost, highly scalable Virtual Inspection type as well. According to Citizens, its 4-year plan to increase its inspection volume is going to achieve the following results.

  • Reduced Loss Frequency. Property inspections help guard against adverse selection, which is the tendency for people with the greatest probability of loss to be the ones most likely to purchase insurance. Citizens expects to see a 10-20% improvement in the overall impact on loss frequency for inspected policies.
  • Improved Premium (Pricing) Accuracy. Property inspections can help identify undervaluation concerns and maintain sound pricing models by validating rating and pricing characteristics.
  • Reduced Exposure in Private Market Assumptions. Private insurers need inspections when deciding whether to take policies out of Citizens. Citizens expects an increased assumption ration of 10-20% for inspected properties.

In addition to increasing the number of residential property inspections, Citizens amended its eligibility rules to make property ineligible for coverage when inspections reveal that it’s unsafe for occupancy or identify substantial structural deficiencies. They apply to residential policies that are written or renewed on or after October 15, 2021. Citizens already orders inspections for all new commercial property policies and plans to continue doing so through 2025.

Identifying ineligible properties will no doubt benefit Citizens, but what about the property owners? Many may lose access to the crucial insurance coverage provided by Citizens, Florida’s insurer of last resort. What happens then? If you have questions or concerns about Citizens new inspection plan, please contact our team of property insurance professionals.

2021 Hasn’t Broken Record for Most Billion-Dollar Climate Disasters (Yet?)

By Anita Byer, Setnor Byer Insurance & Risk

Did you know that the U.S. experienced 308 billion-dollar weather and climate disaster events since 1980? According to the National Oceanic and Atmospheric Administration, the total cost of these events exceeds $2 trillion. Since 1980, the U.S. averaged 7.1 billion-dollar events per year. In 2020, there were 22 billion-dollar events, the most in any single year…for now. You see, 2021 is already #2 on the list, and there’s still time left on the clock.

During the first nine months of 2021, we’ve already seen 18 billion-dollar weather and climate disaster events, including drought, flooding, severe storms, tropical cyclones, wildfire and winter storms. NOAA created the following map to show the approximate location of each event.

According to NOAA, these events resulted in the deaths of 538 people and had significant economic impact on affected areas. Unfortunately, billion-dollar events are happening more often than before. Over the past five years, the U.S. averaged more than twice as many billion-dollar weather and climate disaster events per year (16.2) than we averaged per year over the past forty years (7.1). This is also the seventh consecutive year with 10 or more billion-dollar events. These events are costlier too. The total cost over the last five years is nearly one-third of the cost total over the past 42 years—the highest 5-year cost average on record.

This disturbing trend underscores the need for adequate insurance coverage to protect against the financial losses caused by weather and climate disaster events. Property insurance has become an absolute necessity for homes and businesses nationwide. These policies do not cover flooding, so every home and business needs flood insurance too, regardless of whether the property is located in a flood zone. Why? There’s no such thing as a No-Flood-Zone!

Please contact us about affordable insurance options that can limit your loss during the next billion-dollar weather and climate disaster event.