When Disaster Strikes...

 With the amount of disaster's you see in the news each day, it's important to know what you need in the case that you ever find yourself in the midst of an unfortunate event. Being in the insurance industry, our objective is to keep you informed. When I stumbled across this article, I wanted to share it -- in hopes that you and your families will be prepared if disaster strikes. See a portion of the article below.

When fire roared through Adelaide Zindler's San Diego neighborhood in the middle of the night, her first thought was to alert an elderly neighbor. The last thing on her mind was the whereabouts of financial records stored in her home.

"I was thinking family and I was thinking friends and I was thinking safety," Zindler says. 

Uprooted from home for days, and unsure where other relatives were, she and her husband needed a month or two "before we got to a place where we were thinking about paperwork again," she says. 

By that point, they were late on their mortgage payment. The financial institution was unforgiving, and the couple's credit score took a hit. 

But it doesn't have to be that way.

What you need:

• Mortgage documents or rental agreements.
• Homeowners, renters and automobile insurance policies.
• Financial statements and account numbers.
• Copies of prescriptions for medications.
• Tax records.

Freedman also suggests having a small stash of cash at hand. If the electricity is out, credit cards won't work for purchases. 

Donna Childs, a former reinsurance industry executive, was living within sight of the World Trade Center when the towers collapsed Sept. 11, 2001. Hers was the only residential neighborhood evacuated, and she was kept out of her home for a couple of months. 

Because of her business background, Childs already had all her personal and business documents scanned in and stored online remotely when she had to flee with just an overnight bag. 

At a time like that, "you shouldn't be thinking about documents, you should be thinking about safety," says Childs, who later wrote the book "Prepare for the Worst, Plan for the Best: Disaster Preparedness and Recovery for Small Businesses." 

Neither Freedman nor Childs are fans of using bank safety-deposit boxes to store key documents. They suggest that a bank could be destroyed or inaccessible after a disaster. 

Instead, Freedman uses a portable hard drive with his computer so he can grab it and go. 

"It's one of the best insurance policies you'll ever have," he says. 

Childs prefers remote online storage, and recommends sharing the password with a trusted family member or friend who can access the account in case of an emergency. 

Some banks now offer online safety-deposit boxes that can protect documents, photos and videos.

The key is advanced preparation. By doing so, "there's lots of peace of mind," Childs says. "That's really priceless." 

Published May 13, 2010

| Bankrate.com

Irene's wrath only the start of hurricane season

 Irene marks only the start of hurricane season which tends to peak in September. Hurricane season also highlights the potential threat to the insurance industry, which has already been slammed with flooding and deadly tornadoes throughout the Midwest as well as the earthquakes that took place in New Zealand and Japan, not to mention the latest one along our east coast. Fox 59's recent article on Hurricane Irene and the importance of insurance (making sure your homeowners insurance covers flood, or having both homeowners AND flood insurance) also brings to light the effects mother nature has on the insurance industry.

"A hurricane barreling up the East Coast has the potential to cause the worst damages to the region in more than 50 years -- and insurers will likely feel the brunt of it.

The prospect for damage is frightening for an industry of property and casualty insurers that has already faced abnormally high catastrophe losses this year just from natural disasters.

To put this in perspective, Hazel would be considered a multi-billion-dollar storm that reached Category 4 levels at its peak by today's terms. Irene smashed into the Bahamas early on Thursday as a Category 3 hurricane, but some meteorologists warn it could ramp up speed over the Carolinas before "calming" to a Category 2 near Washington D.C. and New York.

Still, weather experts predict Irene will not be able to weaken quick enough to stop her from causing serious damages along the coast, including massive flooding, power outages and property damage from wind.

Even if she weakens or doesn’t deliver a direct hit, insurance broker Willis warned the massive size of the storm, which is roughly 400 miles wide, could create “significant storm surge” that it says would “likely impact the commercial insurance market,” producing an immense rush of personal and commercial property claims.

(While potentially devastating for coastal inhabitants, a surge is less threatening to big insurers, as their home-insurance policies typically don’t cover flooding caused this way.)

Irene marks only the start of the hurricane season and highlights the potential threat posed to an industry that has already been pummeled this year by deadly tornadoes and flooding in the Midwest, as well as earthquakes in New Zealand and Japan. Atlantic hurricane activity tends to peak in September."

By Jennifer Booton

Published August 26, 2011

| FOXBusiness

Think earthquakes can't happen here? Think again.

Recently, a 5.8 magnitude earthquake occurred in Virginia, hit the nation's capital of Washington, D.C. and was felt in New York -- both of which are unaccustomed to earthquakes occurring -- among other states. According to a recent article I stumbled across, "The U.S. Geological Survey said the earthquake was half a mile deep. Shaking was felt at the White House and all over the East Coast, as far south as Chapel Hill, N.C."

 Did you know that Indiana is connected with several fault lines within and surrounding the state? Although earthquakes here are rare, they can happen. Having earthquake insurance is an important part of being prepared in the case that we ever experience an earthquake or feel the effect of one like many people did recently.

Indiana State Fair tragedy resulting in class action lawsuits

As a follow up to our last post, an Indianapolis law firm announced yesterday morning that they have filed a class action lawsuit on behalf of victims of the Indiana State Fair stage collapse. Several families of the stage collapse victims have announced plans to file lawsuits.

According to a report by WISH TV8,

An Indianapolis law firm has filed a class action lawsuit on behalf of victims of the Indiana State Fair stage collapse , the firm announced Tuesday morning, and anyone in attendance at the concert that night may be eligible to join the suit.

Cohen and Malad said in a news release that it filed the lawsuit in a Marion County court, accusing the state and companies involved of being negligent in the handling of the event and the installation and maintenance of the stage structure.

“What we already know is that the structure failed in the environment it was designed to be used in,” attorney Jeff Hammond said in a news release.

He and his firm are representing Angela Fischer, who was with her boyfriend in front of the stage when the rigging came crashing down Aug. 13 just before a Sugarland concert was to begin. Seven people have died as a result of the collapse, and more than 40 were injured.

Fischer said her boyfriend saved her life that night.

"He actually picked me up and ran in the direction away from the collapse," she recalled.

And then he went back again and again, she said, pulling victims from the rubble.

“He came out with blood up to his elbows from holding somebody's head so they wouldn't bleed out," Fischer said.

And though she herself, was neither bruised nor broken, she said she bears scars nonetheless. She said she was psychologically wounded by what she saw, heard and felt. And her attorneys believe there are many more like her that haven’t yet been counted among the injured.

"Absolutely everybody who was there and affected by the tragedy could potentially experience some sort of emotional damages," said Richard Shevitz, an attorney at Cohen and Malad.

That's why the firm plans to ask the court to certify their case as a class action suit, with the state of Indiana and Mid-America Sound Corp., the company that built the stage rigging, among the named defendants.

And because of that, all who were there were exposed to the same dangers, Shevitz said, and therefore deserve the same protection under the law and warrant a class action lawsuit.

"Flaws in the way the design of the structure, flaws in the way the structure was erected, and flaws in the way the structure was or wasn't inspected, and all the other contributing factors - those are the same with all these victims. They were all harmed by the same common set of circumstances when the tragedy occurred," he said.

He'll take that argument to the Marion County Superior Court, seeking class action certification for the 12,000 fans who attended the concert and witnessed the collapse.

The attorneys taking on the lawsuit also take issue with Indiana’s cap of $5 million total for all victims’ injuries in a class action suit. As a result, they said, they aren’t taking any money even if they win the case so more of it could be devoted to victims. The attorneys are encouraging other attorneys representing victims to do the same, and use the cases to increase public awareness about the case.

Three other lawsuits are already in the works.

In connection with one of them in LaPorte County, a judge on Tuesday issued an injunction ordering the state to take steps to preserve evidence. The lawsuits there are on behalf of two victims , one who died and another who was severely injured in the accident.

On Monday, another victim's family filed notification that it plans to sue the state also.

 By: Deanna Dewberry
 and staff reports

Recent Indiana Stage Collapse Highlights Importance of Insurance

Sadly, it was announced yesterday that the recent stage collapse has claimed its 7th victim.  Tragedies like this bring to light the unfortunate aspect of the insurance business.  I recently came across an article from Insurance News that highlighted the importance for adequate insurance.
The recent stage collapse at the Indiana State Fair is the latest in a number of weather-related incidents at outdoor festivals that highlight the need for insurance and risk management, the president of Doodson U.S. said.
"I deal with this day in and day out on a theoretical basis, but to actually see one happen -- it really brings home how real the risk is," said Paul Bassman, president of Doodson U.S., a broker that specializes in entertainment insurance.

An approaching storm brought strong wind gusts that knocked down a stage at the Indiana State Fair on Aug. 13, just before the group Sugarland was to perform, killing five people and injuring dozens. In July, a sudden burst of strong wind caused a stage at the Ottawa Bluesfest to collapse, just as the rock band Cheap Trick was finishing their show. Three people were injured. On Aug. 6, a lighting rig was blown over by strong wind at an outdoor music festival in Tulsa, Okla., damaging the equipment of the band Flaming Lips.
While Bassman couldn't speak to the Indiana State Fair incident directly, he said music festivals have a cancellation policy, which would come into play in an event like this. After the stage collapsed, the fair cancelled performances by Sugarland, Janet Jackson and Lady Antebellum.

"If artists are ready and willing to perform, they are typically owed their full guarantee under the contract," Bassman said.

State fairs typically pay more than clubs, arenas or theaters, so cancelling a show could "mean a significant loss" for the fair, Bassman said.

It is typical for a state fair to hire a production company to set up the concert. That production company acts as a general contractor hiring subcontractors, who provide, lights, sound and even security.

"Each one of the subcontractors should be required to sign a 'hold harmless' agreement, and also provide an additional insured certificate to protect [the organizers] from negligence," Bassman said.

General liability polices for staging companies typically offer up to $1 million per occurrence and $2 million in aggregate in cover, although an umbrella liability policy might offer additional coverage beyond that. The premium is generally based on the annual revenue of the staging company, and the policies are typically written on an annual basis.

The stage itself, which could be in the ballpark of $1 million or more, should be covered by an inland marine policy. Inland marine policies, if in place, would also cover the lighting and sound equipment. If a band used its equipment policy to replace damaged equipment, that insurer could possibly go after the production or stage company's insurer to be reimbursed, Bassman said.

In the case of a 2009 stage collapse at the Big Valley Jamboree in Alberta, Canada, governmental officials filed civil charges against three companies for providing an unsafe work environment for employees.
The incident killed a woman in the audience and injured dozens, including country singer Billy Currington, and a member of his band. The Alberta government cited three companies with a total of 33 alleged violations in connection with that incident. Premier Global Production Co. Inc., 1073732 Alberta Ltd., and Panhandle Productions Ltd. face charges, Alberta officials said. Premier Global Production Co. Inc. and Panhandle Productions Ltd. each face six counts of failing to ensure the health and safety of their workers on site, and six additional counts of failing to ensure the health and safety of other workers present. 1073732 Alberta Ltd., being a contractor directing the activities of Premier Global Production Co. Ltd., faces six counts of failing to ensure that the employer complied with the OHS Act.

In addition, Premier Global was accused of failing to ensure that equipment was able to withstand stresses imposed on it during its operation and to perform the function for which it is intended or designed; and failure to ensure rigging was strong enough.

"People say it was an unfortunate gust of wind, but it goes beyond a freak of nature," Barrie Harrison, a spokesman for Alberta Employment and Immigration Department said. "From our investigation, we have come to the conclusion that it was more than that."

Under Canadian law, the companies can fight the charges in court, and are expected to appear in court to answer the charges on Sept. 28. The maximum penalty for a first offense is $500,000 and six months in prison for each charge, according to the Alberta Employment and Immigration Department.
Harrison said no one has ever been jailed for this type of violation before.

(By Meg Green, senior associate editor)

Copyright:	(c) 2011 A.M. Best Company, Inc.
Source:	A.M. Best Company, Inc.