Risk & Business

Most business owners will sign contracts in the course of business, but will never read them. When problems arise however then the terms in the contract are discovered and usually they are not good for the business owner. Today's contracts are very much loaded in favor of the lessor, the one that lets the contract. The business owner who signs them does not realize that all the terms go against them until it is too late.  Make sure you read every contract before you sign. Understand who is responsible for damages and watch words like "hold harmless" and  "indemnification". Get your attorney to review the wording and get your insurance broker to make sure your insurance can cover the terms of the contract.  Don't take contracts for granted,  read , read , read, before you sign. Until next time be careful out there and know your risks. G. Kevin Nemith, President of CNC Insurance Associates, Small Business Insurance Center Serving, DE, MD, PA, NJ, and VA ww

Small business owners are faced with an onslaught of emerging risks. Cyber theft, supply chain disruptions, economic downturns, and employee lawsuits are just a few of the new and complex risks on small business. In a recent poll, small business owners put high trust in agents and brokers to help them. With education and insurance protection, these owners feel confident they can handle these risks and continue to grow their business. Agents and brokers are paid commissions from insurance companies for the placement of insurance. Very few of these agents and brokers charge their customers for the extra services given in education and risk management. The question now becomes how long can the agents and brokers provide these additional services at the commissions they get paid from the insurance companies. Only time will tell. Until next time be careful out there and know your risks. G. Kevin Nemith, Pres. CNC Insurance Associates & The Small Business Insurance Center Serving DE,

The Biggert-Waters Flood reform act was suppose to be the legislation that would wean flood insurance policy holders off the decades old Federal subsidized insurance rates. These low rates have made the flood program affordable for many,  but in a fiscal mess. With many policy holders crying "no fair", Congress is now pushing to amend the legislation to soften the rate increases and continue the subsidies. This is a good thing for the policy holders but is really irresponsible as the flood program continues on a downward spiral.  Sooner or later the "hard decision" has to be made in order for the flood program to be self sustaining. If not the Federal Government will continue to support the unrealistic rate and premiums. The flood insurance program is promoting residential and commercial growth in flood prone areas. If the premiums were accurate my guess would be that less growth would happen in those areas because the cost would be to high for most. Until next time