Risk & Business

Insurance rates may go down in the future because of "auto personalization". What is this you ask? Imagine being charged insurance rates based on your personalized use of your auto. If you drive very little next week, then your rates go down. If you drive the speed limit most of the time, your rates go down. If you avoid hard braking and tailgating, your rates go down. Get the picture?  The use of telematics has given the insurance industry a chance to personalize insurance costs directly to the users' driving habits. Gone may be the days of surcharging a male driver under the age of 24 just because they are young. If the telematics show that he can drive as safe and responsible as a 40 year old, then his insurance premiums should be comparable. If you go on vacation and park the car for two weeks, telematics will inform the insurance company that there has been no risk, and your insurance premiums will reflect that. Now as good as this sounds it will work the other wa...

A fascinating risk and insurance problem is developing with the increase usage of 3D printers. These printers are used quite frequently in manufacturing firms. However as these marvels are becoming easier to afford, non manufacturing businesses are buying them. This opens up a slew of risk and insurance problems for business owners. For example if the boss buys a 3D printer for the office so they can make decorative desk items, this business is now manufacturing.  Do the products being made already have a copyright on them?  Does this open up the business to increase liability? Are these decorative items being taken home by employees? Do small children have access to them? As you can see, a simple "printing" of a fun desk item creates all the risk and insurance issues manufacturers deal with all the time. Now I am not trying to take all the fun out of using these printers. You can really make some cool stuff. However the reality is that 3D printers could very well increase ...

Employees with depression and severe anxiety are very common in the work place today. Studies have shown that close to 50% of all who suffer mental health issues at work are not being treated effectively. Mental health disorders do not discriminate, as it affects all employees even in the C Suite. So what is the employers' responsibility for dealing with this issue? It definitely requires risk management.  Employers can begin by making sure the health insurance that is offered to employees has mental health coverage. Many plans do not carry this coverage even though the ACA requires it. More importantly employers should create a culture of conversation which can allow employees to openly discuss their mental issues. Employee Assistant Programs set up by employers can offer education and services to help employees improve their wellness and sleep. Also employees abuse of prescription medications , need employers attention to make sure doctors and counselors are part of the assistant...