Category: Business Insurance

In case you haven’t noticed, the insurance market has changed significantly this year. Prices are up and the options for coverage are fewer. So, what does that mean for insuring your cabin or vacation rental property? It means you need to work with someone who understands what’s going on and how it impacts your specific risks. Let’s take a look at what’s happening and how you can approach your insurance needs.

What Has Happened?
Natural disasters and other claim impacts have led to many property and casualty (P&C) insurance companies losing money. Some reports say that the P&C industry won’t be profitable again until 2025. Wildfires, hailstorms, tornadoes – all of these unexpected occurrences and more can add up quickly on claims – sometimes in bunches of the same times and locations. For many cabins and vacation properties, the impacts are greater because they are in more remote locations with less recovery and response service in place.

As a result, the premiums for most of these properties have continued to escalate. In addition, some companies have stopped offering coverage for them, either in certain areas or completely.

What Can be Done?
There is still coverage available for almost any property but finding it can be more of a challenge. Independent agencies like ours have access to multiple markets and can help research what’s available for your property. Once we identify your options, we can help you review the offering and the cost to discuss what’s right for you. We can also help you understand measures that might make your property less of a “risk” when these companies are underwriting your application for coverage.

Being proactive is critical when the market is in this state. Let us help you review the needs you have and help you find the right coverage for your cabin or vacation rental property. Give Brandon Patterson a call at 865.453.1414 or email brandon@ownbyinsurance.com and he’ll help you start the process!

Is it inflation? Is it a recession? Is it just weird? Our nation’s economy is definitely in flux right now. And while what exactly is happening might be debated, there is no debate that it is impacting everyday Americans. One of those impacts is in the cost of insurance. How and why? Let’s review the impacts and discuss your options.

Social Inflation
Referring to increases in lawsuits, the amounts awarded, and general impacts of litigation, social inflation is on the rise. Litigation funding is even a thing now, as firms and investors are “betting” on cases by backing the plaintiffs as a way to make money.

Cost of Claims
The costs to repair and replace are also a factor impacting premiums. Parts and materials, whether it be for a car, roof, building, or otherwise, are costing more and also taking longer to complete. Insurers are paying more for repairs, rental cars, loss of use, and more. Even if the amount of claims is lower, the severity of the claims is higher with these added costs.

Deductibles and Premiums
Some may suggest that saving money on your insurance is as simple as raising your deductible. And while that certainly can reduce your premium, the whole point of insurance is to help indemnify the party or parties that suffered the loss. With a higher deductible, you’d receive less money in the case of a large loss, and also have a higher threshold of when it would even make sense to file a claim. Raising your deductible is sometimes a solution, but it may only be a short-term fix.

What Can you Do?
We can help you review the coverages you have, look for options, and even consider variables like bundled coverage for saving money. There isn’t always a need to lower your coverage amounts to save money, and we want to help you understand your choices. In addition, we can discuss if you really have the proper limits and endorsements to make sure the things you want to protect are truly covered. Because sometimes, spending money can save you money in the long run.

Let us go to work for you! Give Brandon Patterson a call at 865.453.1414 or email brandon@ownbyinsurance.com and he’ll help you start the process!

If your business’s building has a mural painted on its walls, or a monument sign that helps brand your location, you know that these things often add character to your property. If they were damaged, destroyed, or vandalized, you’d want them restored in the best way possible. However, some commercial property policies may not have the coverage you need to do so. Let’s talk about why.

Limits

Your commercial property insurance likely has some coverage that would pay for damage to signs or murals in a covered loss. The question is, what are the limits? If you paid an artist $3,000 to paint a mural on the side of your building, and someone drives into that wall – how much coverage do you have? Your insurance would likely pay for repairs to the wall, but would you have enough to have the mural redone?

The same may be an example for a roadside monument or elevated sign. If you have a BOP for your business’s insurance, there may not be coverage for outdoor signs that aren’t connected to the building. They likely can be added by an endorsement to the policy, however, and the same question about limits needs to be asked. How much would it cost to replace your sign and

Exclusions

Another thing to note about your signs and murals is what may be excluded from being covered. Some policies may exclude vandalism from coverage, and others may have specific language about lighting for signage. If you are currently having a mural painted, you may want to ask about coverage for it while it is in-process as well. Especially if it is a large financial investment.

Let’s talk through your signage and mural needs that may be unique, and make sure you have the coverage in place to protect them. Contact Brandon Patterson at 865.453.1414 or brandon@ownbyinsurance.com

The world of investment property has changed significantly over the past decade, as the short-term rental market has seen a meteoric rise thanks to platforms like VRBO and Airbnb. This has resulted in new risks as well as new insurance coverage options. One such option is home-sharing endorsements, which are being added to many individual home insurance policies as a way to cover short-term rentals. But is the right solution for covering investment properties? That depends on several factors, so let’s review them.

Personal and Commercial Use

You likely already know that your personal insurance is unlikely to cover commercial use of your property. A home-sharing endorsement may add coverage for property damage, theft, or liability claims that result from renters. But these coverages are typically tied to a primary residence. So, if you rent out rooms in your home or possibly even a guest house on the property of your primary residence, this may be a good option. If you have a cabin, vacation home, or other seasonal property, a claim filed through this endorsement that relates to a renter will likely be uncovered.

Primary Residence

If you have investment property like a short-term rental, or even your own cabin or vacation home that you rent out while not in your use – it is not your “primary residence” unless it is your legal domicile. As such, your homeowners policy is unlikely to cover it, no matter what endorsements are added. Insurance policies are contracts, and in this scenario they use the term “residence premises” to refer to the dwelling where you reside. In addition, if you’re being paid for rental, you’re involved in a commercial transaction.

Covering Investment Property Risks

What you actually need to cover investment property may still vary, but let’s start with the basics. Investment property, rental property, or even sometimes call landlord risk – these insurance policies are designed to cover you for losses to property you are renting out to others. Property damage, injuries, theft, and liability are all parts of this coverage you need to understand and know your limits for in the policy you have in place. You also need to keep in mind that while some coverages may be “bundled” into policies, there are often additional gaps to address. For example, sewer backup or flood insurance are unlikely to be included in these policies. Other considerations like loss of income or tenant rent default should also be discussed.

The Use is the Key

How is your property being used? That is the question to start with. Paying less money to add an endorsement won’t save you in the long run if you have a claim denied due to the policy language or exclusions.

Let us help you review your options and determine the coverages that are best for you! Contact Brandon Patterson at 865.453.1414 or email brandon@ownbyinsurance.com and let us help you get started.

Cyber liability continues to be a big concern for businesses – and individuals – with data. And whether we like it or not, we all have data that can be targeted. For businesses, the amount of data is likely much larger and more susceptible to attack. And while this has been true for a while now, the way that cyber criminals attempt to breach this data continues to evolve. Let’s take a look at some of these trends.

Sustained Campaigns

Data shows that there is cyber attack every 11 seconds. Hackers are trying more methods that used heavy “campaigns” to try and find vulnerabilities. One such method, A distributed denial-of-service (DDoS) attack occurs when multiple systems flood the bandwidth or resources of a targeted system, usually one or more web servers. A DDoS attack uses more than one unique IP address or machines, often from thousands of hosts infected with malware.

Automation of Attacks

You’ve heard about automation for all sorts of industries and tasks, so it only makes sense that cyber criminals would automate as well. Crimeware is the name for this form of automated attack, and it is used in a wide array of activities. Stealing passwords, logging keystrokes, redirecting websites to malicious sites – these are all activities being automated perpetrate identity theft through social engineering or stealth.

Espionage and Cyber Spying

When you have sensitive or proprietary data, perhaps plans, blueprints, recipes, etc. that are advantages for your business, they may also be under attack. The goal of these attacks is to access the “secret” info, and then use it either for ransom demands, or in some cases, to give rival entities an advantage over the attacked business.

What Your Business Can Do

In addition to these “trending” attacks, there are plenty of other methods used. Card skimming, point of sale attacks, malware, phishing – it’s all still around. So, with all these threats to your data, what can you do to prepare your business?

1. Have protocols in place for use of devices and access to files
2. Back up files in secure cloud storage
3. Utilize cybersecurity programs and regular update programs and scan files
4. Consult with cybersecurity specialists on your unique risks
5. Have a cyber attack response plan in place
6. Have the right cyber liability insurance

Your business may need cyber liability coverage added to its policy, or it may need “standalone” insurance with higher limits and more coverages. We can help you review your risks and understand what’s available to help protect you, your business, and your data.

Get in touch with Brandon Patterson at our agency by calling 865.453.1414 or emailing brandon@ownbyinsurance.com to discuss your insurance options.