How often do we forget that we matter just as much as the ones we love, the ones we take care of? How often are we so busy that we forget to take a moment to take a breath so that we can continue our role as care-giver, to be there for those that matter most in our lives? Whether you own a company or you are an employee working in a building or from home or a stay at home care-giver, isn’t it time for you to take a moment for yourself?
With the change of weather upon us, today’s topic focuses on Vitamin D levels which tend to be increased when we have the ability to spend a significant amount of time outdoors which will soon be limited. Do you know your Vitamin D Levels? If your answer is “no”, next time you are asked by your Health Care Provider (HCP) to have blood work done, be sure Vitamin D Levels are included in your Blood Work Prescription. Vitamin D is actually a steroid hormone precursor without which only 10-15% of dietary calcium is absorbed. Low levels of Vitamin D can be a contributing factor to fatigue, cardiovascular disorders, muscle pain and a depressed immune function. These are just a few of the symptoms associated with Vitamin D Deficiency. Vitamin D is one of the most important immune system strengthening nutrients that can reduce the risk of colds and flu. Does it matter which supplements we choose? Absolutely! How do you take your vitamins? Do you supplement with standard tablets or capsules? There are other options that increase the efficacy of the absorption of your supplement. Absorption does matter and should be maximized. Some pills with all the binders and fillers can take days to be absorbed into your system and with that only 40-50% is actually absorbed. There are ways to upgrade your supplementation. Once your Dr. provides you with what your body needs, let’s have a conversation about how you can upgrade what you are taking to provide the healthiest methods.
Joanne Hadjiyane, AADP, MPS, IHNC
Entrepreneur Adviser, Health Consultant
Disclaimer: The information provided is for informational purposes only and is not intended as a substitute for advice from your physician or other health care professional or any information contained on or in any product label or packaging.
*For the private healthcare survey, please send a message to Joanne Hadjiyane or me at firstname.lastname@example.org. All information is private and confidential.
Risk mitigation and total cost of risk reduction for today’s manufacturer:
Manufacturing companies are exposed to a wide range of liabilities throughout their operations, from the assembly line to the consumer market. Protecting company assets and income streams should be a primary focus for industrial/manufacturing companies.
Frequently overlooked exposures present significant financial risks, so careful attention to details can help control insurance costs, minimize product/property losses, and protect against coverage gaps and hidden exposures.
Here are a few things to be aware of while you reach for the goal of eliminating coverage gaps, reducing your total cost of risk, and securing adequate limits for potentially costly exposures:
Workers’ Comp Experience Modification Factor
Bad data in the experience modification calculation can affect your workers compensation costs. Workers’ compensation premiums are driven by an Experience Modifier which is derived from past loss experience. Mistakes in the calculation of the modifier rate, or losses that are not controlled, drive increases in the modifier rate causing premium costs to increase. Reducing Experience Mod by 5-20% can lower premium by 5% to 20% per year.
Loss or breakdown of machinery can result in significant production downtime, damaged stock, loss of income, and cancellation of orders. A typical property policy has low sub-limits, if any, to address a loss or damage caused by mechanical breakdown. As manufacturers and industrial companies become more automated, their equipment and production systems are becoming more sophisticated as well. Digital infrastructure is getting more costly and is critical to their operations. Example: Equipment failure causes $750,000 in losses, with the typical $250,000 sublimit on a standard property policy, there is a $500,000 gap in coverage*.
Business Income Limits
Insufficient business income coverage can result in significant financial losses. Standard business income worksheets have proven to be inadequate when developing the proper valuation of a company’s lost income risk. Typically, companies determine potential lost income from a covered loss using information such as payroll, compensation, over-head, facilities expenses, and other fixed charges. However, these worksheets do not match standard financial language or properly measure the unique time-element-risk that exists for a specific company. Here is an example of the financial impact this can have on a manufacturer with a $100,000 per month income need: The business suffers a covered loss and has the standard 12 months of coverage; it takes 18 months to recover… So, 12 months X $100,000/mo. = $1,200,000 in coverage; 18 months X $100,000/mo. = $1,800,000 This results in a $600,000 shortfall on income protection*.
Manuscript Property Policy & Wordings
Unresolved coverage gaps in a property policy can lead to large uninsured/underinsured losses. Standard “off the shelf” policies are designed to provide the least amount of coverage possible by issuing narrow policy language and very low limits and sub-limits and have several inherent coverage gaps that can usually be solved at no additional premium. Left unresolved though, those coverage gaps can lead to 6-figure uninsured and underinsured losses. It is important to have your policy language align with your exposure and customized to your business as best as possible.
In summary, assessing each business’ total risk exposure and mitigation depends on what you are manufacturing, how and with what equipment, your size and scale, where you source your raw materials, your contractual obligations, and how you are currently being protected. There is no one solution to solve everyone’s needs. There are many niche solutions that can also be implemented in addition to what has been discussed here. For the purposes of this article I am only mentioning some of the more glaring risks that we come across that are within control of an organization to mitigate and is applicable to a broader audience.
*Examples provided are real scenarios that USI was able to assist in.
For more information, feel free to contact Eric Guzzo at email@example.com
AVP – Select Commercial Lines
USI Insurance Services
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