How to Avoid Costly Mistakes on Your Workers Comp Audit

Don’t make these costly mistakes with your workers comp coverage.

When you operate a business, it’s normal to have your coverage audited from time to time.  However, should a routine audit uncover issues or inconsistencies with your employee codes or payroll, then you might be in for an expensive rate increase.  To ensure this doesn’t happen to you, here are some of the steps that you should take.

  • Prevent Code Misclassification

During an audit, many business owners discover that they have been underpaying (or in some cases, overpaying) on their insurance premiums.  Generally, employee code misclassification is at the root of this issue.  Code classifications play a major role in how a business’s workers compensation insurance premiums are calculated.  Unfortunately, with 700 codes to choose from, many business owners struggle to apply the right codes to coincide with their business and their employees’ functions.

  • Avoid Inconsistent Payroll Reporting

Workers compensation premiums are also based on a business’s payroll information.  However, when a business fails to report payroll information to their insurer, issues can arise.  Sometimes inconsistent reporting conceals the hiring or release of employees.  When payroll information is inaccurate or not up-to-date, it makes it impossible for insurers to gauge a business’s true risk and adjust its coverage and premiums accordingly.  If an auditor discovers payroll inconsistencies, then this can result in major workers compensation insurance rate adjustments.

These are some of the steps that you should take to ensure that a workers compensation audit does not result in higher rates.    Want further help with your commercial coverage?  Make sure you have the right business insurance protection at the best price by giving our knowledgeable Total Protection Team a call at 951-600-5751, sending an email to insure@siaonline.com, or stopping by our Murrieta, California office today.  We are always happy to help!

Does Your Business Need Equipment Breakdown Coverage?

Why you should secure commercial equipment breakdown insurance.

Does your business rely on specialty or extremely expensive equipment?  If so, then stop for a moment and imagine what would happen if this equipment were to breakdown or suffer a serious mechanical issue.  If you did not have the resources to immediately repair or replace the broken equipment, then your business would suffer.  Not only would you miss deadlines, violate contract agreements, and lose capital, but you would experience strained relationships and a tarnished reputation.  In extreme cases, your business would never recover, and you would be forced to shut your doors for good.

Fortunately, there are some steps that you can take to prevent this nightmare scenario from happening to your business.  For instance, you should make sure that your company’s equipment is protected by the right equipment breakdown insurance.  Here’s what you need to know about this essential commercial coverage.

  • What is equipment breakdown insurance?

As the name suggests, equipment breakdown insurance offers coverage to repair or replace your company’s equipment if it suffers an electrical or mechanical breakdown, motor burnout, boiler malfunction, and so on.  In addition to repair expenses, equipment breakdown insurance can also cover business income and inventory losses that result from the breakdown.  This type of insurance extends coverage to a wide array of equipment types, such as mechanical, electrical, heating and cooling, and computers and networks.

  • How is equipment breakdown insurance different from commercial property insurance?

Many business owners believe that they don’t need equipment breakdown coverage because they already have commercial property insurance in place.  However, it’s important to understand that these two types of coverage are fundamentally different.  While commercial property insurance will offer coverage for your business’s equipment, you can only access this coverage if your equipment is damaged by fire, storm damage, or other covered perils.  In contrast, equipment breakdown insurance offers coverage for the damages caused by issues with the machinery.  A good way to think about it is commercial property insurance handles the damage caused by external threats while equipment breakdown handles the damage caused by internal malfunctions.

This is what commercial equipment breakdown insurance can do for your company.  Want another wat to take care of your business?  Then make sure you have the right business insurance protection at the best price by giving our knowledgeable Total Protection Team a call at 951-600-5751, sending an email to insure@siaonline.com, or stopping by our Murrieta, California office today.  We are always happy to help!

Teach Your Teen These Driving Safety Lessons

Make sure your teen stays safe behind the wheel.

If your teen is learning how to drive, then their safety should always be your main priority.  When it comes to driving safety, it’s important that you start with the basics.  Here are some of the things that you should teach your teen to help them become safe and responsible drivers.

  • Avoid Driving with Passengers

For an inexperienced driver, having a lot of passengers in the car can be extremely overwhelming and can distract them from driving safely.  To ensure that your child does not put themselves and their friends at risk, place restrictions on who and how many people they can drive around.

  • Stay Vigilant

Many drivers, not just teens, become less vigilant as they get more comfortable behind the wheel.  However, failing to scan your area, use your mirrors, and check your blind spots could mean missing a serious driving hazard.  When teaching your teen how to drive, show them how to stay vigilant when they are changing lanes, turning, and even when stopped.

  • Do Not Drive While Tired or Distracted

While you might not give it a second thought, driving while sleepy or distracted is just as dangerous as driving while under the influence of alcohol.  To ensure that your child does not put themselves and others at risk, teach them to never drive while sleepy, emotionally compromised, or otherwise distracted.

Teach your teen these lessons to help them become safe drivers.  Want another way to keep your teen safe behind the wheel?  Then make sure you have the right auto insurance protection at the best price by giving our knowledgeable Total Protection Team a call at 951-600-5751, sending an email to insure@siaonline.com, or stopping by our Murrieta, California office today.  We are always happy to help!

Use Spring Cleaning to Prevent Home Insurance Claims

How routine cleaning and maintenance can reduce your risk for damage and other issues.

As a homeowner, you know that you are subject to a considerable amount of risk.  Fortunately, there are steps that you can take to address the various threats that you face.  For instance, completing routine cleaning and maintenance tasks this spring will reduce the chances of you having to file an insurance claim.  Here are some of the tasks that you should take care of this season.

Clean Out Your Gutters

Over winter, leaves, dirt, and other debris is sure to have accumulated in your gutters.  Should you experience spring showers, then your gutters might get clogged and begin to overflow.  This could lead to water seeping through your roof or into your home’s foundations.  To prevent this type of damage, make sure that you completely clear out your gutters as you spring clean.

Clean Out Your Vents and Filters

During your spring cleaning, you should make sure to pay particular attention to your home’s vents, filters, and ducts.  You should be particularly careful of the vents leading to and from your dryer and your furnace filter.  You should carefully remove lint and dust from these filters to ensure that it does not catch fire when it is exposed to the extreme heat that your dryer and furnace produce.

Fix Up Your Lawn

Now that spring weather is here to stay, you should clear away the dead leaves, twigs, and other debris that has accumulated in your yard.  At this time, you should also fill in any holes that may have formed in your lawn.  Taking these steps will reduce the chances of someone falling and injuring themselves on your property.

Take these steps to prevent homeowners insurance claims.  Make sure you have the right home insurance protection at the best price by giving our knowledgeable Total Protection Team a call at 951-600-5751, sending an email to insure@siaonline.com, or stopping by our Murrieta, California office today.  We are always happy to help!