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Does New Jersey’s PIP Law Change Allow Injury Victims to Claim Future Medical Costs?

Leave a Comment / Safety Tips / ChaimBerkovic

Does New Jersey’s PIP Law Change Allow Injury Victims to Claim Future Medical Costs? The New Jersey Supreme Court is set to decide if a legislative amendment to the state’s personal injury protection (PIP) law enables accident victims to receive benefits for future medical expenses. This review comes after a trial judge allegedly used an older version of the PIP statute, ignoring the recent changes. Case in Focus: Brehme v. Irwin Linda Brehme was injured in a 2016 car accident in Paramus when Thomas Irwin’s vehicle hit her from behind. She was awarded $225,000 for pain and suffering and $50,000 for lost wages, but her future medical expenses, estimated at $236,000, were denied by the judge. Legal Dispute Gerald Clark, Brehme’s attorney, argues that the judge failed to apply the revised PIP law that allows for compensation of future medical expenses. The 2019 Supreme Court ruling in Haines v. Taft stated that medical bills exceeding PIP coverage could not be claimed at trial, inviting the Legislature to clarify the law. Legislative Amendment Following Haines, the Legislature amended the PIP statute (N.J.S.A. 39:6A-12) to allow the collection of medical bills beyond PIP benefits at trial. However, the trial judge in Brehme’s case did not apply this amendment. Appeal and Controversy Clark has appealed the decision, arguing that accepting the initial judgment does not waive the right to appeal for future medical expenses. The Appellate Division panel ruled against the appeal, citing procedural issues rather than addressing the statute’s application. Moving Forward Clark is optimistic about presenting the case before the New Jersey Supreme Court, seeking justice for Brehme and others in similar situations. Stay tuned as the court reviews this significant issue affecting personal injury claims in New Jersey.

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Avoiding Contractor Fraud After Disasters

Leave a Comment / Business, Risk Management, Safety Tips, Staffing Agencies / ChaimBerkovic

Avoiding Contractor Fraud After Disasters In 2023, the United States experienced 28 billion-dollar climate catastrophes, and 2024 is already seeing severe weather events. In the aftermath of these disasters, vulnerable homeowners often fall prey to fraudulent contractors. Contractor Fraud Awareness Week The National Insurance Crime Bureau (NICB) aims to combat this issue through its annual Contractor Fraud Awareness Week, observed this year from May 20 to 24. The NICB reports that contractor fraud accounts for about 10% of disaster-related costs each year, amounting to approximately $9.3 billion in 2023. This fraud hampers rebuilding efforts and can lead to higher insurance premiums. Protecting Homeowners David J. Glawe, president and CEO of NICB, emphasizes the significant financial toll contractor fraud takes on Americans. Fraudulent contractors exploit disaster victims by promising affordable renovations, repairs, or construction projects, only to deliver substandard work and deplete homeowners’ savings. Homeowners must be proactive to avoid scams after a disaster. Steps include contacting their insurer to understand their coverage, and seeking licensed, insured, and well-reviewed contractors before scammers strike. Insureds should research contractor credentials, obtain multiple quotes, and watch for red flags indicating potential fraud. Common Contractor Fraud Red Flags The NICB highlights several red flags to watch for: Claims of approval by FEMA or other agencies. Out-of-state contractors appearing after a disaster. Requests for upfront payment to schedule work. Offering unsolicited services. Pressuring to quickly sign electronic documents. If you believe you have encountered or witnessed contractor fraud, report it immediately to the NICB at (800) 835-6422.

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Maritime Risks on the Rise Despite Record Low in Lost Ships

Leave a Comment / News, Risk Management / ChaimBerkovic

Maritime Risks on the Rise Despite Record Low in Lost Ships In 2023, the number of completely lost large shipping vessels reached a record low of just 26, as reported by Allianz Commercial. This marks a significant decline, with a 33% reduction in lost ships year-on-year and a 70% decrease over the past decade. Allianz classifies a large vessel as a ship exceeding 100 gross tons. Decrease in Overall Shipping Incidents Overall shipping casualties or incidents decreased by approximately 3% in 2023, with machinery damage or failure constituting more than half of all global events. Breakdown of Ship Losses by Type Cargo ships represented the majority of total losses, comprising 60% of the ships lost in 2023. Fishing vessels followed, with four total losses, and tug boats accounted for three losses. Sinkings were the leading cause of ship losses, making up half of the total, followed by wrecked/stranded vessels and fires/explosions. Challenges in the Global Shipping Industry Despite the decrease in lost ships, the global shipping industry faced significant challenges in 2023. Rising piracy, droughts affecting the Panama Canal, and ongoing conflicts in Ukraine and Gaza endangered shipping vessels and their crews. Captain Rahul Khanna, global head of marine risk consulting for Allianz Commercial, highlighted the impact of climate change on shipping, emphasizing the disruption caused by the Panama Canal drought and the urgent need for the industry to decarbonize. These conditions necessitate the development of alternative shipping routes, which can lead to longer transit times and increased shipping costs. Impact on Supply Chains Businesses importing from China and Southeast Asia are experiencing delays as cargo vessels reroute around the Cape of Good Hope to avoid conflict in the Red Sea. As of April 2024, shipping volume around the Cape of Good Hope has surged by 193%. Khanna noted in Allianz’s Safety and Shipping Review 2024 that recent disruptions, including extreme weather, climate incidents, container ship fires, groundings, the pandemic, and geopolitical conflicts, have severely tested the resilience of global supply chains. These events have exposed vulnerabilities and highlighted the need for robust strategies to mitigate such disruptions.

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Fortifying Financial Stability: The Imperative of Proactive Risk Mitigation in the Skyscraper Insurance Landscape

Leave a Comment / Financial Stability / ChaimBerkovic

Fortifying Financial Stability: The Imperative of Proactive Risk Mitigation in the Skyscraper Insurance Landscape Introduction: In the dynamic realm of Skyscraper Insurance, the principles of financial resilience and risk mitigation have assumed paramount importance. As we navigate through an era marked by climate volatility and economic unpredictability, the need for proactive measures to safeguard financial stability has never been more pressing. This article explores the evolving landscape of Skyscraper Insurance, examining the challenges faced and the strategies employed to fortify against potential risks. Rising Challenges: The journey towards financial stability in the Skyscraper Insurance sector is fraught with challenges. A significant concern is the projected 6% increase in insurance premiums expected during the 2024 renewal period. However, luck may play a fickle role in determining the extent of this rise. Furthermore, the industry has been shaken by an alarming 19.8% average annual surge in rates witnessed between 2021 and 2023, driven by inflationary pressures and the escalating frequency of extreme weather events. This surge has been punctuated by numerous billion-dollar weather and climate disasters, necessitating a reevaluation of traditional risk assessment methodologies. Industry Response: In response to the heightened risks associated with certain geographical areas, several prominent insurance firms have made the strategic decision to cease underwriting coverages, highlighting the urgent need for a proactive approach to risk mitigation. This shift underscores the pivotal role played by insurers in shaping the resilience of the Skyscraper Insurance landscape. It also serves as a call to action for stakeholders to reevaluate existing risk management strategies and embrace innovative solutions to address emerging threats. Navigating Uncertainty: Navigating the uncertain terrain of Skyscraper Insurance requires a multifaceted approach. It involves not only identifying potential risks but also implementing robust risk mitigation measures to protect against them. By fostering a culture of preparedness and resilience, insurers can better withstand the challenges posed by volatile market conditions and environmental uncertainties. Collaboration between industry players, policymakers, and other stakeholders is essential to develop comprehensive risk management frameworks that can adapt to evolving threats and ensure long-term financial stability. Conclusion: As we chart a course through the complexities of the Skyscraper Insurance landscape, one thing remains clear: proactive risk mitigation is key to fortifying financial stability. By acknowledging the challenges posed by climate change, economic fluctuations, and other external factors, stakeholders can proactively implement measures to mitigate risks and safeguard against potential losses. Through collaboration, innovation, and a steadfast commitment to resilience, the Skyscraper Insurance industry can navigate through uncertainty and emerge stronger than ever before.

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Who’s Utilizing What in P&C Insurance

Leave a Comment / Commercial P&C Insurance / ChaimBerkovic

Who’s Utilizing What in P&C Insurance Marsh McLennan, in collaboration with Oliver Wyman, has introduced Sentrisk, an AI-driven platform designed to assist businesses in managing global supply chain risk. Sentrisk employs advanced analytics to identify low, medium, and high-risk vulnerabilities at a granular level, including specific sites, suppliers, or components, according to Marsh McLennan. EZLynx has partnered with Citizens Property Insurance Corporation, a not-for-profit property insurer in Florida, enabling Citizens to utilize the EZLynx Rating Engine for over 7,000 Florida insurance agents. This collaboration aims to enhance the process of eligibility determination against the private market for appointed agents during sales and renewals, allowing them to accurately evaluate risk coverage from Citizens and other Florida carriers. Christian Brothers Services has chosen Origami Risk’s multitenant SaaS P&C platform to streamline its policy administration and billing processes, improve service resources for its members, and gain insights into the performance of its current coverage lines. Main Street America Insurance has teamed up with TransUnion to offer specialized cyber risk protection for small businesses. Main Street America’s small business policyholders will now have access to TransUnion’s TruEmpower CyberScout solution, which addresses various cyber security threats such as commercial breach, cyber extortion, and business identity theft. Paragon Insurance Holdings LLC has opted for Kalepa’s AI-powered Copilot underwriting platform to support its Workers’ Compensation, Specialty Property, Small Construction and Contractors, and Auto Dealers programs.

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Revolutionizing Retirement in the Insurance Industry: A Comprehensive Approach to Offboarding

Leave a Comment / Careers, Commercial P&C Insurance / ChaimBerkovic

Revolutionizing Retirement in the Insurance Industry: A Comprehensive Approach to Offboarding As the insurance industry braces for a historic wave of retirements, companies face the challenge of preserving decades of knowledge and experience. By 2028, approximately half of the insurance workforce is set to retire, coinciding with the retirement age of the baby boomer generation. This impending “baby boomer” retirement collapse presents a significant dilemma for companies, as they grapple with the loss of invaluable expertise. For years, retirement has been viewed as a long-awaited escape from the daily grind. However, many retirees find themselves adrift without the structure and purpose that work provides. This transition can be particularly challenging for insurance professionals who have dedicated their careers to the industry. The retirement journey for insurance professionals is evolving, requiring a fresh approach to ensure a smooth transition for both employees and employers. Introducing Retirement Journeys, a personalized pathway designed to guide insurance professionals through the transition out of the workforce. Developed collaboratively with each individual, Retirement Journeys prioritize the preservation of institutional knowledge while supporting employees in their transition to retirement. Understanding the Retirement Landscape For years now, the insurance industry has been inching toward a historic wave of retirement. From 2024 through 2027, more Americans will turn 65 years old than at any point in our country’s history. About 50% of the insurance industry workforce is in line to retire by 2028, and all of the baby boomers will be past the traditional retirement age by 2030. Many of these professionals are already planning their exit strategy. Retirement, however, is not always the idyllic journey it’s often portrayed to be. While some retirees embrace the newfound freedom, others struggle with the loss of identity and purpose that comes with leaving the workforce. This is particularly true for insurance professionals who have spent decades honing their skills and expertise in the industry. The Challenge for Companies The retirement of experienced professionals poses a significant challenge for companies. Losing key employees means losing valuable knowledge and expertise, which can have far-reaching implications for business continuity and succession planning. Companies must find ways to retain institutional knowledge while supporting retiring employees in their transition to retirement. Introducing Retirement Journeys To address the challenges of retirement in the insurance industry, a new approach is needed. Retirement Journeys offer a comprehensive framework for guiding employees through the transition process. Developed in collaboration with each individual, Retirement Journeys prioritize the well-being of employees while safeguarding the continuity of the organization. Key Components of Retirement Journeys 1. Cultivating a Safe Culture: Retirement Journeys begin with open conversations and detailed plans, fostering a culture where employees feel comfortable discussing their retirement plans. By involving employees in the decision-making process, companies can ensure a smooth transition and retain valuable knowledge. 2. Employee-Centric Approach: Once an employee decides to retire, the next step is to explore various pathways that align with their preferences and goals. Whether it’s reducing working hours, transitioning to a different role, or adjusting schedules, employees are given autonomy in shaping their retirement journey. 3. Engaging the Entire Team: Retirement Journeys benefit not only the retiring employee but also the entire team and organization. By gradually transitioning responsibilities and roles, companies can mitigate the impact of retirements and provide opportunities for career development to other team members. Case Studies – One retiree reduced their working schedule gradually over several months, allowing the organization to absorb their knowledge and responsibilities seamlessly.– Another employee shifted to a contractor role, providing valuable expertise until their retirement. The Benefits of Retirement Journeys Retirement Journeys offer a fresh approach to retirement in the insurance industry, enabling employees to embark on the next chapter of their lives with confidence while safeguarding the continuity of the organization. By engaging the entire team in the retirement process, companies can ensure a smooth transition and bridge any knowledge gaps that arise. Conclusion The retirement of experienced professionals presents both challenges and opportunities for the insurance industry. By embracing a comprehensive approach to retirement, companies can navigate this transition effectively while preserving institutional knowledge and supporting retiring employees in their journey to retirement.

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Navigating AI in Insurance: Balancing Policyholder Concerns & Insurer Benefits

Leave a Comment / Crisis Management, Cyber Liability, Cyber Risk Insurance, Insurance Technology / ChaimBerkovic

Navigating AI in Insurance: Balancing Policyholder Concerns & Insurer Benefits Insurers and policyholders are grappling with the integration of AI into underwriting and claims processes, revealing a divide in attitudes toward this technological advancement. Chris Lafond, CEO at Insurity, emphasizes the importance of understanding consumer sentiment toward AI, noting a need for a balanced approach that combines AI with human judgment to foster trust and acceptance. While consumers are becoming more accustomed to AI in everyday interactions, such as customer service chatbots, they express reservations about its use in decision-making roles within insurance. According to the 2024 AI in Insurance Report by Insurity, 50% of respondents oppose AI in claims management, and 45% are against its use in underwriting. Conversely, insurers view AI as a tool to enhance efficiency and service quality for policyholders. Sylvester Mathis, Chief Insurance Officer at Insurity, emphasizes the need for insurers to build trust and transparency around AI’s role in underwriting and claims processing. He suggests that transparent communication about AI’s benefits in improving accuracy and efficiency can help increase consumer confidence. Consumers fear that AI may erode the human aspect of insurance decisions, particularly in underwriting and claims management, where personal judgment plays a significant role. However, industry experts highlight that AI complements human expertise by streamlining routine tasks and allowing underwriters to focus on more complex cases. Scott Hawkins, from Conning, explains that AI systems triage applications, processing straightforward cases quickly and leaving complex ones for human underwriters. This approach combines the speed of AI with the nuanced judgment of experienced underwriters. Sathish Kumar Manimuthu, CTO at NeuralMetrics, underscores the importance of finding a symbiotic relationship between AI and human decision-makers in insurance. While AI can expedite processes and provide instant access to data, it cannot replace the intuition and judgment of human underwriters. Ultimately, the successful integration of AI into insurance requires a balanced approach that preserves human judgment while leveraging AI’s capabilities to enhance efficiency and accuracy. Insurers must prioritize transparency and communication to build consumer trust in AI’s role in underwriting and claims management. #SkyscraperInsurance #AIinInsurance #Underwriting #ClaimsManagement #ConsumerTrust #InsuranceTechnology #Insurity #NeuralMetrics #Conning #WeShareOurVisionForABetterTomorrow

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Protecting California Homes in 2024: Navigating Insurance Challenges

Leave a Comment / Homeowner's Insurance, Personal Insurance / ChaimBerkovic

Protecting California Homes in 2024: Navigating Insurance Challenges In California’s dynamic homeowners insurance realm, staying proactive is paramount. With over two decades of experience in insurance advising, I’ve observed the myriad hurdles and opportunities homeowners encounter. This article aims to illuminate the current landscape and offer practical steps for safeguarding homes while managing costs effectively. The Current Landscape:Since 2022, California’s homeowners insurance market has faced substantial upheaval. Ten major insurers have either halted or severely restricted new policy applications, introducing instability and uncertainty. Understanding Factors at Play:Hyperinflation, heightened wildfire risks, and surging reinsurance premiums have prompted insurers to reassess their risk exposure. Additionally, escalating construction material costs influence home rebuilding expenses and, consequently, insurance premiums. The California Department of Insurance’s reluctance to approve rate increases has further impacted insurers’ market participation decisions. The Rise of Wildfire Risk:Wildfires remain a significant threat in California. While most home insurance policies cover wildfire damage, securing coverage in high-risk areas can be challenging. Insurers may impose exclusions, high deductibles, or caps on wildfire/smoke damage, underlining the importance of proactive risk management. Proactive Measures for Homeowners:Despite challenges, homeowners can mitigate risks and secure affordable coverage: 1. Mitigate wildfire risk by enhancing a home’s resistance.2. Explore surplus lines carriers and specialty insurers for flexible underwriting criteria.3. Regularly review and update policies to reflect home improvements or changes.4. Bundle home and auto insurance for potential savings and better negotiation leverage.5. Consult experienced insurance advisors for personalized coverage solutions. Additional Tips for the Hard Market:Enhance home security, maintain clear brush areas, consider wind mitigation devices, and understand mudflow coverage under flood insurance policies. In Summary:Navigating California’s homeowners insurance demands vigilance and adaptability. With regulatory changes, market dynamics, and environmental threats at play, homeowners must remain dedicated to protecting their homes. #HomeownersInsurance #CaliforniaInsurance #WildfireRisk #InsuranceTips #RiskMitigation #HomeProtection #WeShareOurVisionForABetterTomorrow

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Outsmarting Vishing: Striking a Balance between Emotions and Logic for Enhanced Protection

Leave a Comment / Crisis Management / ChaimBerkovic

In the ever-evolving landscape of cyber threats, fraudsters are adept at exploiting vulnerabilities through various tactics, including vishing, or voice phishing. Unlike traditional phishing emails or texts, vishing targets victims over the phone, making it a particularly insidious form of cybercrime.

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Solar Panel Popularity Demands Better Property Valuations

Leave a Comment / Personal Insurance, Real Estate / ChaimBerkovic

Outsmarting Vishing: Striking a Balance between Emotions and Logic for Enhanced Protection In the ever-evolving landscape of cyber threats, fraudsters are adept at exploiting vulnerabilities through various tactics, including vishing, or voice phishing. Unlike traditional phishing emails or texts, vishing targets victims over the phone, making it a particularly insidious form of cybercrime. Cybercriminals employ a range of techniques, including spoofing, spamming, and robocalls, to deceive individuals and extract sensitive information or financial gain. With over 4,000 ransomware attacks occurring daily, according to the FBI, the stakes are higher than ever. The perils of vishing are evident in real-life scenarios where victims, including well-informed individuals, fall prey to emotional manipulation. In one instance, a financial writer shared her harrowing experience of succumbing to a vishing scam, resulting in a significant financial loss. The success of vishing lies not in sophisticated technology but in exploiting human emotions and psychology. To combat vishing effectively, insurers must prioritize employee training and policyholder education. Recognizing vishing red flags, such as unusual requests or a heightened sense of urgency, is essential. It’s crucial to verify the authenticity of callers, especially when dealing with sensitive information or financial transactions. Javvad Malik, a security expert, emphasizes the importance of remaining vigilant and questioning unusual phone calls. Vishing actors often employ tactics to appear legitimate, such as providing fake claim numbers or becoming agitated when questioned. By staying calm and applying critical thinking, individuals can thwart vishing attempts and protect themselves from falling victim to cyber fraud. For comprehensive cybersecurity solutions and expert guidance, trust Skyscraper Insurance. We’re committed to safeguarding your digital assets and empowering you to navigate the complex landscape of cyber threats. #VishingProtection #Cybersecurity #SkyscraperInsurance #RiskManagement #FraudPrevention #EmotionalIntelligence #WeShareYourVisionForABetterTomorrow