• Safety Awareness information.
• Training.
• Supervision.
• Protective Equipment.
• Communication and Monitoring devices.

Business Property insurance protects your building and property against loss or damage from theft, accident, and a variety of other causes. The policy will pay for replacing or repairing covered property or providing compensation for irreplaceable items.

If you don't own your building you'll still need to cover its contents: fixtures, furniture, office equipment, inventory and the supplies stored at your location or off-site.

The premium will depend on whether you choose to insure the replacement cost or actual cash value (ACV) of the property. Most Business Property coverage is written on a replacement-cost basis, which will reimburse you for replacing lost or stolen goods with new items at current market prices. This feature can help your business recover from the loss or theft quickly. (If you're leasing equipment, the leaseholder might require you to cover it at replacement value.) You'll need to revise your coverage when you acquire or dispose of property. Be sure to update replacement values over time; a computer worth $1,000 two years ago might cost half that today - on the other hand, the price of a desk might well increase.

Actual cash value coverage, which generally costs less, provides reimbursement for the depreciated value of covered property. If your business owns its own equipment, which you could replace easily with comparable goods at depreciated market value, the lower premium of an ACV policy might make it a more cost-effective choice.

As always, our agency's Business Insurance specialists stand ready to offer their advice on choosing the coverage that's best for you. Just give us a call.

Business Interruption (BI) insurance makes sense. Consider Allison Dorst, a New Jersey resident who operates three e-commerce web sites selling sportswear. Last fall, Superstorm Sandy brought a prolonged power failure that shut down Dorst's customer-service lines, causing sales to evaporate. She'll also see lower sales because of a month-long delay in the delivery of next season's styles. Fortunately, her Business Interruption coverage will reimburse the profits lost because of this lost revenue.

Although most middle-market business owners and managers understand the need for BI, they don't always have the information they need to choose the right coverage. Some companies don't have enough insurance to remain in business after they suffer a major loss, while other businesses might be buying more coverage than they need. When it comes time to renew your BI insurance, be sure to take a close look at the insured or reported values for the policy, as well as on the various coverage extensions that apply to your business, based on its operations. It also makes sense to consider additional coverages such as:

• Contingent Business Interruption
• Claim preparation fees
• Extended period of indemnity
• Expediting expense
• Service interruption/power outage, including overhead transmission and off-premises lines
• Extra expenses
• Ordinary payroll coverage
• Selling price of finished goods inventory
• Ingress/egress
• Loss of attraction
• Civil authority
• Sue and labor

We'd be happy to offer our advice, free of charge, in selecting the amount and types of coverage that can minimize your financial risk and keep you in business after disaster strikes. Feel free to get in touch with us at any time.

Any employer that's ever been involved in a sexual harassment suit can attest that the cost to settle or defend a sexual harassment lawsuit can be jaw dropping. The average award for damages in these types of lawsuits is around $650,000, and that isn't even including the secondary cost from workplace disruption, bad publicity, and those involved in the suit being absent from work.

What Constitutes Sexual Harassment? The first step in protection is understanding what is defined as sexual harassment. State and federal law prohibits behavior that involves an employee in authority basing professional expectations or decisions regarding a subordinate employee being willing or unwilling to exchange sexual acts. The following are examples of such behavior:

• Altering expectations of job performance when a subordinate repeatedly refuses advances for a date or sexual encounter.
• A superior demanding sexual acts in order for a subordinate to receive a raise or promotion.
• Disciplinary action, including termination, of a subordinate that refuses sexual advances or ends an existing romantic relationship.

Verbal, visual, physical, or written behavior that causes another employee to view the work environment as hostile, are unwanted, or focus on the sexuality or gender of another person may constitute as sexual harassment. Specific examples of such would be teasing, suggestive objects or pictures being displayed, and repetitively requesting sexual acts or dates verbally or in writing.

Protection with Employment Practices Liability Insurance (EPLI). After knowing what constitutes sexual harassment, businesses can further financially protect themselves with Employment Practices Liability insurance (EPLI). This is an insurance to protect employers when an employee makes the claim that their legal rights have been violated. Although policies vary, EPLI generally doesn't cover criminal or civil penalties and punitive damages. EPLI does generally cover settlements, judgments, and incurred legal costs arising from an array of incidences - wrongful termination, employment contract breaches, employment and promotion failures, wrongful disciplinary actions, wrongful emotional distress infliction, negligent employee evaluations, employee benefit plan mismanagement, discrimination, and sexual harassment.

Coverage is specific. So, before purchasing a policy, decide who should be covered. For example, should full and part-time employees, contracted persons, supervisors, department heads, subsidiaries, company divisions, and so forth be covered or not? One other note about EPLI is that it's mandatory for employers to report incidents within a reasonable amount of time. Some policies might feature an ERP (extended reporting period) or prior acts. The length, cost, and availability vary by carrier.

Purchasing EPLI has been challenging for small companies in the past. However, the 2004 rate increases have somewhat plateaued. Some rates have even decreased. Keep in mind that EPLI cost is figured based on the business type, employee numbers, and past lawsuits associated with the business.

Prevention of Harassment Lawsuits. Prevention is the cornerstone in decreasing the risk of a sexual harassment lawsuit. Prevention steps include the following key elements:

• If the business has EPLI, any incident should be reported immediately.
• Create, communicate, and enforce a zero-tolerance policy for workplace sexual harassment.
• Have an effective harassment complaint process in place and take immediate, consistent, and appropriate action when a complaint is made.
• Thoroughly document all complaints and the following investigation and actions.

The more heavily your business relies on electronic technology, the greater your vulnerability to cybercriminals.

1. Review your specific exposures. For example, if you allow people outside the company to use your WiFi, this can increase your exposure.
2. Focus on the human element in data security by offering employees effective training and specific guidelines.
3. Re-evaluate your guidelines frequently.
4. Evaluate the potential risks of adopting new technology.

Although more than three in four businesses offer their employees wellness programs, fewer than half believe that these programs provide an effective return on investment (ROI). That's the bottom line on a recent nationwide survey by Business Insurance of more than 300 companies.

Check out these highlights from the study:

• More than nine in ten respondents (93%) describe their programs as "extremely successful," "very successful," or "somewhat successful."
• More than four in five (81%) measure the success of their programs primarily by employee participation rates, while more than two in three (68%) rely on feedback from employees.
• The great majority (85% of public companies and 70% of privately held firms and nonprofits) offer employees money or other incentives linked to participation in their programs.
• Nearly three in four (59%) see improving employee health as the main objective of their program.
• Fewer than one in three (28%) focus on reducing health care costs.

Experts say that employers can improve their ROI (directly or indirectly) from wellness programs by shifting focus from broadly-based activities (on-site health screenings and immunizations, weight-loss and stop-smoking programs, etc.) to individual health care -- such as personal coaching, workplace safety evaluations, wellness newsletters, and classes on stress management and nutrition.

Companies can also boost their ROI by evaluating their programs at least once a year. The Business Insurance survey found that nearly one in three respondents (32%) failed to measure the participation rate or effectiveness of their programs on an annual basis.

If you'd like a comprehensive review of the benefits your employee wellness program provides, just get in touch with us.

Although many women work through their pregnancies without difficulty, some of them with physically demanding jobs or complicated pregnancies might seek accommodation at some point. However, the Americans with Disabilities Act (ADA) does not define pregnancy as a disability or disorder, but as a natural process related to reproduction.

If pregnancy is not a disability, are pregnant women entitled to accommodation? What about women with pregnancy-related impairments? Are they covered by the ADA Does the Pregnancy Discrimination Act (PDA) entitle pregnant women to the accommodations they need to continue working during pregnancy? Are there state laws that entitle pregnant women to accommodation? These are the types of questions are being examined by the National Women's Law Center (NWLC) and other women's legal organizations. According to NWLC, both the ADA and the PDA often require reasonable accommodation for pregnancy.

Let's start with the ADA. The regulations interpreting the ADA Amendments Act (ADAAA) state that pregnancy-related impairments can meet the definition of disability if they substantially limit a major life activity. Pregnant employees with impairments that meet the definition of disability will be entitled to an accommodation under the ADA. Because the ADAAA has broadened the definition of disability to include many temporary and less severe impairments, more workers with pregnancy-related impairments will now qualify for direct coverage.

In addition, the interaction between the PDA and the ADA will often result in a heightened duty to accommodate even pregnant employees who do not meet the ADA's definition of disability. NWLC argues that the PDA requires employers to treat pregnant women at least as well as other employees with similar limitations in their ability to work. Because the ADA requires employers to accommodate a wider variety of medical conditions, pregnant women will often have similar limitations to people who are entitled to accommodations under the act - which means that they'll be entitled to accommodations as well. For example, the Equal Employment Opportunity Commission (EEOC) has made it clear that the ADA requires reasonable accommodation of a temporary back injury that leaves an employee unable to lift 20 pounds for a few months. Because pregnant workers must be treated as well as employees with similar work limitations, a worker who has been instructed not to lift weights of more than 20 pounds because of her pregnancy must also be accommodated, according to NWLC.

To ensure that employers' legal obligations to provide accommodations are unmistakable, the NWLC and a broad coalition of groups from the health, disability, and women's rights communities are urging Congress to pass the Pregnant Workers Fairness Act (PWFA) - draft legislation which states that pregnant women are entitled to reasonable accommodations that can be provided without undue hardship to an employer. These are the same types of accommodations that are available to people with disabilities under the ADA. In addition, some state laws already give pregnant workers' rights to workplace accommodations, as described in a recent report by Equal Rights Advocates.

Accommodating pregnant employees is also in the financial interest of employers. The NWLC provides several sound business reasons why employers should accommodate their pregnant employees in the same way that they do for workers with disabilities. Data show that the costs of these accommodations are likely to be minimal, and that providing them will have bottom- line benefits to the employer: including reduced workforce turnover, increased employee satisfaction and productivity, and lower Workers Compensation and other insurance costs.

Despite the legal and financial arguments, some employers are still not accommodating pregnant employees. This is why the EEOC recently identified "accommodating pregnancy-related limitations under the ADAAA and the PDA" as a priority area for itsenforcement efforts through 2016.

If you are an employee who was not accommodated during your pregnancy or you believe you were discriminated against on the basis of pregnancy, the NWLC would like you to share your story. Employers interested in sharing their experiences accommodating pregnant employees or in consulting about best practices are also invited to contact NWLC, at [email protected].

Keep in mind that when it comes to providing accommodation ideas, Job Accommodation Network (JAN) consultants will brainstorm accommodation ideas for anyone with any type of limitation, including limitations related to pregnancy, whether or not the ADA covers the condition. So, if you're an employer trying to accommodate pregnant employees, or a pregnant employee looking for accommodation ideas to offer your employer, feel free to contact JAN for assistance!

-Linda Carter Batiste, J.D.,

Principal Consultant with comments from the National Women's Law Center

P.S. Speaking of job accommodations, HRThatWorks members can join us for a joint webinar with JAN on Providing Accommodations for Employees with Mental Health Impairments, to be held March 20th at 1PM EST by going tohttps://www1.gotomeeting.com/register/324256449.

Insurance spreads the risk of loss among every policyholder and the insurance company.

The "coinsurance clause" in a Business Property policy reflects the fact that the coverage divides this risk by setting premiums based primarily on the value of the property. Those who insure their property for less than its actual cash value (ACV) or replacement cost will have to pay the uninsured portion of any covered loss out of their own pocket -- in other words, "coinsuring" the risk -- which encourages policyholders to buy coverage for the full value of their property.

The coinsurance clause usually requires policyholders to insure their property for 80% of its ACV. For example, if the property of your business is worth $500,000, you would need to purchase a $400,000 policy. If a fire caused $300,000 worth of damage, the insurance company would pay $240,000 (80% of $300,000), leaving you to pick up the other $60,000. However, if you had purchased the full $500,000 in ACV coverage -- paying a higher premium -- the insurer would cover the entire $300,000 claim.

We'd be happy to discuss the benefits that the coinsurance clause offers. Feel free to give us a call.

Identifying and preventing the incidences that might harm your firm's reputation can be a challenge at best.

The explosive expansion of Web-based communications and social media has aggravated the risks of reputational damage, while dramatically reducing response time to counter these threats.

According to Reputation Review 2012, a report from Oxford Metrica sponsored by Aon P.L.C., a public company runs an 80% chance of suffering a reputational risk that can cost at least 20% of its equity value in any month over a five-year period. Privately held companies face similar risks.

These exposures can come from a wide variety of sources, from product safety and unhappy customers to regulatory pressures and behavior by managers. Examples include recent massive breaches of consumer data held by major financial institutions, and the effect on companies that faced supply chain disruptions or radiation fears after the Japanese earthquake and tsunami of 2011 -- not to mention the impact of that year's outbreak of listeria in cantaloupes. Although this infection came from a single farm, other producers (and even companies selling different types of melons) suffered a loss of reputation.

With reputational risks coming in various and sometimes unpredictable forms, experts recommend that you help protect yourself by:

• Creating an "early warning system" to monitor print, electronic, and social media for negative references to the company.
• Evaluating whether a negative comment should have a response (not every tweet or Facebook post matters).
• Getting frontline employees involved in responding to reputational threats, rather than having top management and PR staff deal with them.

Our agency's experts stand ready at any time to help you discuss your risk, review potential scenarios, and then build and test a plan for dealing with events that threaten your reputation.

Having an effective plan to deal with these threats can actually improve your company's reputation.

In the controversial Citizens United case, the Supreme Court ruled that corporations have rights similar to those of an individual. It follows that they have identities and are vulnerable to identity theft.

Although insurance offers one way to manage this risk, it might well be a long time before a company discovers the theft -- at which point, it would be too late. To avoid or minimize the danger of having your corporate identity stolen, we'd recommend a three-step approach:

1. Storing sensitive information. Sensitive files and information (credit card numbers, medical data, Social Security numbers, etc.) might be stored on computers, external drives, filing cabinets, or mobile devices. It's wise to consolidate and secure this data either physically behind lock and key or by using electronic network security measures. Be sure to train employees on handling, storing, and disposing of this type of information properly.
2. Your business documentation. Identity thieves might use highly sophisticated or surprisingly elementary and low-tech techniques for delving into a company's records and misappropriating them. These might include intercepting paper mail, stealing trash, or physically taking documents. To safeguard this information, determine what records you need to run the business, inventory them, and use electronic statements to limit the amount of mail containing company information. Never share financial details or documents through e-mail!
3. Credit reports. Check your company's credit reports regularly for unusual charges or bills.

The Federal Trade Commission (http://www.business.ftc.gov/documents/bus69-protecting-personal-information-guide-business) provides a variety of resources you can use to help protect your corporate identity and confidential customer information against identity thieves.

Our agency's professionals would be happy to offer their help -- just give us a call.