Masonry Magazine July 1975 Page. 11
This Is The Time To Think About Insurance!
Why should mason contractors think about reevaluating their business insurance now? There are three very good reasons:
1. Today, more than ever, an inadequately covered property loss or third party liability suit could mean financial disaster for any future business ambitions you might have. It is just not good business to skimp in an area as vital to your business success as financial security. You need protection and you need the best possible protection that your insurance dollar will buy.
2. In a down economy you need to have a clear-cut picture of just what you're getting for your insurance dollar. On the one hand, it would be unwise to cut back on your business insurance security, just for the sake of saving a few insurance premium dollars. On the other hand, paying too much for extra insurance which you may not need would be a foolish waste of money.
3. With the strong possibility of an economic upturn it's important that your insurance coverage be flexible enough to allow you to take advantage of future opportunities.
MCAA, since May of 1973, has endorsed one program of Business Liability and Property and Workmen's Compensation insurance for all members. The program, underwritten by companies of CNA/insurance was developed in response to a special member survey dealing with the business insurance needs of mason contractors and in conjunction with a most respected, independent insurance authority on insurance for contractors. The result was a program which had as its goal the availability of business insurance coverages uniquely responsive to the special business needs of mason contractors, while providing a workable system for reducing participating members' insurance costs. This goal is an even more important consideration today than it was in 1973, and the program's record of success in achieving its goal makes it particularly important at this time for non-participating members to consider and compare the MCAA-endorsed program to what their current insurance program provides.
Whether the MCAA-endorsed program is a better deal or not, is an individual contractor's own business decision. Whether the present insurance program ought to be maintained or a change should be made to the MCAA-endorsed program is also an individual contractor's own business decision. The point is that you won't know how good your current insurance program is unless you compare it to something else.
The MCAA-sponsored program provides a standard for comparison.
As a mason contractor, what are some of the business insurance coverages which you should concern yourself with? Here are just a few:
Workmen's Compensation & Employer's Liability
Statutory Coverage and all standard extensions as required under the Act
All States Endorsement
Voluntary Compensation
Additional Medical
Employer's Liability and the limit of coverage
Amendments to broaden necessary coverage
Comprehensive General Liability
Premises Liability
Independent Contractors
Blanket Contractual (both oral and written)
Products and Completed Operations
Personal Injury Endorsement (elimination of employee exclusion)
Broad Form Property Damage Endorsement (including Completed Operations)
Comprehensive Auto Liability and Physical Damage
Owned Auto
Hired Auto
Employer's Non-Ownership
Use of other auto coverage
Fleet Automatic coverage
Other Coverages
Installation Floater Coverage
Contractors Equipment Coverage
Crime
Property Insurance Coverage
Business Interruption
There's much more. The limits to which these and other necessary coverages and extensions of coverage should be protecting your business are items that a professionally trained insurance representative ought to review for you. It's important that you get involved with your insurance program. The times demand this. You needn't become an expert insurance man in the process, but you should become aware of the program you now have and how it stacks up in giving you full value for your business insurance premium dollar.
What better way is there to find out how well your current insurance program is doing than to compare it to what might be considered a "MCAA membership standard".
As a non-participant of the MCAA-endorsed program, your current insurance program might be providing you the full insured security you need for each premium dollar you pay, but do know for sure. This is why MCAA endorses a Workmen's Compensation and General Business Insurance Program to provide you with something to compare what you've currently got.
Is this any time to think about your insurance program? The answer is clearly yes. This is no time to overlook an area as vital to your business success as insurance protection. It would be unwise to cut back on your business insurance security, which might jeopardize your whole business future. Yet, paying for overlapping or additional insurance which you may not need is a waste of money. Now is the time to survey just what kind of insurance program you do have and what you're paying for.
masonry • July, 1975
11