Landscapers Workers Compensation – Summer Brings Seasonal Dangers For Your Employees June 10, 2011

A portion of your workers compensation insurance  rate is determined by the losses that you claim on your policy over time.  High loss frequency or severity will drive up your experience modification factor on your policy and cost you in higher workers comp rates for years to come.  If you want to learn more about how this works, please visit my blog article on protecting your experience modification factor.   For landscapers and lawn care firms, Summer means more work, but also creates some specific risks for your employees.  I’ve put together a few tips for  protecting  your employees from some of these seasonal risks.

Any discussion of summer seasonal risks to landscapers has to begin with heat related illnesses.  You should take the time to be sure  that your crews are prepared for an emergency.  Look out  for symptoms like profuse sweating, skin that is extremely hot or cold to the touch, dizziness or nausea.  Consider going with shorter work schedules and  schedule that start earlier and stop at mid day heat and resume again in the late afternoon.  Provide plenty of cool water (at least 4 cups of water per hour) and make sure that workers have shady places to take their breaks.  Do not wait until an employee feels sick in order to allow them to take a break. 

Another summer seasonal risk to your landscaping workers is snakes.  Warn everyone to be careful  where they place their hands and feet when moving debris.  Require everyone to always wear gloves when moving debris about and advise them not reach blindly under debris when moving it.  Boots should be worn by all employees and they should be at least 10 inches high.   If someone encounters a snake, have them step back and allow it to proceed.  A snake’s striking distance is usually ½ the total length of the snake.  If someone is bitten, note the color and shape of the snake’s head.  Keep bite victims still and calm to slow the spread of any venom in case the snake is poisonous.  Do not cut the wound or attempt to suck the venom out, lay the victim down so that the bite is below the level of their heart and cover the bite with a clean, dry dressing.

Insects can also be a danger.  Find out  in advance if any of your employees are allergic to any insect bites or stings and if so, you be sure to keep the appropriate medicines available to them at all times out on job sites.  Severe reactions to bites or stings such as chest pain, nausea, loss of breath, sweating or slurred speech require immediate medical treatment.

Your landscaping workers may also face exposure to herbicides and pesticides.  Make sure that anyone engaged in using these chemicals is fully trained and understands exactly what to do in case of overexposure. 

Taking precautions with your employees during the summer months should help you avoid some injuries and reduce the costs of  those that were unavoidable.  Employee downtime and higher workers compensation rates are not an enjoyable way to spend your profits.  At Clinard Insurance Group, in Winston Salem, NC, we insure dozens of landscaping companies all across North Carolina.  Our specialize landscapers insurance program can help you save money while getting the protection you need  on your general liability insurance, the insurance on your trucks and your equipment as well as your workers compensation insurance.  Give us a toll free call today at 877-687-7557 or visit us on the web at www.LowRatesForLandscapers.com.

Landscapers Insurance Help – How To File A Workers Compensation Claim July 27, 2010

Savvy landscaping contractors buy workers compensation insurance as part of their landscapers insurance program.  If you don’t and you are paying someone to work for you, whether you consider them a subcontractor or not, then you shouldn’t go a day more without a policy.  But assuming you already have a workers compensation policy, how exactly do you file a claim?

Filing a workers compensation claim is easy and simple.  You want to do this as soon after the employee injury as possible.  In NC the claim form states that you must file the claim within 5 days of the injury.  To do so, you must complete a Form 19 claim form and mail, fax, or email it to your insurance company claims department.  The Form 19 is a standardized claim form to be used for all workers compensation claims in North Carolina.  The reason for this is that the policy and claims payments are all overseen by the NC Industrial Commission.

If you don’t have a form 19 on hand, check your policy as most insurance companies will insert a few blank ones in the policy that they send to you.  It’s ok to make copies of this form when you run out.  You can also get one in pdf form from the NC Industrial Commission website.

The Form 19 will ask for contact information for you and for your injured employee.  They will also need to know the details of the injury, how and when and where it occurred.  This information usually comes from the injured employee’s supervisor.   Next you will need to fill in the occupation of injured person and information about how many hours they work each week and what their wagers are per hour and per day.  This information will help settle the disability portion of the claim.

The rules require that you provide a copy of the completed Form 19 to the injured employee or the employee’s representative (read lawyer) at the same time that the Form 19 is submitted to the insurance company.  Last of all, you must give your injured employee a blank Form 18 which is a form they can use should they wish to contest the claim settlement.  You can obtain blank Form 18 copies the same way you got the form 19, by clicking here,  or you may call the NC Industrial Commission at 800-688-8349.

At Clinard Insurance Group, in Winston Salem, NC, we work hard to help all of our clients become informed insurance consumers.  Understanding how to file a workers compensation claim for your landscaping company is important as you will want to move fast in the event of an accident or injury and spending time trying to figure out how to file a claim will only slow you down.

Should you need help with  your landscapers insurance policies, from workers compensation to your general liability, commercial auto and equipment insurance, please consider us as we specialize in insuring landscapers of all types and sizes all across North Carolina and South Carolina.    We can put our extensive knowledge to work for you with one quick phone call.  Call us, toll free, at 877-687-7557 or visit us online at www.LowRatesForLandscapers.com.

The source information for this article was pulled from articles which can be found in their entirety at www.InsuranceAnswerGuy.com.

Lawn Care Business Insurance Basics May 20, 2010

If you are thinking of starting your own lawn care business, or if you are planning to grow your existing one into a more viable and legitimate business, one of the hurdles you will need to cross is the insurance puzzle and how to solve it for your particular company.  Lawn care companies have some special insurance needs so here is a basic primer on the types of insurance policies that you should consider for your lawn service insurance program.

This guide should serve as an introductory overview of lawn care insurance.  For more detailed information on any of these policies or coverage types, please contact our office and we will be happy to give you more one on one personal help.

Liability Insurance – It won’t take long in your business before one of your commercial clients asks you to prove that you have liability insurance.  This is the most obvious coverage type and the one that lawn maintenance companies usually first purchase.  This is designed to provide you with protection for losses that you cause in the operation of your business for which you are legally obligated to pay.

Workers Compensation Insurance – This policy is often skipped because in NC the law says that you don’t have to purchase a workers compensation policy if you have less than 3 employees.  What people fail to realize however is that if you don’t purchase a policy, then your company is on the hook for paying all claims as though you were the workers compensation insurance company.  Don’t skip this coverage, one bad accident could put you out of business and ruin all that you have worked so hard for.  One last trick, if you have only workers who mow and who don’t do anything else, you may be able to classify them under a code known as parks noc and get a much lower rate.  For more information on this tip read my earlier blog here.

Equipment Coverage – This protection comes in two types.  Coverage for equipment and coverage for hand tools.  Most lawn care business purchase the equipment coverage for mowers, decks, snow blades etc but don’t often purchase any coverage for hand tools.

Business Auto Insurance – If you are titling your vehicles in the company name, then you need a commercial auto policy for those vehicles.  Don’t forget to include your trailers on this policy as well.

Bonds – In NC you will need a bond to work on irrigation systems and it is very possible that by January 2011, a landscaping bond may be required.  If you are strictly a lawn mowing service, then you may be able to avoid purchasing license bonds.

Disability Insurance – What happens if you become injured and can’t work?  Who will do the work and who will run your business?  Disability insurance is a good solution for you to solve this problem.  Most lawn care companies don’t remember to cover this exposure and the failure to do so has fun a few out of business.

It’s clear that buying insurance for a lawn care company is a complicated and specialized process.  You need an agent who specializes in landscapers insurance, and one who can help you navigate the maze of policies and underwriting rules.  At Clinard Insurance Group, in Winston Salem, NC, we specialize in helping all kinds of landscapers with their landscaping insurance all over North Carolina.  We can help you develop a plan that protects your business and saves you money on your lawn care insurance policies.  If you own a mowing service in NC, then you owe it to yourself to call us, toll free, at 877-687-7557 or visit us online at www.LowRatesForLandscapers.com and we will be happy to help you.

The source information for this article can be found at www.InsuranceAnswerGuy.com.

Landscaper Work Comp Insurance – Pay As You Go, Saves The Cash Flow March 22, 2010

Landscaping insurance plans should all include a workers compensation policy for landscapers unless of course you work alone and have no employees.  And work comp policies can tear a whole in your cash flow if not handled correctly.  For more information on this, read my blog on the audit trap.  In addition, many landscapers suffer a slow season in the winter as there is less work to be done.  This slower season creates a cash flow bottom.  What if you could time your workers compensation policy to match the slower cash flow in this down season?

In fact you can.  With a little understood tool called pay as you go.  Now understand that not every company the writes workers compensation policies for landscapers can or will offer this feature, but if you can find one that does and their price is right, this can be a nice benefit for landscape contracting companies. 

So how does it work?  Well, plans vary but the very best of them will send you an email or a mail reminder each month.   You then log on to their web site and enter the payroll totals for the past month.  The web site will then calculate your premium for that month and you can pay your bill on line right then and there with a credit card.  What this means for you is that now your workers compensation expense tracks your payroll with only a 30 day delay.  And this short delay means that your workers compensation expenses will more nearly track your revenue and mean less wild swings in your monthly cash flow.

Now, there are a few things to watch out for here.  First of all, there are some payroll service companies out there offering pay as you go workers compensation to go with their payroll service.  On the surface this sounds great but there is a problem with this approach.  One huge factor in your workers compensation insurance costs is your experience modification factor.  And you need to work proactively to protect that mod to keep future costs lower.  Companies that specialize in payroll services and sell work comp as a sideline are rarely as good at keeping claims costs low as companies whose prime mission is workers compensation insurance.  These companies will often have nurses and case managers on staff to help reduce your overall claims costs.  And keeping your claims costs low will keep your rates low over time.  To learn more about this read my blog on protecting your experience mod.

One last thing to mention here is that the pay as you go feature offered by some companies is often only available to landscapers whose premium exceeds a certain level, often as high as $5000.  There are a few companies out there who can offer this feature at a much lower premium level, but you will need to find an agent who specializes in landscapers insurance to find them.

At Clinard Insurance Group, in Winston Salem, NC, we are the landscaper insurance specialists.  We have companies that can write pay as you go workers compensation policies for landscapers with annual premiums as low as $1000.  If we can help you with any of your landscaper insurance policy questions, please call us, toll free at 877-687-7557 or visit us on line at our landscapers’ insurance program policy page.

Some of the source material for this article was drawn from other blog articles which can be found at www.InsuranceAnswerGuy.com.

Auto Repair Shops Workers Compensation Insurance – Protect Your Mod March 12, 2010

Most automotive repair and body shop owners have at least a general knowledge of workers compensation insurance.  They know that they need it and they know it can cost a lot of money.  But only a few really understand the experience modification factor and what it could mean for their future work comp insurance policy costs.  This little primer will help you understand just how important it is to protect your mod and how to do it.

The experience modification factor of workers compensation policies, referred to as the experience mod or just mod for short, is the insurance industry’s way of assigning higher rates to businesses with poor loss experience and lower rates to those who have had more favorable loss experience.  Each business has its own unique experience modification factor and this factor is applied to the rates on their policy.  For example, if you have had a lot of losses, or perhaps a few large losses, you might find yourself with a mod of say, 1.35.  If this is the case, then your workers compensation insurance policy premium will be adjusted upward by 35% to reflect your bad experience.  Likewise, if your company hasn’t has a work comp loss for several years, your mod might drop as low as .80 and this would mean a 20% reduction in your overall workers compensation policy premium.

So how is this mod calculated?  Well, the first thing you need to know is that the mod is calculated based on past experience.  That means what happens today will take several years to come back and bite you.  Also, the experience period for the mod in North Carolina is 3 years, so once you get some losses in your mod calculation, they will stay there  for a while.  I want to leave a more detailed explanation of how the mod is calculated to a later blog, but for now, understand that it is not only the number of losses (called frequency) that plays a part, but also the amount paid out (called severity) that impacts the mod calculation.  And a little of both, frequency and severity can really run up your mod.

So what can you, as a business owner, do to protect your mod?  A lot of how your mod will affect you, both good or bad will be determined by which insurance company you choose for your workers compensation policy.  I say this, because, although you may be as careful as you can to avoid injuries among your workers, there is no substitute for an insurance company that is actively working for you to help you prevent claims and reduce the severity of existing claims.  So when evaluating which workers compensation policy to purchase, you should consider more than just the cost on the first policy.  Find out what that insurance company and that agent are going to do to keep your costs low over the long term.

Choose a workers compensation insurance company that will work with you to help you with both prevention and severity reduction.   Prevention can come in the form of safety inspections, and loss control techniques that the insurance company can share with you.  Reduction can come in the form of programs that help your injured workers get back to work more quickly.  Some of the best workers compensation insurance companies even have their own nurses and doctors.  Also, you want to purchase your workers comp coverage from a company that assigns case managers to each claim to stay on top of all the medical bills and the disability payments to keep the payout as small as possible.

At Clinard Insurance Group, in Winston Salem, NC, we specialize in helping the owners of automotive repair and body shops navigate the complex waters of insurance policy and insurance company selection.  We can help you find a pro-active insurance company that will help you reduce the number of work comp claims and keep the claims that happen from spiraling out of control.  We can also help you with your other insurance needs from garage insurance to commercial auto insurance for your wreckers or company trucks.  If you would like help with any of your business insurance needs, please call us, toll free, at 877-687-7557 or visit our garage owners insurance help page.

The source information for this article was taken from other articles which can be found in their entirety at www.InsuranceAnswerGuy.com.

Landscaper’s Insurance – Don’t Forget The Workers Compensation Policy March 5, 2010

Landscaping insurance can be found in many different forms.  One coverage that every landscaper with employees should have is workers compensation.  In North Carolina, the law states that if you have fewer than 3 employees you don’t have to purchase workers compensation insurance.  But what this rule doesn’t tell you is that not buying a policy could put your business assets at risk.

In NC, the workers compensation law does give you an out if you have less than 3 employees.  In fact, there are no real teeth in the law that will catch and find employers who have 3 or more employees who also don’t purchase a workers compensation insurance policy.  So, yeah, you could go years without purchasing a workers compensation policy for your landscaping business.   But that would be a very dangerous choice.  Here’s why:

Although the law may not require that you actually purchase a workers compensation insurance policy, it will require that you pay all of the claims yourself just as if you were the insurance company.  Workers compensation benefits in North Carolina are statutory.  That means that exactly how much gets paid for each type of illness or injury has already been determined by state law.   This means if you are paying out of your own pocket for a claim, you will not have the opportunity to determine how much you are going to pay. 

So, using the loophole in the law to avoid buying a workers compensation policy only gets you out of paying the policy premium.  It does not get you out of paying the costs of any and all claims.  And these claim costs can be enormous.  Imagine coming up with $100,000 to pay for injuries that resulted in permanent disability, then paying disability payments for years after that for one of your employees.  Pretty scary huh?  So even if work comp insurance seems expensive, you should realize that purchasing it is a no brainer because going bare means you are pretending to have the assets of an insurance company.  For most landscapers, that just isn’t the case.

At Clinard Insurance Group in Winston Salem, NC, we specialize in helping landscapers with their insurance needs.  If you have any questions about your general liability insurance, your workers compensation insurance, your business auto insurance or any other insurance policies, please call us toll free at 877-687-7557 or visit our landscaper insurance web page.

The source data for this blog can be found at www.InsuranceAnswerGuy.com.

Contractors Workers Compensation Insurance – Protect Your Mod February 2, 2010

Most contractors have at least a general knowledge of workers compensation insurance.  They know that they need it and they know it can cost a lot of money.  But only a few really understand the experience modification factor and what it could mean for their future construction company insurance policy costs.  This little primer will help you understand just how important it is to protect your mod and how to do it.

The experience modification factor of workers compensation policies, referred to as the experience mod or just mod for short, is the insurance industry’s way of assigning higher rates to businesses with poor loss experience and lower rates to those who have had more favorable loss experience.  Each business has its own unique experience modification factor and this factor is applied to the rates on their policy.  For example, if you have had a lot of losses, or perhaps a few large losses, you might find yourself with a mod of say, 1.35.  If this is the case, then your workers compensation insurance policy premium will be adjusted upward by 35% to reflect your bad experience.  Likewise, if your company hasn’t has a work comp loss for several years, your mod might drop as low as .80 and this would mean a 20% reduction in your overall workers compensation policy premium.

So how is this mod calculated?  Well, the first thing you need to know is that the mod is calculated based on past experience.  That means what happens today will take several years to come back and bite you.  Also, the experience period for the mod in North Carolina is 3 years, so once you get some losses in your mod calculation, they will stay there  for a while.  I want to leave a more detailed explanation of how the mod is calculated to a later blog, but for now, understand that it is not only the number of losses (called frequency) that plays a part, but also the amount paid out (called severity) that impacts the mod calculation.  And a little of both, frequency and severity can really run up your mod.

So what can you, as a business owner, do to protect your mod?  A lot of how your mod will affect you, both good or bad will be determined by which insurance company you choose for your workers compensation policy.  I say this, because, although you may be as careful as you can to avoid injuries among your workers, there is no substitute for an insurance company that is actively working for you to help you prevent claims and reduce the severity of existing claims.  So when evaluating which workers compensation policy to purchase, you should consider more than just the premium on the first policy.  Find out what that insurance company and that agent are going to do to keep your costs low over the long term.

Choose a workers compensation insurance company that will work with you to help you with both prevention and severity reduction.   Prevention can come in the form of safety inspections, and loss control techniques that the insurance company can share with you.  Reduction can come in the form of programs that help your injured workers get back to work more quickly.  Some of the best workers compensation insurance companies even have their own nurses and doctors.  Also, you want to purchase your workers comp coverage from a company that assigns case managers to each claim to stay on top of all the medical bills and the disability payments to keep the payout as small as possible.

At Clinard Insurance Group, in Winston Salem, NC, we specialize in helping the owners of small contracting companies navigate the complex waters of insurance policy and insurance company selection.  We can help you find a pro-active insurance company that will help you reduce the number of work comp claims and keep the claims that happen from spiraling out of control.  Because contractors insurance is our specialty, we can help you with your insurance needs whether you need help with carpentry insurance, carpet cleaner insurance, electricians insurance, flooring insurance, HVAC insurance, grading and excavating insurance, insulation insurance, landscaping or lawn care insurance, masonry insurance, painters insurance, plumbers insurance, siding insurance or  even guttering insurance .  We have built special niche programs for many different types of contractors and we encourage you to call us, toll free, at 877-687-7557 or visit us on the web at  www.TheContractorsHelper.com. 

The source information for this article was taken from other articles which can be found in their entirety at www.InsuranceAnswerGuy.com.

Construction Insurance in NC – small contractors, don’t forget your work comp insurance December 18, 2009

I hear it so often with artisan contractors, they don’t think they need workers compensation insurance because they have too few employees or the general contractor that they work under provides that coverage.  While these are reasons that allow them to legally avoid buying a policy, in both cases they leave the artisan contractor’s destiny in the hands of others and may ultimately cost the small contractor his or her business.  Here’s the real scoop on workers compensation insurance in North Carolina for small contractors.

It doesn’t matter which area you work in, whether you are hunting for painter insurance, plumbing insurance, lawn care insurance, carpenter insurance, landscaping insurance, grading insurance or even insulation or flooring insurance, you really will do better to always purchase a work comp policy for your small contractor business.  Let’s take a look at the three reasons people don’t purchase workers comp insurance for their small business.

Reason #1  –  Less than 3 employees.  While it is true that in North Carolina, if you have less than 3 employees, then the state will not require you to purchase a workers compensation insurance policy, what is seldom said in  the next sentence is that whether or not you buy insurance, you are still on the hook for the claims.  The workers compensation insurance policy was created as a compromise.  Workers gave up their rights to sue their employers in most cases and the trade off for them was that employers agreed to pay the benefits associated with injuries and sicknesses on the job according to the statutory payouts required by each state.  So, as the employer, you will have to pay for your employees job related injuries, sicknesses and time out of work in accordance with the NC workers compensation statutes.  If they are permanently disabled or even out of work for several months, these costs could run into the tens of thousands and possibly close your business.  Many small contractors are choosing not to buy workers compensation insurance based on their number of employees and this could have a devastating effect on their business.

Reason #2  – It costs too much.   Let’s face it, workers comp insurance can be expensive.  But if you have an agent that specializes in your type of business, then you will have a much better chance of getting your policy set up in a way that saves you the most money while still protecting you from financial ruin.  And really while the short term costs may seem high what is your entire business worth?

Reason #3  – The general contractor covers it.  While for some small contractors, this may be true, there are several reasons why this is a poor choice.  First of all, if the general contractor were to go out of business, or let their insurance cancel through some error, then you are back on the hook and if the claim is large enough, then there goes your company.  Also, if you do work not associated with that contractor then you are back to going bare.  Secondly,  most general contractors add a large premium to the rate that they are charged to carry you on their policy so you will probably find you are paying more than you should to be covered this way.

In almost every case, it is a better choice for small, artisan construction companies to purchase their own workers compensation insurance policy directly.  The risks associated with going bare, or riding on the general contractor’s coat tails are just too high.

At Clinard Insurance Group in Winston Salem, NC, we specialize in helping small artisan contractors of all types with their insurance needs.  We have special insurance programs designed for carpenters, carpet cleaners, concrete and masonry construction, electricians, flooring installation companies, grading and excavating contractors, guttering and siding installation companies, HVAC companies, landscapers and lawn maintenance companies, painters and plumbers.  We work hard to help all of our clients become informed insurance buyers.  If we can help you with your business insurance needs, please call us, toll free, at 877-687-7557 or visit us online at www.TheContractorsHelper.com.

The source information for this blog article was pulled from information which can be found on line at www.InsuranceAnswerGuy.com

NC Landscapers Insurance – The Bond Is Coming, Now Is The Time To Get Your Ducks In A Row November 30, 2009

North Carolina landscaping companies dodged a bullet this year when the general assembly put off the requirement for a surety bond to go with the upcoming landscaper contractors license requirements.  But that bullet is going back into the gun for next year and now is the time to take a few simple steps to make sure that you don’t get run out of business in early 2011 because of a regulatory hurdle.

North Carolina Landscaping companies have plenty to worry about in terms of their landscaping insurance needs.  They need landscape liability insurance, landscape workers compensation insurance as well as coverage on their trucks and their equipment.  But the thing that could bring down the house and close their doors is really the cheapest and least expensive.  A landscapers surety bond.  And it looks like every NC landscaper will have to have one by January 2011 if current expectations play out.  This bond will not be expensive, in fact it should cost no more than $100 per year.  But if you are not eligible to get the bond, then you might find yourself unable to operate as a business.

I watched this process play out in NC in 2009 with the newly required irrigation contractors license bond.  This bond is required for any firm wishing to use the word irrigation in their name or wishing to perform irrigation installation, repairs or maintenance.  In the beginning this bond was relatively easy to obtain, but over time became more and more difficult.  In fact, some firms are being put out of business right now because of their inability to obtain this bond.  So what lessons can we learn from that process to protect and prepare landscapers for the next bond requirement.

There are several lessons here.  The first lesson is to act fast.  As soon as you know that the bond is required,  get on board and apply for your bond.  With the irrigation license bond, we were able to issue about 30 of them in the first month before the bonding companies decided that they needed to order a credit report on the irrigation companies.  If you are a landscaping company with marginal credit,  you should act quickly when the bond requirement is announced and perhaps you can get your bond issued before the bonding companies realize how many they will be issuing and start asking for credit reports.

Secondly, understand that poor credit will give you trouble with your bond, so work now to clear up any credit problems that you have.  Pay off those debts and if you can avoid it, don’t file bankruptcy.  Bankruptcy made getting the irrigation bond impossible for some and now has shut down their company.  Don’t let that happen to you.

At Clinard Insurance Group, in Winston Salem, NC we specialize in helping landscapers all over NC with their insurance policies.  If we can help you, or if you have any insurance questions on which you would like a second opinion, please call us, toll free at 877-687-7557 or visit our landscaper’s web page.

The source information for this article can be found at www.InsuranceAnswerGuy.com.