Tag Archives: InterWest

When Everybody Does the Right Thing

It sometimes seems that all we hear about are the complaints, when something goes wrong for a policyholder dealing with an insurance company, especially when a claim is involved. So we thought we’d bring you a story where everybody did the right thing – even beyond right, because the client couldn’t have expected to be treated as well as it was.

It happens that we know this story because our founder, Dave Dias, was involved. But we’d happily share other stories on an occasional basis if you email them to me at jared@insurancethoughtleadership.com.

This story begins in the first week of September 2014, when the Folsom, CA, campus of Bayside Church was burglarized. Bayside, a “mega-church” based in Granite Bay, CA, has campuses throughout the Sacramento area and has been holding services at a middle school in Folsom. During the week, someone broke into a steel container at the school and stole much of the audio-visual equipment that Bayside stored there. Dave Hanson, the CFO of Bayside, says the equipment was valued at $75,000 to $100,000.

The case quickly went cold. The thieves had known what they were doing – for instance, they broke only into the container with the valuable equipment, not into containers with, say, materials for the children’s ministry – and didn’t leave clues behind. There were no witnesses and no security video.

This is where the insurers swept in. Hanson says, “Dave [Dias, a former police officer who is the InterWest broker on the Bayside account] was thoroughly frustrated that someone would steal from a church, and Folsom PD had zero leads. So, in an attempt to help the police department, he said, ‘Let’s put up a reward.’”

InterWest, a Sacramento-based broker, and Philadelphia Insurance, the carrier, offered a $10,000 reward for information leading to the return of the equipment. Within days, someone came forward with information, and police raided a house in nearby Carmichael. They not only found all the Bayside equipment but also recovered two stolen vehicles, an enclosed trailer, a watercraft, small amounts of drugs and numerous weapons, including three handguns, two rifles, an assault rifle and more than 3,000 rounds of ammunition. The owner of the house, a convicted felon, was arrested and is awaiting trial.

“He had guns, ammunition, money, lots of acetylene torches, power tools; it was obvious he had stolen stuff from construction sites,” Hanson says.

Recovering the equipment obviously saved Philadelphia Insurance from having to pay a large claim. But it also saved Bayside from having to pay the deductible and from the hassle of having to locate and rent equipment each week, until its claim was paid.

“The partnership aspect of client, broker and carrier is the most important aspect here,” Hanson says.

He notes that the Folsom police department, which had never worked a rewards case, got a high-profile win and says the main winner was the community. It no longer has to worry about a big-time, professional thief.

Isn’t this sort of story better than what you usually hear when you tell someone you’re involved in the insurance industry?

The Total Cost of Your Insurance Program, Part 4

This is the fourth article in a five-part series on understanding the total cost of your insurance program. Preceding and subsequent articles in this series can be found here: Part 1, Part 2, Part 3, Part 5.

As an illustration of the principles discussed so far, we offer these service level guidelines which have been developed by InterWest Risk Control for both Property & Casualty and Workers’ Compensation clients:

Property and Casualty Service Level Guidelines (not including Workers Compensation)

Due to the significant variable revenue levels generated from either a mono-line or multiple lines of coverage (fire, inland/ocean marine, boiler/machinery, general liability, products liability and completed operations, auto liability, etc.) any client generating at least $10,000 in revenue would qualify for risk control service.

Based on the above, for all Property & Casualty requests, please contact your InterWest Risk Control Consultant to determine your customers’ needs and services and timelines including the following:

Property Protection/Fire Prevention

  • Interpret and prioritize insurance company loss control recommendations.
  • Evaluate sprinkler system installations utilizing NFPA 13, 231, and 231C.
  • Assist clients with automatic sprinkler system and fire hydrant testing.
  • Analyze building valuations and construction class codes.
  • Site inspections and audits including: cooking equipment, spray painting, flammable liquids and chemical storage, indoor/outdoor pallet/tire storage, in-rack arrangement of stock.
  • Course of construction/builder’s risk accounts for fire prevention and security.

Boiler and Machinery Protection

  • Interpret and prioritize insurance company loss control recommendations.
  • Determine state operating permit criteria based on objects such as high/low pressure steam boilers, air tanks, LPG tanks, storage water heaters, etc.
  • Provide on-site consultation of machinery and equipment, unique business interruption exposures, and preventative maintenance and inspection activities and forms.

General and Public Liability

  • Interpret and prioritize insurance company loss control recommendations.
  • Provide on-site assistance for life safety concerns with risks such as educational institutions, restaurants, hotels and motels, shopping centers, office properties, and residential risks.
  • Evaluate public safety such as emergency exits and lighting, walking surfaces, ramps, stairways and steps, lighting, guardrails and handrails, maximum occupancy limits, and similar items.
  • Assist with complying with the Americans with Disabilities Act (ADA).
  • Analyze public injuries and illnesses to determine loss trending and corrective measures for preventing reoccurrences.
  • Attend and participate at supervisory and management-type training sessions to provide information on accident investigations and accident review board committees as well as follow through on any relevant loss prevention remedies arising from these sessions.
  • Evaluate playground equipment for parks and school risks.

Product Safety

  • Interpret and prioritize insurance company loss control recommendations.
  • Coordinate loss control activities between insurance companies and clients for loss prevention services.
  • Review existing quality assurance and control manuals relating to standards such as ANSI, ASME, CPSC, voluntary industry product safety guidelines, etc.
  • Provide on-site plant tour and analysis of manufactured products. Evaluate quality control measures, plant reviews, blueprints, and drawings.

Fleet Safety

  • Interpret and prioritize insurance company loss control recommendations.
  • Provide clients with technical information on DOT and CAL-OSHA regulations.
  • Specifically offer the following services for our clients:
    • Audit fleet safety program including driver selection, vehicle inspection and maintenance, accident investigations, motor vehicle record check criteria, driver logs, etc.
    • Perform on-site surveys of vehicles, inspection and maintenance activities, and premises.
    • Complete vehicle observations and evaluations of straight trucks, cab-overs, private passenger automobiles, and tractor/trailer rigs for backing, lane changing, following distances, and speed of travel.
    • Review driver qualification files with management to determine driver logs, Commercial Driver License, physical examination, written/road test certification, safety incentives and awards, and similar documents.
    • Perform “ride-alongs” with company drivers to evaluate speed of travel, following distances, lane changes, backing, product control and security, and customer interfacing.
    • Attend and participate at fleet safety meetings and accident review board committees on defensive driving topics, vehicle losses, and accidents, and safety incentive awards, etc.

Additional Services

  • Access to defensive driver training, property management, online risk management training on InfoSource Café (InterWest’s extranet to provide clients with important resources to be better prepared for dealing with emergencies, to find answers for Cal-OSHA compliance issues, to improve their injury prevention efforts, to manage risks associated with property and products, and to maximize value of employee benefit programs)
  • Access to fleet safety videos including defensive driver (fee may apply)
  • Disaster response plan development and review.
  • Sexual harassment prevention training for managers/supervisors and employees.
  • HR consulting available (may be fee based).
  • Customized inspection/audit forms for buildings, equipment, vehicles and premises.
  • “Tailored” forms for accident investigation and training, including property, liability, and fleet.
  • Liquor Liability awareness training.
  • Assist in determining root causes of losses and accidents with internal and external claims departments.

Workers Compensation Service Level Guidelines ($4,000 – $20,000+ in Revenue)

InterWest brokers can also use a Service Time Line Report (including above risk control service levels) once agreed upon between the customer to monitor activities from risk control, claims, accounting, etc. Here is a sample Service Time Line Report.

Loss Control Service Level: Level I
Total Revenue: $4,000 to 6,500
Description of Service Levels/Sample Services

Contact will be informal, Access to all appropriate services via InfoSource Café, phone consultation and workers compensation safety survey/audit. Follow up on a consultative basis and electronic review of current safety plans and newly completed templates for accuracy and detail. They will be invited to participate in regional workshops and safety webinars.

Loss Control Service Level: Level II
Total Revenue: $6,501 to 12,500
Description of Service Levels/Sample Services

One to two visits annually based on need; Contact will be formal and informal, will receive a formal safety/audit and review, receive written recommendations for priority based services, safety one-on-one training for supervisors, specific safety training based on need. Follow up on a consultative basis and electronic review of current safety plans and newly completed templates for accuracy and detail. They will be invited to participate in regional workshops and safety webinars. Loss control to provide recommendations for the written service timeline.

Loss Control Service Level: Level III
Total Revenue: $12,501 to 20,000
Description of Service Levels/Sample Services

Two to four visits annually based on need; Contact will be formal and informal, will receive a formal safety/audit and review, receive written recommendations for priority based services, safety one-on-one training for supervisors, specific safety training based on need. A loss control representative will be available to sit in on claims reviews, follow up on a consultative basis and electronic review of current safety plans and newly completed templates for accuracy and detail. They will be invited to participate in regional workshops and safety webinars. Loss control to provide recommendations for the written service timeline.

Loss Control Service Level: Level IV
Total Revenue: $20,001 and Up
Description of Service Levels/Sample Services

Minimum four contacts with the client and service open based on need and structured service plan. Loss control representation will be available to sit in on claims reviews.

Related Articles
The Total Cost Of Your Insurance Program, Part 1
The Total Cost Of Your Insurance Program, Part 2
The Total Cost Of Your Insurance Program, Part 3
The Total Cost Of Your Insurance Program, Part 5

Authors
Dirk Duchsherer collaborated with Jim Newberry (CHST, Bsc Safety Management) in writing this article. Jim is the AVP and Risk Control Manager for Island Insurance Company, LLC in Honolulu, Hawaii.