According to The Wedding Report, the total average cost of a wedding in 2011 was $25,631. Travelers, which offers a comprehensive wedding insurance policy, has analyzed their most common wedding insurance claims that they had in 2011 and here are some examples:

4% – Unavoidable cancellations: Your partner gets the pre-wedding day “jitters” and decides to call it off last-minute! Cancelling the venue, catering, flowers, etc can cost you thousands in lost deposits and lost business. Coverage will help you offset these costs.

5% – Military deployment: Unfortuneatly, being called to duty cannot be delayed for a wedding, causing the wedding to be delayed or even cancelled on short notice. Coverage can help you recover your lost deposits.

8% – Attire: Your traveling to your destination wedding and the airline loses your wedding dress and tuxes. Coverage can cover the cost of replacing your wedding attire.

10% – Weather: Unexpected rain can put a damper on your outdoor wedding, causing it to be inaccessible and leaving you scrambling to find another venue. Coverage can make up the difference in cost for the new location.

13% – Vandalism/Theft: A guest made a getaway with your gift? Coverage can help compensate for those irreplaceable items that are ruined or go missing on your big day.

19% – Sickness/Injury/Mishaps: Sudden illness prevents the honorees, parents, or grandparents from attending the wedding. Coverage can reimburse you for deposits lost.

31% – Vendor/Venue: This was the biggest cause of wedding insurance claims in 2011. Coverage is provided if your vendor goes out of business, declares bankruptcy, or simply fails to show up.

Clark-Mortenson offers The Wedding Protector Plan from Travelers. It includes coverage for rehearsal events that take place within 48 hours of the wedding for as little at $160. It also covers perishable materials, lost or damaged photographs, host liability, liquor liability and more.   Call us today at 877-352-2121 if you have a wedding planned, or refer us to someone you know that might be getting married. We can help “insure” that your wedding is covered for the unexpected!

Source: Travelers, propertycasualty360.com

Call our office at 877-352-2121 to find out more about what you can do to protect yourself from Identity Theft.

Carrie decided to buy a 2011 Ford Edge SEL.  She purchased the car for $29,887 and put down a $5,000 deposit.  She financed $24,900.  With interest, she owes about $27, 524.   Now according to the Depreciation Infografic on Edmunds.com, the minute she drove off the lot, her car lost about $2,559 in value and was only worth $27,314.  And buying a 2011 – on January 1^st, 2012, the car would be a year old and would now be worth only $24,186.  At that time, she will have made two payments on the loan.  Carrie carries a $500 deductible on her collision coverage.

If Carrie is in an accident on January 2, she will still owe about $27,000 and the company will only pay her about $23,500.  The difference, about $3500, will have to come out of Carrie’s pocket.  Unless Carrie purchases Gap Insurance.  Gap Insurance will pay the difference between what you owe the bank or finance company and what your car is actually worth with depreciation.

There are two ways you can buy Gap Insurance.  You can purchase the coverage from your car dealer and the cost is added into the loan.  Between the initial cost of the coverage and the interest over the life of the loan, you could end up spending between $400 and $600.    The other way is to purchase the insurance from your local insurance agent as an endorsement on your auto policy.  Depending on your company, the cost is generally $30 to $60 a year.  You will only need the coverage for a year or two, until you are no longer upside down in your loan.  You want to add it when you add the car as a lot of companies only add it within the first 30 days of your owning the vehicle.

One other way to take care of the Gap is to buy Replacement Cost Coverage on your car. Every company does this differently but in general, for a specified time, 3 years, 5 years or whatever length of time, they offer to replace your totaled vehicle with either one year newer vehicle or the current year vehicle.  So in the case of one of our companies, if Carrie had an accident in 2014, (this company offers 5 years of coverage) they will replace Carrie’s 2011 Ford Edge with a 2014 Ford Edge.

If you put down a substantial down payment or trade in a high value vehicle you may not need Gap Coverage.  You may owe far less than your car is worth.  And if you used alternate financing, such as a personal loan or a home equity loan, the Gap Coverage won’t pay out.  Coverage is only activated if there is a loan that uses the vehicle itself as the collateral.

Talk to your agent if you aren’t sure if you need Gap Insurance and to find out if Replacement Cost Coverage is available on your policy.  And enjoy your new vehicle!

Make sure that your business is protected, check out our website at http://www.clarkmortenson.com/news/wildfires to view the document we just received from Peerless Insurance.

Source: trustedchoice.com

We will be discussing items such as:

• What are the Small Business Tax Credits and does your organization qualify
• What is the timeline for the Healthcare Reforms
• What will the potential cost impacts be for both employers and individuals
• What are the new taxes on health plans, employers, and individuals

We will also allow time for questions throughout the webinar.

Register now by clicking here.

That’s why we have Trusted Choice Advisors to help us be ready for anything that life throws in our path.  Having your coverage through an agent can help you manage your policies; sometimes with several different carriers, sometimes all with the same carrier.  It helps to have someone look out for your best interest and make sure that no matter what the situation is, you have the right coverage. 

For example, with a loading and unloading exposure both your General Liability and Auto Liability coverages should be with the same carrier.  If you have the same carrier for Auto and General Liability then there is no question which carrier will pay, but rather which policy will support paying the claim.  For instance, a furniture mover would file a claim under his or her auto liability for damage done to a wall while moving a couch by hand from the truck to the living room in a house.  This is due to the fact that Auto liability covers exposure until the goods that are being moved are in their final resting spot.  However, if the same furniture mover was moving that same couch with a mechanical device such as a forklift and the same damage was done, then the coverage would be found under their General Liability policy.

Small changes to situations can change the way a claim would be covered, and even what policy that coverage would come from, so truly in insurance, “it depends”.  Talk to your Trusted Choice Advisor, speak about situations and scenarios that come up day to day and be sure that your coverages are adequate for all of these situations. 

It never hurts to call and ask for advice.  The answer to your questions may be that “it depends” but we will find a solution so that you are confident that “depending” on the situation, you, your family, or your business are properly covered and are ready for anything!

The joint rule from the Federal Motor Carrier Safety Administration (FMCSA) and the Pipeline and Hazardous Materials Safety Administration (PHMSA) is the latest action by the U.S. Department of Transportation to end distracted driving. In September 2010, FMCSA issued a regulation banning text messaging while operating a commercial truck or bus and PHMSA followed with a companion regulation in February 2011, banning texting by intrastate hazardous materials drivers.

Find a copy of the full rule here.

This Clark-Mortenson Insurance Regulatory Update provides an overview of the new rule which will affect approximately four million commercial drivers.

BACKGROUND TO THE RULE
Nearly 5,474 people died and half a million people were injured in crashes involving a distracted driver in 2009. Distraction-related fatalities represented 16 percent of overall traffic fatalities in 2009, according to National Highway Traffic Safety Administration (NHTSA) research.

While driver distraction studies have produced mixed results, FMCSA research shows that using a hand-held cell phone while driving requires a commercial driver to take several risky steps beyond what is required for using a hands-free mobile phone, including searching and reaching for the phone.

Commercial drivers reaching for an object, such as a cell phone, are three times more likely to be involved in a crash or other safety-critical event. Dialing a hand-held cell phone makes it six times more likely that commercial drivers will be involved in a crash or other safety-critical event.

Many of the largest truck and bus companies, such as UPS, Covenant Transport, Wal-Mart, Peter Pan and Greyhound already have company policies in place banning their drivers from using hand-held phones.

PROHIBITIONS FOUND IN THE RULE
The final rule prohibits commercial drivers from using a hand-held mobile telephone while operating a commercial motor vehicle (CMV). Also, motor carriers are prohibited from requiring or allowing drivers of CMVs to use hand-held mobile telephones.

Specifically, the rule restricts a CMV driver from holding a mobile telephone to conduct a voice communication, dialing a mobile telephone by pressing more than a single button, texting or reaching for a mobile phone in an unacceptable and unsafe manner (for example, reaching for any mobile telephone on the passenger seat, under the driver’s seat, or into the sleeper berth).

A driver of a CMV who wants to use a mobile phone while driving will need to use a compliant mobile telephone (such as hands-free) located in close proximity to the driver that can be operated in compliance with this rule. Essentially, the CMV driver must be ready to conduct a voice communication on a compliant mobile telephone, before driving the vehicle.

The rule contains an exception to the general prohibition. CMV drivers are permitted to use a hand-held mobile telephone when necessary to communicate with law enforcement officials or other emergency services. For example, they may use the phone to report an accident or a drunk driver.

APPLICATION OF THE RULE
The ban on use of hand-held cell phones applies to drivers of CMVs. A CMV is defined as a self-propelled or towed vehicle used on the highways to transport persons or property in interstate commerce; and that either:

• Has a gross vehicle weight/gross vehicle weight rating of 10,001 pounds or greater;
• Is designed or used to transport more than 8 passengers (including the driver) for compensation;
• Is designed or used to transport more than 15 passengers, not for compensation; or
• Is transporting any quantity of hazardous materials requiring placards to be displayed on the vehicle.

The new rule also applies to school bus operations and CMVs designed or used to transport between 9 and 15 passengers (including the driver), not for direct compensation, even though they are exempt from other FMSCA requirements. However, the rule does not apply to employees of Federal, state or local governments.

IMPORTANT DEFINITIONS
Driving, for the purpose of this rule, means operating a commercial motor vehicle on a highway, including while temporarily stationary because of traffic, a traffic control device, or other momentary delays. Driving does not include operating a commercial motor vehicle when the driver has moved the vehicle to the side of, or off, a highway and has halted in a location where the vehicle can safely remain stationary.

A mobile telephone is a mobile communication device that falls under or uses any commercial mobile radio service. It does not include two-way or Citizens Band Radio services.

Using a hand-held mobile telephone means:

• Using at least one hand to hold a mobile telephone to conduct a voice communication;
• Dialing or answering a mobile telephone by pressing more than a single button, or
• Reaching for a mobile telephone in a manner that requires a driver to maneuver so that he or she is no longer in a seated driving position, restrained by a seat belt that is installed

Texting means manually entering alphanumeric text into, or reading text from, an electronic device. This action includes, but is not limited to, short message service, emailing, instant messaging, a command or request to access a World Wide Web page, pressing more than a single button to initiate or terminate a voice communication using a mobile telephone, or engaging in any other form of electronic text retrieval or entry, for present or future communication.

Texting does not include:

• Inputting, selecting, or reading information on a global positioning system or navigation system; or
• Pressing a single button to initiate or terminate a voice communication using a mobile telephone; or (iii) Using a device capable of performing multiple functions (for example: fleet management systems, dispatching devices, smart phones, citizens band radios, music players, etc.) for a purpose that is not otherwise prohibited in this part.

Penalties for Noncompliance
Drivers who violate the restriction will face federal civil penalties of up to $2,750 for each offense and disqualification from operating a commercial motor vehicle for multiple offenses. Additionally, states will suspend a driver’s CDL after two or more serious traffic violations.

The rule implements new driver disqualification sanctions for drivers of CMVs who fail to comply with this federal restriction. The rule also contains new driver disqualification sanctions for commercial driver’s license (CDL) holders who have multiple convictions for violating a state or local law or ordinance restricting the use of hand-held mobile telephones.

Finally, commercial truck and bus companies that allow their drivers to use hand-held cell phones while driving will face a penalty of up to $11,000 for each violation.

                                                                                              Source: Dept. of Transportation

I’ve had a client who could afford to pay cash for a new $25,000 SUV and then not put comprehensive or collision coverage on it. In her words- “if I damage it I’ll pay for the repairs myself”. On the other side I had a client who bought a car at a yard sale for $300 and wanted collision insurance on it. I had to show him that the collision coverage was going to cost him more than he paid for the car. Most of us have tolerance levels that fall somewhere in between.

Before you take the comprehensive and collision coverage off your car you need to know what the car is worth. The online valuation services may not give you an accurate value. They can be very optimistic on how much your car is worth. You will find better numbers in the published guides which may be available in your local library. You also need to be honest with yourself about the overall condition of your car. Most of us tend to overrate the mechanical and appearance condition of our own cars.

So before you decide to remove the comprehensive and collision coverage from your car, be sure you know its realistic value and what amount of money you can put at risk. You should also check with your insurance agent to find out how much these coverages cost you and how much money you would save if you delete the comprehensive and collision coverages from your car.