Insurance Insights: The Cleary Insurance Blog
The Cleary Insurance blog covers insurance, risk management, and financial planning for New England businesses and individuals. Our team of licensed advisors and specialists publishes regular articles on commercial and personal coverage, employee benefits, life and financial planning, and insurance compliance. Browse recent articles below, or use the category filters to find topics relevant to your business or personal situation.
Spring Cleaning Safety
Ah, springtime. That glorious time of year when you suddenly realize the lawn needs mowing, the garden needs weeding and the house could use a fresh coat of paint. But with many families’ budgets a little tighter this year, buying new spring-cleaning tools isn’t always possible.
Using last season’s tools is a good idea, provided they’re in good condition and can be used safely. The last thing you want to do is take a trip to the emergency room. Yet that’s exactly where more than 350,000 people end up every year, thanks to injuries from improperly used ladders, lawn mowers and power garden tools. So before you get too ambitious, take a few precautions to help keep your family safer.
- If you’re reusing last season’s lawn and garden power tools, inspect them for frayed power cords and cracked or broken casings. If the item is damaged, have it repaired by a qualified technician or replace it.
- Never carry a power tool by the cord or yank a power cord from a receptacle. When disconnecting the cord, always grasp the plug, not the wire. Keep cords away from heat, oil and sharp edges.
- When pulling out the lawn mower for the first time this year, refresh your memory by reading the owner’s manual. Be sure you know how to stop the machine in case of an emergency.
- If you have a gasoline-powered mower, store the gas in a UL Classified safety can.
- Always start your mower outdoors. Never operate it where carbon monoxide can collect, such as in a closed garage, storage shed or basement.
- Don’t operate an electric or gas-powered lawn mower on wet grass.
- When you’re through with power tools and garden appliances, store them away from water sources to avoid electric shock. Never use them in the rain.
- Whether your ladder is brand new or it has seen a few spring cleanings, read the instructions and warning labels before using it. They’ll help you choose the right ladder for the job and describe ladder weight and height limits.
- Remember the 4-to-1 rule. For every four feet of ladder height, the bottom of the ladder should be one foot away from the wall or object it is leaning against.
- Use a fiberglass ladder if you’re working near electricity or overhead power lines.
- If you purchase new tools this spring, look for the UL Mark, which means representative samples of the product have been tested against stringent safety standards for fire, electric shock and other safety hazards.
Concerned about your personal insurance coverage? At Cleary, our experienced Personal Lines department will work with you to evaluate your insurance needs, identify exposures, and create a customized insurance portfolio. Give us a call today at 617-723-0700.
DOL Finalizes Executive Order and Summarizes SCA Audits
DOL Finalizes Executive Order # 13495
Executive order # 13495 pertaining to “ Nondisplacement of Qualified Workers” was finalized on January 18, 2013. The ruling ensures qualified workers on a Federal Service Contract who would otherwise lose their jobs as a result of the completion or expiration of a contract will be given the right of first refusal for employment, with the successor contractor. Generally, a successor contractor may not hire any new employees under the contract until the right of first refusal has been provided. This order applies to a successor for the performance of the same or similar services at the same location.
This order defines service contracts or contract to mean any contract or subcontract for services entered into by the Federal Government or its contractors that is covered by the McNamara-O’Hara Service contract Act.
You can review FAR 52.222-17 for more comprehensive details about this new executive order. Also, look at Fact Sheet # 67A: Nondisplacement of Qualified Workers on www.dol.gov that provides a more detailed explanation about the order and whom to contact if you have more questions.
DOL Audit Statistics for FY 2012
In Fiscal Year 2012, the Wage and Hour Division (WHD) in Washington DC collected more than $32 million dollars in back wages for underpaid Davis Bacon workers as the result of more than 50 project investigations. The Branch’s work exceeded the overall strategic plans call for an increase in enforcement of the Service Contract Act.
The coordination of this goal resulted in resolving 858 SCA cases and collecting $44,888,935 in back wages for approximately 15.6 million service employees. Of the 858 cases, 634 were found in violation under SCA. In addition there were 19 SCA debarments processed in FY 2012.
Having knowledgeable personnel capable of handling a DOL audit can protect you from wage settlements and possible debarment. For more information contact MARAL, LLC (acorvigno@marallc.com) and set up a one-day SCA/DBA training seminar for your employees.
At Cleary, we know how important a comprehensive benefits package can be to your continued success. Give us a call today at 617-723-0700 and we will work with you to create a plan that meets your fringe-benefit obligations and provides your employees with valuable benefits.
New Financial Reporting Option for Small Private Businesses
Private, for profit businesses have few choices when it comes to financial reporting for purposes of securing a loan or a surety credit. These entities must adhere to the U.S. Generally Accepted Accounting Principal (GAAP) statements or they will run the risk of not qualifying for credit. However, GAAP often requires a great deal more information than is actually needed to understand the performance of their business.
The Sarbanes Oxley Act and other mandated financial reporting regulations for large and publicly traded companies have trickled down and started to hamper the ability of Small and Medium Sized (SME) entities to provide financial reports that are truly meaningful to their owners, lenders and sureties.
The American Institute of Certified Public Accountants (AICPA) has come up with a new Financial Reporting Framework (FRF) that will be a less complicated and therefore a less costly reporting option for these SME’s.
In the past, my suggestion to clients looking for surety credit was that they use a CPA, not a tax accountant or tax preparer for their financial presentation to a surety. However, under the suggested new framework for SME’s they would have the option to use these other “non-certified” practitioners. Will the sureties or lenders embrace this change after pushing for GAAP CPA statements for so long? Time will tell.
At Cleary, we will evaluate your business exposures and work with you to develop a comprehensive plan to safeguard your business. Give us a call today at 617-723-0700.