What is your risk tolerance when it comes to investing?

/in , /by

Before deciding on an investment strategy and portfolio mix, there’s a crucial piece of information you need: Your risk tolerance profile.

Simply put, risk tolerance is defined as the amount of risk that an investor is willing to put up with given the volatility in the value of an asset or investment.

While everyone’s risk tolerance is different, several factors will help determine your individual risk tolerance — and the amount of risk you’re willing to take in your investment strategy.

  • Time horizon: How old, or young, you are and when you will need or want to use the money is a primary factor in your risk tolerance. Generally, the younger you are, the more time you may have to recover from losses in higher-risk investments. The older you are, the more risk averse you may be, worried that you won’t have time to recover from stock market losses.
  • Impact on lifestyle: The amount of money you are comfortable allocating to investments will contribute to decisions regarding your personal risk factor. If your lifestyle depends on the money you invest, your risk tolerance will be different from another investor whose money, if lost, won’t alter his or her day-to-day living.
  • Knowledge of investing: Some riskier investments require an in-depth knowledge of investing and may not be appropriate for someone who has limited knowledge. The more investing knowledge you have, the more comfortable you might be with a more aggressive portfolio.
  • Personal comfort level: Your natural inclination may be to be more aggressive, or more prudent, which can have an effect on your investment decisions.

Online investment calculators can help assess your risk tolerance and provide a hypothetical asset allocation mix for you to consider. Generally, these asset allocation models may vary depending on which calculator you use.

Here are three of the most common types based on a risk profile quiz, that you can take yourself:

  • Conservative: 70 percent cash/bonds, 30 percent stocks
  • Moderate: 40 percent cash/bonds, 60 percent stocks
  • Aggressive: 15 percent cash/bonds, 85 percent stocks

Additionally, there can be two extreme models, although either is unlikely in actual practice:

  • Short-term/No risk: 100 percent cash/bonds
  • Ultra-aggressive: 100 percent stocks

Your risk tolerance profile can help to appropriately diversify your portfolio for the level of risk you are willing to accept. Being diversified means combining a variety of assets to offset potential risks or volatility in any one particular asset. This strategy often works because different classes or categories of investments may not move in the same direction at the same time. One may go down in value, while another goes up. But while diversification can help mitigate risk, it won’t eliminate the chance of a market loss completely. Nor will it guarantee a profit.

By doing a little research, through reputable investment research firms or information provided by your employer-based 401(k) plan, you can fine-tune your investment portfolio. Your risk tolerance profile will help you select the right mutual funds, stocks, and bonds from the multitude available. And in the end, you’ll likely have a portfolio that meets your unique needs.

 

Provided by Matthew Clayson, courtesy of Massachusetts Mutual Life Insurance Company (MassMutual). CA Insurance License # 0I01304
©2024 Massachusetts Mutual Life Insurance Company, Springfield, MA 01111-0001 MM202708-310101

 

Physical Activity And Exercise

/in , /by
showing woman running for physical activity

Adults need 150 minutes of moderate-intensity physical activity weekly. However, the Centers for Disease Control and Prevention reports that only 1 in 4 adults receive the recommended amount of physical activity each week.

Why is exercise important?

Research shows that those who are physically active are likely to live longer, healthier lives.

Physical activity can lead to many benefits:

  • Weight maintenance
  • Reduced blood pressure
  • Improved blood sugar regulation
  • Improved mental health
  • Reduced stress
  • Stronger bone density

In addition, a person who has hypertension, diabetes or a history of smoking can greatly benefit from including regular physical activity in their daily routine.

What should be included in an exercise program?

There are three main components to a well-balanced program of physical activity:

  • Aerobic activity—Get at least 150 minutes of moderate-intensity aerobic activity (e.g., briskly walking) or 75 minutes of vigorous-intensity aerobic activity (e.g., running) every week.
  • Muscle strengthening—Incorporate muscle-strengthening exercises at least two days a week. For the purposes of general training, focus on two to three upper body and lower body exercises. Abdominal exercises are an important part of strength training as well.
  • Flexibility training—Flexibility training is important too, but it is frequently neglected, resulting in increased tightness as you age and become less active.

As with any change to your health and wellness regime, it’s important to talk to your doctor before you start exercising.

How can I get started?

Commitment to a regular physical activity program is more important than the intensity of your workouts. Choose exercises you are likely to pursue and enjoy, such as these activities:

  • Walking
  • Running
  • Stair climbing
  • Biking
  • Rowing
  • Swimming

Life is full of responsibilities that can pull you in multiple directions, and sometimes exercise takes a back seat to other obligations. But letting your fitness slip can create serious health risks down the road and make bad fitness habits even harder to break later on.

Where can I learn more?

For more information about exercise programs, please contact your doctor.

 

April Marks Distracted Driving Awareness Month

/in , /by

The National Safety Council designates April as Distracted Driving Awareness Month. This annual campaign is intended to raise awareness about the dangers of distracted driving and encourage drivers to minimize potential distractions behind the wheel.

Distracted driving contributes to nearly 400,000 injuries and 3,000 fatalities each year, according to the National Highway Traffic Safety Administration.

Distracted Driving Overview

The Centers for Disease Control and Prevention defines distracted driving as any activity that may divert a motorist’s attention from the road. There are three main types of distractions that can interfere with drivers’ attentiveness:

  • Visual distractions involve motorists taking their eyes off the road. Some examples include reading emails or text messages, looking at maps or navigation systems, and observing nearby accidents or roadside attractions while driving.
  • Manual distractions entail motorists removing their hands from the steering wheel. Key examples include texting, adjusting the radio, programming navigation systems, eating, drinking and performing personal grooming tasks while driving.
  • Cognitive distractions stem from motorists taking their minds off driving. Primary examples include talking on the phone, conversing with vehicle passengers and daydreaming while driving.

Regardless of distraction type, distracted driving is a serious safety hazard that causes a significant number of accidents on the road. As such, it’s crucial to take steps to prevent distracted driving.

Prevention Measures

During this annual event and beyond, it’s imperative for businesses to educate their employees about distracted driving hazards and related prevention measures. Specifically, businesses should share the following guidance with their drivers:

  • Put phones away. Drivers should silence their phones and store them out of reach to avoid checking them behind the wheel.
  • Plan every trip. Before hitting the road, drivers should program their navigation systems and familiarize themselves with their journeys.
  • Utilize in-vehicle technology. Drivers should leverage any technology within company vehicles that promotes safe driving, including hands-free communication devices, voice-activated controls and telematics solutions.
  • Avoid multitasking. While driving, it’s best for drivers to refrain from completing additional tasks, such as eating or adjusting the radio.
  • Stay focused. By keeping distracting conversations to a minimum and looking straight ahead, drivers can fully concentrate on the road.
  • Maintain compliance. Drivers should comply with all company policies and applicable laws regarding distracted driving.

Contact us today for additional risk management resources.

The content of this News Brief is of general interest and is not intended to apply to specific circumstances. It should not be regarded as legal advice and not be relied upon as such. In relation to any particular problem which they may have, readers are advised to seek specific advice. © 2025 Zywave, Inc. All rights reserved.

 

(AI) Artificial Intelligence in Cyber

/in , /by

Over the past year, all eyes have been on the impact of generative artificial intelligence (AI) on cyber insurance. First, the rise of generative AI will likely increase the frequency of cyber attacks. For example, there is a major concern that phishing attacks will become far easier and more effective for determined hackers.

Generative AI has the capability to craft cunning messages without the grammatical flaws that characterize many current phishing attempts. Moreover, generative AI’s data mining capabilities will further amplify these attacks, as the gathering of company-related information will become even easier to mine. Thus, expect more phishing attempts in the future, as generative AI’s ability to produce convincing deepfakes could lead to a rise in social engineering attacks.

For instance, a realistic deepfake of a company’s CEO could be used to deceive an employee into initiating a fraudulent wire transfer. It’s important to note that many of the safeguards that have been effective in the past may no longer be sufficient to counter AI-driven cyber attacks. This underscores the need for updated and robust security measures.

Hackers didn’t want to be left out of all the AI-related hysteria. So, they created a generative AI called WormGPT.

It was a first attempt, and most reports tend to believe that it has been a failure. However, there have been advertisements in hacker forums for machine learning experts to develop better large language models for nefarious purposes, but there could be a constraint on hackers creating AI models, as high-power computing and specialized Nvidia chips are required. Even companies like Google and Facebook are struggling to obtain these chips. So, it may be a while before these malicious models take off.

Ultimately, the most significant impact of generative AI may be a surge in cyber attacks. In light of this uncertain future, it’s imperative for companies to reevaluate their current insurance limits, and this reassessment will help determine whether the existing coverage will be sufficient in the face of a potential increase in claims.

AI Coverages?

Does AI pose any unique coverage-related risks under a cyber policy beyond an increase in claims? At present, most insurers do not appear to believe that there are any specific coverage issues caused by AI. In The Betterley Report’s “Cyber/Privacy Market Survey 2024,” the top cyber insurers were asked the following questions.

  • Any specific coverages related to AI?
  • Any definitions that relate to AI?
  • Any exclusions related to AI?
  • Any risk management services provided to insureds that are related to AI exposures?

Except for one insurer, all either answered these questions “No” or provided no response. Thus, the majority of insurers are simply keeping an eye on AI rather than directly modifying coverage under their policies.

An insurer in the survey, Coalition, took a significant step: It added affirmative AI language to its cyber policy. Specifically, Coalition included an AI security event in its definition of “Security Failure.” It also incorporated fraudulent instructions using deepfakes into its definition of funds transfer fraud.

Not to be outdone, another insurer, Districts Mutual Insurance, filed an endorsement titled Amend Definition of Fraudulent Instruction (Artificial Intelligence). That endorsement states:

The definition of Fraudulent Instruction is deleted in the entirety and replaced with the following:

Fraudulent Instruction means the transfer, payment or delivery of Money or Securities by an Insured as a result of fraudulent written, electronic, telegraphic, cable, teletype or telephone instructions provided by a third party, including any fraudulent instructions resulting from the use of deep fake technology, synthetic media, or any other technology enabled by the use of artificial intelligence, that are intended to mislead an Insured through the misrepresentation of a material fact which is relied upon in good faith by such Insured.

Fraudulent Instruction will not include loss arising out of:

  1. any actual or alleged use of credit, debit, charge, access, convenience, customer identification or other cards;
  2. any transfer involving a third party who is not a natural person Insured, but had authorized access to the Insured’s authentication mechanism;
  3. the processing of, or the failure to process, credit, check, debit, personal identification number debit, electronic benefit transfers or mobile payments for merchant accounts;
  4. accounting or arithmetical errors or omissions, or the failure, malfunction, inadequacy or illegitimacy of any product or service;
  5. any liability to any third party, or any indirect or consequential loss of any kind;
  6. any legal costs or legal expenses; or
  7. proving or establishing the existence of Fraudulent Instruction.

Source: Districts Mutual Insurance, Amend Definition of Fraudulent Instruction (Artificial Intelligence) (DMI—BR E16416 5-24).

It will be interesting to see whether other insurers add similar language to their cyber forms.

Start Financial Planning With 3 Baby Steps

/in , /by
financial planning session

Does the idea of financial planning — putting together a system for keeping your money matters and goals on track — seem daunting?

Then divide the task into smaller pieces.

Here are some small steps you can take immediately, in the coming week, and for the month that can help set a direction for your finances. These baby steps can be your start.

Financial planning steps for today

Make a budget. The first step in any personal finance effort is getting a handle on the amount of money you have coming in and going out. Making a budget lets you do that. And, in the process of putting one together, a budget helps you think about the priorities you have for your finances.

Here’s some guidance to help you put a budget together. For most people, the process isn’t that time-consuming.

If you already have a budget, you may want to revisit it and make adjustments, especially if your income has changed or you have incurred a major expense recently.)

Establish an emergency fund. If you don’t have an emergency fund, you need to start one. And you need to make consistent contributions to it as part of the budgeting process.

Generally, financial professionals suggest that the fund be held in a liquid interest-bearing account, like a money market account, savings account, or even a short-term certificate of deposit. Such accounts are generally straightforward and relatively quick to open. The money in your emergency fund typically should cover three to six months’ worth of living expenses, although recent bouts of severe unemployment have led many money mavens to suggest putting aside even more.

Get a Social Security account and report. Whether your retirement is looming or still a long way off, it’s a good idea to keep track of what your financial resources are likely to be. Social Security will likely be one of those resources. To find out how your personal Social Security account is shaping up, you need to go to myAccount on the Social Security web site and create your account. Then you can access your so-called “blue bar” report, which is a useful tool for those who want to know more about their benefits.

Many people don’t keep track. But it’s important information since it can flag retirement income issues you may face while you still have the time and the means to address them. So, take a few minutes to go to www.socialsecurity.gov/myaccount and follow the prompts

Financial planning steps for this week

Check your retirement contributions. A lot of times, people take a set-it-and-forget-it approach to their retirement accounts, especially those that are part of their workplace benefits, like 401(k)s. But it is important to periodically review such accounts and make sure you are getting the maximum benefit.

First of all, make sure that you are signed up for the plan. Some companies have a waiting period, and employees, having fallen into a routine after a few months, forget to take action.

Once in the plan, keep vigilant.

For instance, if you got a promotion or raise, you may want to consider increasing your contributions accordingly. Or, if you are old enough, you may have an opportunity to take advantage of some of the catch-up provisions available for those looking to bolster savings as they approach retirement.

And, perhaps, your company has changed matching levels for its 401(k) or has added investment options since you last checked. You’ll need to reach out to your benefits department to get the latest information and updates on your company-sponsored retirement plan sent to you.

Prioritize your debt. As part of the budgeting process, you no doubt got an idea of your debt load. The next, deeper step is to sort out those obligations. Generally, you want to pay off higher interest debt — like a credit card — first, while keeping current on less impactful debt.

Find a financial professional. For many people, expert financial advice can end up saving them lots of time and money in the long run. But it’s a relationship that has to connect on a number of levels.

You may want to look at professionals or services near you and ask friends, colleagues, or family for recommendations. If there is a financial services firm you particularly like, you can reach out to that firm directly.

Financial planning steps for this month

Portfolio review. It’s important to go over your investments periodically, especially in the face of changing circumstances and environments. You should dedicate a little time to it.

First of all, you need to collect information and examine all your investments, be they retirement accounts, like 401(k)s or IRAs, or brokerage accounts holding stocks, mutual funds, bonds, or exchange-traded funds. Then, you should look at the performance and nature of those investments and assess whether or not they still fit your goals and risk profile.

Remember, your risk profile is likely to change over time. Younger investors can tend to take on more risk, since they have time to recover from downturns, while older investors likely want to have less risk in their holdings, since retirement is nearer.

With that in mind, you can look at the entirety of your portfolio and determine if you have the proper asset allocation in place. That is, whether you have the right mix of higher risk and lower risk investments.

Taxes. Most people only think about taxes at year-end or around the tax-filing deadline. But it can pay to assess where you stand more frequently.

Specifically, taxpayers should check their withholding and make sure they’re on track to pay what they owe and nothing more. If you withhold too much, you’ll get a refund, but you will have missed a chance invest that money for compounded growth or to pay off debt. On the other hand, if you withhold too little, you could be surprised by a tax bill (or worse, an underpayment penalty) when you file your income taxes.

Meet your financial professional. Assuming you took the step above, your meeting with your financial professional should come within the month. You need to prepare for it, especially if it is your first meeting.

You need to approach it with an idea of the goals you want to accomplish and the topics you wish to discuss. Some questions to consider include:

  • Is your retirement plan on track?
  • Do you need to adjust your asset allocation?
  • Do you need help setting up an estate plan?
  • Is the appropriate amount of insurance protection in place for your family should something happen to you?

Conclusion

Obviously, there are more personal finance planning steps you can take, throughout the year or even a lifetime, to help keep your financial situation grounded. But the steps here — for a day, a week, or a month — can give you a start.

Provided by Matthew Clayson, courtesy of Massachusetts Mutual Life Insurance Company (MassMutual). CA Insurance License # 0I01304
©2024 Massachusetts Mutual Life Insurance Company, Springfield, MA 01111-0001 MM202708-310101

Emerging Wellness Trends in 2025

/in , /by

The days of compartmentalizing physical, mental, financial and emotional well-being are over. In 2025, organizations are adopting a holistic approach that considers the entire employee. Expanding all aspects of wellness support is meant to help meet workers’ needs and expectations. While organizations may have already increased their mental health support in the past few years, some are now pivoting and ramping up financial wellness efforts in 2025.

This article highlights four employee wellness trends to monitor in 2025.

Addressing Employee Burnout

Many of today’s workers are burnt out; a recent report by talent advisory firm DHR Global revealed that 82% of employees are experiencing burnout. While health experts used to correlate remote work with positive mental health benefits, in 2025, they’re predicting equal levels of stress and burnout regardless of working location. So, unfortunately, employers shouldn’t expect employee burnout to disappear anytime soon.

Top drivers of employee burnout include long hours (58%), overwhelming workloads (35%), and difficulty balancing work and personal life (34%), according to DHR Global’s report. Burnout can be caused by stress, so employers are also looking at how stress shows up in the workplace and impacts employees. A recent survey by corporate wellness platform Wellhub found that nearly half (47%) of workers identify work stress as the primary cause of their deteriorating mental health—and that was consistent across most generations. Baby boomers are more concerned about inflation, while Generation Z, millennials and Generation X agreed that work stresses them out the most.

In an effort to prevent and alleviate rising levels of stress and burnout, more organizations are prioritizing flexible work arrangements, mental health days, realistic workload expectations and designated downtime to help employees maintain a healthy work-life balance. Employee assistance programs (EAPs), counseling services, stress management workshops and digital platforms for mental health assistance are increasingly becoming key components of workplace wellness initiatives. More employers are also investing in resources to destigmatize mental health (e.g., anti-stigma campaigns, mental health literacy training and EAPs) and foster a culture where employees feel comfortable seeking mental health support.

Prioritizing Financial Wellness

Money is a significant stressor for employees, and concerns have been exacerbated by prolonged inflation pressures over the past couple of years, growing debts and skyrocketing medical costs. In fact, more than 6 out of 10 Americans currently live paycheck to paycheck. PYMNTS Intelligence data also revealed that people say the top reason is that they don’t earn enough. While many organizations’ budgets are prepared for salary increases in 2025, they may still be insufficient to keep up with inflation.

Moreover, health care costs will once again increase substantially this year. Add all these financial responsibilities up, and it’s no wonder that workers today are worried about how they will earn a living and pay their bills.

Employers can help reduce employees’ financial stress by exploring financial wellness resources and support options and offering attractive programs for current and prospective employees. In addition to raising wages and offering competitive benefits, employers are exploring financial wellness resources, such as emergency savings funds, retirement savings, financial literacy workshops and one-on-one financial counseling. Financial wellness is a critical component of well-being and can be a competitive offering, especially as workers closely examine their salaries, medical bills and everyday expenses. Today’s workers are not only asking for but now expecting these lifelines from employers.

Engaging Employees Through Social Connections

According to Gallup, employee engagement in the United States reached an 11-year low in 2024. Additionally, employee satisfaction returned to a record low, and workers are seeking new job opportunities at the highest level since 2015. Organizational changes (e.g., team restructuring, additional job responsibilities and budget cuts) often cause employees to feel frustrated or disconnected from their jobs. Remote and hybrid work models can also make employees feel physically distant from their colleagues and teams.

While employee quit rates haven’t increased yet, a troubling trend is at play. Workers are staying with their current employers but feel more disconnected than ever. Gallup has coined this new era as “the Great Detachment.” Before workers start switching employers by the masses in 2025, organizations have an opportunity to reengage their workforce and rebuild employee commitment. Some ways to accomplish this can be by confirming organizational priorities and, if needed, resetting work expectations. More than ever, workers want to feel like their work is meaningful and has a purpose, which can further motivate them. Managers and supervisors can help direct reports connect their contributions to a mission or purpose.

Personalizing Wellness Programs With AI and Data

Recent technological advancements in employee wellness incorporate digital health platforms, wearable technology, artificial intelligence (AI) solutions and data analytics. More employers will explore leveraging technology to personalize employee wellness benefits.

Technology can enable real-time health monitoring, personalized wellness plans and immediate, 24/7 access to health resources and services. Virtual health platforms can help overcome barriers to health care access. With AI, organizations can also gather data on employee health metrics, work habits, stress levels and preferences. This kind of data can be used to customize wellness recommendations and detect or manage health issues. Nutrition, exercise, mental health and stress management are different for everyone, so AI and data analytics can help tailor support to match each person’s unique needs. As AI becomes more commonplace in 2025, technology has the potential to help personalize and improve employees’ well- being experiences and encourage preventive care.

Summary

This renewed focus on holistic wellness is not just a trend; it’s a fundamental shift in how companies approach employee care. By prioritizing mental, emotional and financial well-being in health and wellness initiatives, organizations can create a supportive culture that encourages education, open conversations and utilization of available resources.
Organizations can start by evaluating current wellness initiatives and considering ways to improve them. To ensure offerings and investments resonate with the workforce, it can be helpful to survey employees first to see what they find most valuable and necessary for their overall well-being. Contact us for more wellness-related workplace guidance.

This Benefits Insights is not intended to be exhaustive nor should any discussion or opinions be construed as professional advice. © 2025 Zywave, Inc. All rights reserved.

Drones, Electric Bikes, and Scooters: Is Insurance Necessary?

/in , /by
Drone flying - do you have insurance

Recently, there has been extensive media coverage regarding notable drone activity along the East Coast. Analysts and commentators are emphasizing a notable and rapid increase in the usage of drones across various settings, which raises important conversations about safety and liability.

If you’ve spent any time in urban areas recently, you may have noticed the prevalence of electric scooters and electric bikes alongside the growing number of drones in the skies. These new modes of transportation are becoming part of the urban landscape, and they share a critical issue: a significant majority of private operators and users do not have adequate insurance coverage.

There are several reasons for this lack of insurance:

  • Most homeowners’ and auto insurance policies explicitly exclude coverage for aircraft-related activities, which encompasses drone usage.
  • Standard homeowners’ insurance typically does not extend coverage to electric vehicles, including electric scooters and bicycles.
  • Auto insurance policies are usually limited to registered vehicles, leaving many users of electric scooters and bicycles vulnerable in the event of an incident.

All three—aerial drones, electric bikes, and electric scooters—possess the potential to cause considerable bodily injury to others in case of an accident. This highlights a substantial gap in liability protection for users of these vehicles.

If you are actively operating drones, or using electric bikes or scooters, it is crucial to take proactive measures. We strongly encourage you to reach out to your Cleary Account Manager to discuss your current situation and explore the coverage options that may be available to you. Understanding your insurance needs can help protect you and others from unforeseen incidents.

Employer of Record and Drones: Two Challenges Employers Face

/in , /by
Commercial owned drones and Employer of Record

As we enter 2025, two common issues have emerged that pose potential coverage problems for an organization’s financial well-being: Employer of Record Agreements and the use of drones.

**EMPLOYER OF RECORD AGREEMENTS** 

More U.S. companies are hiring talent from around the globe, thanks to advancements in technology that simplify communication, expand operational hours, and facilitate talent acquisition. To manage global hiring, organizations often turn to Employer of Record (EOR) services such as Globalization Partners, Oyster HR, and Velocity Global. These EOR organizations handle payroll, taxation, benefits, and local legal compliance for the U.S. entity.

However, an unintended consequence of this arrangement is that an organization might discover it lacks coverage after a loss caused by an EOR employee. Insurance policies typically have clauses that define “Who is an Insured.” While employees are generally considered insureds, policies also specify what constitutes an employee. If a policy’s definition excludes EORs, coverage for losses arising from EOR employment issues will not be available for the U.S. organization or the individual named in a lawsuit.

Furthermore, different policies issued by the same carrier may have varying definitions. For instance, General Liability coverage might include protections that are absent in Professional Liability policies.

When reviewing insurance programs, it is critical to:

  • Identify where the organization has “employees” and determine if any non-U.S. talent falls under an Employer of Record program. If so,
  • Collaborate closely with insurance carriers and underwriters when applying for or amending coverage to ensure that EOR employees are properly covered.

Many organizations, insurance brokers, and carriers may not be aware of this challenge, making it essential to recognize and address it promptly. Please reach out to your Cleary Account Manager to discuss whether EORs are being utilized.

**DRONES** 

Drones are increasingly used in commercial operations, benefiting industries such as roofing, real estate, and insurance adjusting. They allow for safer and more efficient property inspections, often from a distance, which can be beneficial for risk management in Workers’ Compensation.

However, this innovation presents potential challenges for an organization’s General Liability (GL) exposure. GL insurance typically provides coverage for bodily injury and property damage to others. If a drone causes injury or damage, one would generally look to the GL policy for defense and settlement coverage. The complication arises from the GL policy’s list of exclusions, which commonly includes the use of aircraft.

If your organization is using drones, please contact your Cleary Account Manager to discuss the implications for your coverage.

Embracing A Digital Detox

/in , /by
Group of diverse people using smartphones

Technology has become such an integral part of life that it may be hard to imagine functioning without it. Beyond work, people depend on technological devices for information, communication, and entertainment. However, constant attachment to these devices can have harmful effects on your mental health. To combat these issues, you may consider a digital detox. The National Institutes of Health defines “digital detox” as a disconnection from devices or social media for a defined duration.

A survey by the American Psychological Association (APA) found that constant digital connectivity is linked to higher stress levels, with nearly 1 in 5 (18%) adults identifying technology use as a major stressor in their lives.

This article explores the effects of heavy technology use on mental health and offers practical tips for effective screen timemanagement with digital detoxing.

The Impact of Technology on Mental Health

Many people are hooked on tech gadgets for a reason. Checking these devices stimulates the brain’s reward system, causing the body to release dopamine, the pleasure hormone. However, these pleasurable activities can become addictive. Excessive screen time has also been linked to mood swings, suicidal tendencies, and increased stress and anxiety.

Studies suggest that excessive use of digital devices can have detrimental effects on mental health. For example, checking social media in bed at night has been found to increase the likelihood of anxiety and insomnia. Research also suggests that frequent technology use can lead to feelings of isolation, difficulty focusing, tech addiction and slower brain development.

Consider unplugging if you’re experiencing any of the following symptoms:

  • Increased anxiety
  • Increased anger or irritability
  • Depression
  • Poor sleep quality
  • Feelings of insecurity
  • Difficulty concentrating
  • Dependence on validation from social media
  • Fear of missing out

Benefits of a Digital Detox

Taking a break from digital devices is crucial to maintain balance and overall well-being. It helps reduce stress and improvessleep quality. When you step away from technology, you become fully present for yourself and for others, allowing for moremeaningful social connections. Furthermore, digital detoxing has significant mental health benefits. Studies show that peoplewho refrained from social media reported lower stress levels and improved self-image. Additionally, taking a technologytimeout allows you to be mindful of your online habits and form healthier routines, ultimately leading to higher productivity.

Simple Strategies for a Digital Detox

The APA survey also revealed that while 65% of Americans agree that occasionally unplugging or taking a digital detox isimportant for mental health, only 28% actually do so. Begin your digital detox by determining which behaviors you’d like toaddress and creating a plan that works for you. Try these strategies for an effective digital detox:

  • Turn off notifications. Notifications are distracting and can hinder productivity. Consider turning off as many as you can to minimize interruptions.
  • Use digital detox tools. Plenty of devices have built-in tools that can silence notifications or disable apps for a certain period. Research shows that those who use digital detox tools (e.g., iOS Screen Time or Google Play’s Digital Wellbeing)are less apt to use their smartphones compulsively and, thus, more likely to avoid the negative effects of social media.
  • Start your day tech-free. Many people pick up their phones and start scrolling when they wake up, but Stanford Lifestyle Medicine Program experts say this behavior activates the fight-or-flight response. This not only creates a sense of anxiety but also conditions the brain to be more hypervigilant. Instead, use the first hour of the day for activities such as exercising, spending time outside or preparing a healthy breakfast. The goal is to create a morning routine that sets a positive tone for the day and supports brain health.
  • Take periodic breaks from technology. Eliminating the use of all digital devices may not be realistic, especially if you use them for work. Instead, set limits for how much time you spend on social media each day or designate certain times for phone use. You can also consider ways to make small changes, such as chatting with someone face-to-face rather than using your phone.
  • Create gadget-free zones. Designate specific areas in your home, such as dining rooms and bedrooms, where gadgets are not allowed. This allows you to be more present and encourages tech-free activities, such as baking, reading, doing crafts, and playing cards or board games.
  • Reach out for support. Family and friends can offer emotional support during your digital detox. They can hold you accountable and keep you motivated when you’re struggling to stick to your goals.

Conclusion

While technological devices aren’t inherently harmful, overuse can negatively affect your physical and mental well-being. Witha digital detox, you can break unhealthy habits and embrace more balanced, healthier alternatives.

Contact a mental health professional for further guidance.

5 Forces Driving Commercial Auto Costs

/in , /by

Over the past decade, auto insurance rates have increased steadily, well exceeding the rate of inflation over the same period. But what’s driving this upward trend? Explore factors that have significantly impacted the rates for commercial auto.

  1. Bodily injury loss costs
    In the five-year period from 2018 to 2022, auto severity has increased a substantial 40% even as frequency has declined.1 Causes include an increase in deadly accidents, rising verdicts in legal cases and medical cost inflation. In fact, the latter is expected to grow 7% in 2024, up from 6.0% in 2023 and 5.5% in 2022.2
  2. Attorney involvement
    With attorneys actively pursuing auto accident business, more claimants now have legal representation. These claims see higher rates of expenditures for medical procedures and treatment.3 A complete fleet management program can help reduce your exposure.
  3. Distractions and impairment
    Distractions behind the wheel, from vehicle infotainment systems and mobile devices to driving under the influence, can lead to significant risks: 30% of companies surveyed reported that they have employees who have been involved in crashes due to mobile phone distraction, and deaths due to preventable crashes are up 18% versus pre-pandemic levels.
  4. Inexperienced drivers
    Resignations and retirements are leading to a shortage of commercial operators, increasing the chance that less experienced replacement drivers are behind the wheel. Operators in new vehicles and covering new routes can also contribute to an increase in accident rates.
  5. Vehicle repair and replacement costs
    Autos have become more expensive to insure and repair. Newer vehicles are outfitted with advanced materials and technology designed to make driving more comfortable and safer. When these vehicles are involved in an accident, costs can be high, and labor shortages and inflation have only exacerbated the issue. In fact, motor vehicle parts and equipment costs have increased almost 24% since September 2019.5 Meanwhile, used car prices are still up almost 47.9% in 2023 compared to the average from 2015 to 2019, despite recent softening.6 This directly impacts the cost of claims in the event of a total loss. Finally, rising auto thefts are further contributing to increased claim costs.

Travelers 5 Forces Driving Commercial Auto Insurance Costs

https://www.travelers.com/resources/business-topics/insuring/commercial-auto-risks-that-can-increase-insurance-rates

Sources
1 LexisNexis Risk Solutions Auto Insurance Trends Report2 Health Research Institute3 Attorney Involvement Keeps Claims Soaring (June 2023, The Institutes)
4 Travelers 2023 Risk Index – Distracted Driving
5 Auto Insurance: The Uncertain Road Ahead (2023, APCIA)6 Edmunds Used Vehicle Report (Q3 2023)