Scott’s Rules of Insurance – Rule 3 – Preventing A Loss Is Better Than Being Insured

Rule 3 - Preventing a loss is better than being insured. Limiting a loss is the next best thing to preventing it.I consider any loss as a failure in some system. Build operations and procedures to prevent and limit loss. Place backups. Create stop-gaps and fail-safes. Inspect your electrical systems annually. Install water-usage alarms to … [Read more...]

Redundancy and Fail-Safes Part 2

What do you do when a service you depend upon evaporates?Think of all the parts to your business.  Think of the suppliers, vendors, services, contractors, and other cogs that mix together to create the value that is your business.--You lose your electricity.  What do you do?--You lose your water supply.  What do you do?--Your key supplier sends an … [Read more...]

Redundancy and Fail-Safes

How many systems failed in the BP Gulf of Mexico oil spill?How many different things went wrong, all at the same time.Can the same thing happen in your business?  Sure it can.Can the same thing happen to you in your personal life?  Sure it can.Shouldn't we be thinking about the fail-safe on the fail-safe?I've been backing my computer up for fifteen … [Read more...]

The Endorsement All Contractors Need

Is there a chance your business can damage property owned by someone else?Do you work at your customer's location? If you burned down a customer's building, would you expect your insurance to pay for the damage?If so, there is probably a hole in your insurance coverage.Think about a painter. He sends his team into the customer's office one night … [Read more...]

Video Security Equipement

In the past two days I have received two catalogs of video security equipement. The technology is at a point (as is the price) that I cannot understand why any business would not have a video system monitoring the parking lot, sensitive areas such as cash registers, and exits. For $600, you can have a full system of DVR, 8 cameras, software, … [Read more...]

Drug Testing

Consider a drug testing policy for your employees. There are testing labs in almost every community that can help with the process. There are also DIY kits you can buy at many drug stores. Drug and alcohol abuse can be the cause of huge expenses for businesses - impaired driving, workplace accidents, theft losses...Check with your employment … [Read more...]

Loss of Your Records

Valuable papers insurance will pay to help you recreate your business records lost in a fire. Standard fire insurance will pay for the equivalent blank paper lost (yes, blank copy paper). Valuable papers insurance will pay for clerical help, and the expense of gathering the information lost.Big deal! You're better off protecting the records you … [Read more...]

The Ten Commandments of Data Backup

I Thou shalt have a plan to backup your data.II Thy plan must include laptops.III Remote-est locations such as home-eth offices and telecommuters must be included in thy plan-eth.IV Thou shalt test thy backup plan by deleting-eth a file and retrieving it to its proper place from thy backup.V Your plan is run by mortals and will therefore devolve … [Read more...]

Consumer Protection Laws Are Risky To You

Understand the Consumer Laws That "Protect" Your CustomersGo to your state's website. Search the term, "consumer protection." You may be surprised at the breadth of protections, prohibited practices, anti-trust issues, and the like that are outlined. - Hide quoted text -Think of the negative publicity that can come from a local news story … [Read more...]

Lost Wallet

A friend lost his wallet recently.Have a list of the credit cards you carry plus the telephone numbers for the credit card companies.  If you lose your wallet you can quickly call to put a stop to further charges.Obviously store the list someplace you can access - not in your wallet. … [Read more...]