Category Archives: Insurance / Employee Benefits

By Susan Elise Campbell

Cyber crime is on the rise so rapidly that more U.S. businesses have been victims of attack than not. Here in the North Country, companies with 10 to 50 employees are frequent targets said Kevin O’Brien, president of TechFirst Insurance Agency in Queensbury.

“Most mid-sized companies do not have a computer techie on staff guarding the entryways,” said O’Brien, who is co-partner with Mark Shaw, founder of StoredTech, a local IT services firm. “The discussion right now is not if you’re going to get attacked, but when.”

O’Brien said that “when a bad actor enters into their computer network, the business must report to the state.” One benefit of cyber insurance is the needed legal counsel to navigate those requirements. 

But as cyber criminals “get smarter” at what they do, O’Brien said companies need a policy to cover notifying everyone whose personal data has been stolen, lost revenue, data reparation, and much more. 

“Cyber crime is so regular that all businesses need to put money up for insurance, because it impacts not only your business, but your clients, vendors, advertisers, and anyone whose payment information and personal data you may be storing,” he said.

With so many levels of risk, O’Brien said it is not enough to have cyber coverage as an add-on to a general liability policy. There needs to be a stand-alone policy specific to that business.

“Proper protection is like a smoke alarm, he said. “When there’s a fire in the business, everyone hears it and gets out safe.”

By David Kopyc

The Baby Boomer generation will pass on an estimated 80-plus trillion dollars of wealth to their family, and this will be the largest wealth transfer in the history of mankind. There are certain types of financial assets that are very complicated to be passed on to the next generation and this article will focus on one in particular – qualified assets (IRA, 401(k). 

Qualified assets are estimated to be around $20 trillion of wealth. As I write this article, a vast sum of the money will be 100 percent taxable as ordinary income and never receive a step up in basis at death. These monies have a huge tax obligation sent down to your heirs to pay the tax bill that you left behind.

Previously, financial advisors had the ability to do a stretch IRA, to spread these payments out for decades, but the government discontinued the stretch IRA and now non-spouse beneficiaries have 10 years to have 100 percent of the inherited IRA paid out. That leads me to ask you a question…Do you want to leave a tax liability or do you wish to leave a tax-free benefit for your legacy?

Deciding on that answer can lead you to consider purchasing a life insurance policy to pass some of your qualified assets tax-free to your loved ones. This option does not have to be all or none. At the Retirement Planning Group, we usually do a carve out, with a portion of the qualified assets to be spent down to purchase a life insurance policy. Some of these policies can be paid for over a 10-year, 20-year, or lifetime payout. Depending on your other assets and the size of your estate, you might even have the ability to do a one-time payment.

Life insurance isn’t something only the wealthy use for wealth transfer and estate preservation.  There are several unique features of life insurance, but the two that are most beneficial are tax-free and guaranteed values. Many of our clients have used life insurance for a guaranteed wealth transfer, especially if you are in a blended family and you have a substantial age difference between spouses.

By Melissa Davidson, CIC

The holiday season is a critical time for businesses, especially those in retail. With the surge in sales, there is also an increase in inventory to meet the demand. While this can lead to substantial profits, it also introduces significant risks. Business insurance for inventory during the holidays is essential to protect your investment and ensure your operations run smoothly. Here’s what you need to know.

Understanding the Risks: The holiday season presents unique challenges for businesses. Some of the most common risks include; theft & burglary, fire hazards, damages in transit, and natural disasters.

With the increased flow of customers and high-value inventory, the risk of theft and burglary rises. Seasonal hiring may also mean less experienced staff who may be less vigilant about security protocols. These temporary employees, while essential for handling the holiday rush, might not have the same level of training or loyalty as permanent staff, which can inadvertently increase the risk of internal theft.

Holiday decorations, increased electrical usage, and heating can elevate the risk of fire. Dry Christmas trees, decorative lights, and heating systems running at full capacity can contribute to potential fire hazards. The festive atmosphere often leads businesses to add extra lighting and decorations, which, if not properly managed, can become fire hazards. It’s crucial to regularly inspect all electrical decorations for frayed wires and to ensure that real Christmas trees are kept hydrated to prevent them from becoming fire risks.

By Michael Cruz

We spend a lot of time thinking about how to attract and retain employees.  Pay rates, time off, health care, 401Ks and more. 

Yet, the number one reason people leave is that they do not like their boss. Number two is that they feel unappreciated. And third is that they do not like the company’s culture.

You have a culture at your company. If your company is large, you probably have some culture statement. They often start with “We have respect for our customers and employees.” Then, that new employee gets publicly berated by a coworker—or worse their manager. Do you think that they now believe the culture document?

If your business is smaller, you may think you are too busy to spend time worrying about that ‘soft’ stuff. The key message here is that you already have a culture. In this case, one that is unwritten and passed down by employees. 

All organizations have culture. Merriam Webster defines culture as “the set of shared attitudes, values, goals, and practices that characterizes an institution or organization.” Wiki says it is “the values and beliefs; language and communication; and practices shared by a group of people.” Thus, you have a culture at work, at church, with friends and even in your family.

Normal people do their very best to adapt to different cultures. We try to “fit in.” Think about the first week for someone new to your company. They are quieter at the beginning. Normal people observe for a while. They want to assess what is expected. 

By Bill Strauss

Your home is where memories are made and it’s also a major investment. It’s the haven you’ve created to live your life in safety and comfort and do what you love most. Cozy dinner parties for two. Tinkering on a classic car. Raising a family.

Home insurance is not required by law, but if you have a mortgage, your lender can require you to have insurance until the loan is paid off. It is there to help you protect what matters most, wherever you call home. It’s there to help you ease the financial burden of repairing or rebuilding your home and replacing your belongings after commonplace disasters.

Not every home insurance policy is the same. Policies can be tailored to fit your needs. A standard homeowners insurance policy covers damage to your home and your property caused by various perils covered by the policy. 

Typical home insurance policies cover damage caused by an aircraft, car or other vehicle, explosions, falling objects, fire and smoke, lightning strikes, theft, vandalism and malicious mischief. 

They provide four main types of coverage. Dwelling coverage helps you pay for repairs or rebuilding your home if it’s damaged or destroyed. Personal property coverage helps you pay the costs of fixing or replacing your belongings if they’re damaged. Liability coverage helps you protect your financial assets if you’re at fault for an injury or property damage or say a dog bites your neighbor.

By Susan Elise Campbell

The Employee Assistance Program of Warren, Washington, and Saratoga Counties (Adirondack EAP) will turn the corner on 40 years with a new executive director at its helm. 

Richard J. Demers is soon to retire as executive director after 36 years.

Over the decades Demers and his staff established Adirondack EAP as a valuable community resource providing free and confidential assessment, counseling, and referrals for employees of member organizations and their families, according to Tracey Riley, president of the board of directors and vice president of human resources at Finch Paper.

Adirondack EAP is a local, rather than a national EAP, with its  main office at 559 Glen St. and affiliated offices in Plattsburg, Saratoga Springs, Albany, Clifton Falls, and other locations.

Today there are 60 member companies and 25,000 employees and their families have been served, Riley said.

EAP counselors work in a consultative role with managers and supervisors of member companies, providing them mindfulness training or other assistance, such as helping with transitions if there has been a tragedy in the workplace, McManus said.

By Melissa Davidson

Cyber insurance, which not too long ago was thought of as a want and not a need, is now considered a primary component in many business insurance policies. Cyberattacks are on the rise with breaches becoming more frequent and losses becoming more severe. 

According to AM Best, “The loss ratio for cyber insurance rose dramatically in 2020, [up] to 67.8 percent from 44.8 percent in 2019. However, the increase was not limited to just a few insurers—the loss ratio rose for 15 of the 20 largest cyber insurers.”

Cyber liability insurance generally covers a business’s liability for a data breach involving sensitive customer information: such as Social Security numbers, credit card numbers, account numbers, driver’s license numbers and health records. 

Those costs can include lost income due to a cyber event, costs associated with notifying customers affected by a breach, costs for recovering compromised data, costs for repairing damaged computer systems and more. Moreover, cyber coverage is not automatically included in general liability coverage and is generally excluded. This coverage needs to be purchased separately.