Archive | December 2015

Take a Home Inventory During the Holidays

home inventoryThe holidays are a time for celebration and family. Most people have a few extra days of vacation to relax, and some use this time to play catch-up or finish projects that have been looming for the past year.

You can utilize this time to complete (what should be) an annual home inventory. We don’t want to discourage you from doing inventory on your different-colored tube socks, but this home inventory is geared toward helping you maintain an accurate record of your valuables for insurance purposes. A home inventory is a list and visual record of all your personal belongings, which will help you find replacement items if you ever need to do so.

Use this as a quick guide, and then you can get back to your sock count!

Start from the purchase. Keep all receipts from large purchases like electronics, expensive artwork and jewelry. If you don’t have the receipts, use old credit card statements for proof of purchase.
Take photos. You should take photographs of all of your possessions for your records, and keep them with your inventory list.
Make note of serial numbers. Record serial numbers of items where applicable—you can provide these for police if your belongings are ever stolen.
Keep copies of records. Maintain your records in a safe place, preferably a fire-proof safe alongside other important information. In addition, keep electronic records by either emailing the information to your personal email or uploading it to a secure place.
Not sure what goes on the list? Think about this:

Buying a new teapot does not warrant a spot on the inventory. But if you just gave your kitchen a facelift that includes everything from new cabinets to appliances, definitely add those items and the labor to your home inventory.

Back to the socks!

Once you’re finished with the “official” inventory, go ahead and count those socks. Use this time to do the following:

Stock up for the winter by preparing all your essentials in case the weather gets bad: shovels, sidewalk salt, candles, firewood, canned goods and frozen meats.
Check all appliances—including your stove, water heater and thermostat—to make sure they are in good working condition before the weather gets too cold.
Get organized. Sort through the photos on your computer, upload CDs to your iTunes account and get rid of the Tupperware with no matching lids. You will thank yourself once the New Year is here!
Go through your clothes. Good rule of thumb: If you haven’t worn it in the last two years, get rid of it. Donate clothing to a shelter or go online to sell the items. You can use the extra space to make room for new Christmas gifts
If your home inventory reflects items that are not covered under your current policy, talk to Davis Dyer Max for additional information about coverage you may need. Enjoy the holidays!


16 Financial Tips for 2016

financial tips2016 is just days away, and that means it’s time to get your finances in order. Many people find it easy to begin the journey during the first week of January, but by March, bad habits begin to resurface. Here are 16 tips that can take your finances to the next level—and help you stay financially strong throughout the entire year.

Take a snapshot.

Having an idea of what you want to do is great, but putting your plan on paper is the key to success. Pull out a pen and calendar and write down your life ambitions, upcoming events and realistic financial goals. This will give you a snapshot of the reasons for tightening your financial belt and will serve as a useful reminder when times get tough.

Hold a Gift Exchange
Did your children receive tons of clothes from your family for Christmas? Before you pop tags, evaluate how many shirts and pants they truly need—then pack up the remaining items and head to the store. Ask if you can exchange the clothing for larger sizes and get the same pieces in sizes your child would wear a year from now. You will save money in the long run without upsetting well-intentioned gift givers.

Use the fireplace.

Energy bills creep up on you during the winter months. The fireplace is the perfect way to offset costs. If you are lucky enough to have a fireplace, put it to good use during the colder months. Come up with creative ways to feel the heat, like having a family game night in the living room by the fireplace.

Lead by example.

Don’t wait until they’re heading off to college—teach your children to be financially savvy at an early age. When they receive cash gifts or an allowance, show them what it’s like to be in the real world by making them save a percentage of their money or “taxing” their money. You can secretly put some in an interest-bearing account and, each year, show them how their money is growing. By the time your kids are ready to leave the nest, they’ll thank you for helping them to create a healthy nest-egg.

Sleep on it.

You’ve heard this piece of advice before, and it’s still relevant: Don’t make impulse purchases during your journey toward financial freedom. This doesn’t mean you shouldn’t buy anything, but you should definitely give yourself time to think about why you are making the purchase and whether it aligns with your financial plan (see Tip #1). Shop around, do your research and revisit your plan to ensure you are making the right decisions.

Do the 52-Week Money Challenge…in reverse.

If you’ve never heard of the 52-Week Money Challenge, you’re missing out. This is a fun, year-long savings plan that will leave you with $1,378 at the end of the year. The plan originally calls for a person to start by saving $1 the first week, $2 the second week and so on—each week, the number continues to increase. But instead, try the challenge in reverse, saving $52 the first week, $51 the second week and so on. You will stay motivated by seeing immediate results—and as the weekly amounts decrease, it becomes easier to continue the challenge.

Start a side business.

Are people always asking you to sing? Earn money singing at weddings. Do you bake the best cookies on the block? Ask friends about catering their next event. Everyone is good at something, and using your talents to make a little extra cash on the side will definitely help you to reach your 2015 financial goals.

Take note of your triple payday.

Most employees have 26 pay periods within a year. This means that two times out of the year, you’ll receive three paychecks in one month instead of just two. Take advantage of these times to attack those nagging bills you could pay off in one payment. Consider your insurance premium—you could pay your entire premium for six months, which would free up more monthly cash during that six-month period. Do it all over again when your extra pay period comes around and you’ll always feel ahead of the financial “game”.

Go for the big freeze.

After you’ve paid your insurance premium, you may have money left over—but don’t spend it on the wrong things. Wholesale warehouse clubs like Costco and BJ’s have more than just 80-count rolls of toilet paper. Take advantage of their bulk-buying deals and put your deep freezer to good use. You can purchase non-perishable items and “freezable” food like meats, frozen vegetables and pasta, split the items into smaller dinner portions and throw them in the deep freezer for future use. Unthaw food as you need it—and save a pretty penny while you’re at it.

Start saving now for next Christmas.

Many banks have savings accounts that automatically deduct a certain amount of money every time you swipe your debit card. The amount is usually up to your discretion—most people opt for $1 deduction for every transaction. Use this fund as a Christmas savings account and decide that whatever amount accumulates by December is the amount you will spend on purchasing Christmas gifts next year.

Review, review, review.

Did you get a new appliance or gadget for Christmas? Did you talk to your agent about your purchase? If your answer is no, you’re making the same mistake many other people make every year. When you purchase big-ticket items and make upgrades to your home, it is very important to speak with your insurance agent regarding changes you may need to make to your insurance policy.

Give your money away.

You can garner major tax deductions if you donate money to 501(c)(3) nonprofit organizations. Do your research to make sure an organization meets this classification—you can donate money, clothes, cars and anything else you have. The tax deduction is good, but giving to those in need is even better.

Review employer benefits.

Whether you’ve been with the company for less than a year or more than two decades, it’s important to regularly review your employee benefits package. As your life changes, you may find certain programs beneficial to your lifestyle. Even if you opt out of your company’s benefits, it’s always important to ask questions. Your company saves money when you opt out of some benefit programs and as an incentive, some companies will offer cash if you choose to forgo their benefits package. Schedule some time to speak to your human resources manager and dust off that employee handbook.

Take advantage of online sales.

Many of us do not use up to 40% of the clothing and appliances we have in our homes. Use your closet and cupboards as a gateway to the world of e-commerce. Selling your personal belongings is never easy, but focus on the financial benefits and how great it will be to de-clutter your home. Use notable platforms like eBay and make transactions through a secure merchant like PayPal. Beware of scams and fraud and remember: If an offer seems too good to be true it probably is.

Live a little.

Working hard to reach financial goals is definitely worthwhile. But it’s important to enjoy the fruits of your labor as well. You can have fun while still achieving your financial goals as long as you plan effectively and efficiently. Allot a certain amount of “splurge money” each month or each quarter and enjoy what you spend. This will keep you motivated and remind you of why it is so freeing to be financially sound.

See somebody.

Use Tower Insurance Agency as a resource for reaching your financial goals. May your 2016 be a year of happiness and prosperity!

63 Emerging Risks No One is Talking About

emerging riskEverybody knows about climate change and catastrophes, the Internet of Things and the cloud, the on-demand economy and online shopping, autonomous vehicles and robots in the workplace, terrorism and pandemics, 3-D printing and cyber theft, and political instability and economic uncertainty. Insurance professionals have been talking about these and many other emerging risks for years.

But what’s lurking in the shadows? What insurance and organizational risks of the immediate or distant future are being overlooked? What are the risks facing organizations that are flying under the radar?

  1. Innovation follows manufacturing. The idea that innovation happens in one place—Silicon Valley—while manufacturing happens in another—China—is unsustainable. If all the manufacturing is happening in China, a lot of the innovation will happen there, too. (“Making Innovation,” MIT Technology Review, Sept. 16, 2014 by Nanette Byrnes)
  2. Narcissistic executives. Narcissistic CEOs are more likely to engage in risky business practices. (“Talent Risk: A Killer Torpedo,” Carrier Management, Dec. 31, 2013; “CEO Narcissism, Accounting Quality, and External Audit Fees,” May 11, 2015 by J. Scott Judd, University of Arizona; Kari Joseph Olsen, Utah State University; James Stekelberg, University of Arizona)
  3. Digital disengagement. More and more people opt out of social networking and the digital world, refusing to share data. (“Swiss Re SONAR: New emerging risk insights,” page 15)
  4. Predictive model backlash. As insurers use more predictive models, more people allege discrimination. One social media complaint spreads instantaneously.
  5. Extreme carrier consolidation. Larger carriers utilize their superior data and analytics capabilities to wipe out smaller ones. This reduces competitions and increases rates.
  6. Obesity as a disability. With obesity classified as a disability, expect reasonable accommodation, disability discrimination and harassment claims.
  7. Autism liability. Environmental contaminants could be responsible for a large number of autism cases. (“Possible Environmental Cause of Autism Discovered,” GenRe blog item posted Oct. 30, 2013 by Charlie Kingdollar)
  8. Super materials. Graphene could eventually replace steel and can be used to turn on lightbulbs. What about electric cars? Shrilk, made from leftover shrimp shells, is useful for sutures or growing new tissue. Lotus leaves are used to make waterproof paints and textiles. (“Extreme Graphene and the Coming Super Materials Gold Rush,”, Oct. 27, 2014 by Tom Frey; “The Super Supercapacitor,” directed by Brian Golden Davis on Vimeo; “Hold on. My Phone Says I’m Having a Heart Attack: Top Tech Trends Revealed,” Carrier Management, Nov. 19, 2014)
  9. More super materials. An ultra-thin invisibility cloak made of microscopic rectangular gold blocks can render objects undetectable with visible light. The technology eventually could be used for military applications—disappearing vehicles, aircraft, soldiers. What about civilian life? (Now you see it, now you don’t: invisibility cloak nears,” Reuters, Sept. 17, 2015 by Will Dunham)
  10. Communication Tower with Antennas isolated on white background. 3D renderCell tower worker safety. Communications tower climbing has a death rate roughly 10 times that of construction. (“In Race For Better Cell Service, Men Who Climb Towers Pay With Their Lives,” ProPublica, May 22, 2012 by Ryan Knutson, PBS Frontline, and Liz Day, ProPublica)
  11. Habit-forming technologies. Technologies aimed at forging new habits have been used by casinos and cigarette makers for years. Today, the business model is open to a broad range of companies. (“Technology and Persuasion,” MIT Technology Review, March 23, 2015 by Nanette Byrnes)
  12. Sophisticated fraud. Today’s controls will not detect tomorrow’s fraud. Insurers lack red flags for new types of schemes. (“White paper: Emerging issues,” Coalition of Insurance Fraud at
  13. Multitasking employees. Less-focused employees are less productive. (“The high cost of multitasking that you weren’t aware of,” Tumotech, March 16, 2014 by Chuck Tesla)
  14. Activist investors. They use sophisticated methods to target companies, even high-performing ones. (“Taking the Full View: the Four “P’s” of Pay for Performance and Why They Matter to Investors,” C-Suite Insight, Issue 15 2014 published by Equilar; “It’s Not Your Imagination, Activism Has Grown,” Bloomberg BNA, Aug. 31, 2015)
  15. Graying corporate directors. The average age of directors of companies in the S&P 1500 index is 64. (“Age and Tenure in the Boardroom,” published by Equilar)
  16. Coaching the wrong team. Too many executives invest their limited time trying to “fix what is broken” instead of investing in their highest-performing people. (“Avoid the five talent management mistakes that put companies at risk,” C-Suite Insight, Issue 15 2014, published by Equilar)
  17. Outdated job descriptions. Failing to redefine jobs as the company strategy evolves and new hires assume responsibilities. (“Avoid the five talent management mistakes that put companies at risk,” C-Suite Insight, Issue 15 2014, published by Equilar)
  18. Board’s role in overseeing risk. Investors expect boards to mitigate the risks associated with strategic business decisions. (“Game of Guidance: The Critical Role of Boards in Overseeing Risk,” by Belen E. Gomez, C-Suite Insight, Issue 15 2014 published by Equilar)
  19. Weakening of state regulation. As federal and foreign governments assume more of a role, state regulation loses influence.
  20. Occupational licensing. States’ licensing requirements cost jobs and raise prices while not delivering on health and safety. (“Occupational Licensing: A Framework For Policymakers,” July 2015, The White House)
  21. Dementia in the C–suite. Dementia rates may be declining, but only for younger Americans. (“Why Your Risk for Dementia May Be Lower Than Your Parents’ and Grandparents,’” HealthDay, July 24, 2015 by Amy Norton)
  22. Scheduling stress. Planning work around personal, family and community needs gets more difficult every day.
  23. Employee financial fitness. Attention is paid to health wellness, but financial stress can affect performance. (
  24. Personal and small commercial blend. Work-at-home, ridesharing, home sharing all demand a new type of policy.
  25. Solar storms. The probability of a solar storm doing damage could be as high as 12 percent. (“Time to be afraid: Preparing for the next big solar storm: Kemp,” Reuters, July 25, 2014 by John Kemp)
  26. Vertical cities. Giant vertical urban skyscraper projects are booming in Asian and Arab cities. They could be vulnerable to energy failures and spreading of disease. (“Swiss Re SONAR: New emerging risk insights,” page 19; “Pushing the limits—Managing risk in a faster taller, bigger world,” CRO Forum, Emerging Risk Initiative—Position Paper)
  27. Digital payment systems. New apps like Venmo and Dwolla are a challenge to banks and credit card firms and could raise security risks. (“Technology Repaints the Payment Landscape,” MIT Technology Review, Jan. 26, 2015 by Nanette Byrnes)
  28. Corruption abroad. Pressure to grow in emerging markets leads companies to avoid addressing corruption risks, especially in Africa and BRIC nations. (“Six fraud and corruption trends for 2014,” CMGA magazine, Jan. 9, 2014 by Neil Amato)
  29. Hard and easy workers comp. Underwriters flock to the favored comp classes with good loss experience; less competition for harder-to-place employers will bring upward rate pressure on loss-sensitive programs. (“Top 10 Casualty Insurance Trends for 2015: Marsh,” Insurance Journal, Dec. 17, 2014)
  30. Faulty laws on fraud. Anti-fraud laws and evidence requirements vary by country and state, making enforcement more difficult and raising costs in multijurisdictional crimes. (“White paper: Emerging issues,” Coalition of Insurance Fraud at
  31. Data-savvy customers. Just as companies are using data to sell, consumers are also using data and analytics to make buying decisions.
  32. Skilled labor shortages. Finding skilled workers is a major concern of small businesses. (2015 Travelers Business Risk Index)
  33. A stethoscope and American money on a white background - Healtcare cost conceptMedical cost inflation. More respondents (60 percent) are worried about medical cost inflation than about any of the other risks in the 2015 Travelers Business Risk Index.
  34. Landlord liability. More and more property owners try to cash-in on the booming residential rental market. But do they know their responsibilities?
  35. De-globalization. A growing trend in some regions in favor of nationalist and interventionist policies. (“Swiss Re SONAR: New emerging risk insights,” page 8)
  36. LED dangers. LED lights are growing in popularity over incandescent and fluorescent lamps. But some question the health effects of their blue waves, especially at night. (“Swiss Re SONAR: New emerging risk insights,” page 28)
  37. Home brewing. Beyond brewing beer, new technology makes mixing powerful cocktails—even inhalable drinks—in the privacy of home easy and fun. (
  38. 3-D intellectual property. Lessons from the music industry as 3-D printing takes hold. (“Protecting IP from 3D Printing: What Companies Need to Know,strategy+business, April 2, 2015 by Matt Palmquist)
  39. Flaming foam. HBCD applied to popular polystyrene foam insulation to make it fire-resistant can be highly toxic and carcinogenic. (“China Leads Fire Safety Regulations with a New Fire Code,” XL Catlin Fast Fast Forward, July 29, 2015 by Tony Wu)
  40. Corporate secrets. Hackers are targeting people with access to insider data that can be used to profit on trades before that data is made public. (“Cyber ring stole secrets for gaming U.S. stock market-FireEye,“ Reuters/CM, Dec. 1, 2014 by Jim Finkle)
  41. Jailhouse risk. Wrongful incarceration suits raise insurance coverage issues. (“Wrongful Incarceration Suits Surge Giving Rise to Insurance Coverage Trigger Issues,” Carrier Management, Nov. 3, 2013)
  42. Fertility liability. Courts are struggling to define fertility clinics’ responsibilities to divorced couples and to decide who owns an embryo. (“After A Divorce, What Happens To A Couple’s Frozen Embryos,” NPR, Aug. 22, 2015 by Jennifer Ludden)
  43. Death industry risk. People can choose when, where and how to end their lives. Suicide assistance organizations, suicide tourism, human remains composting and digital memorials are growing. (“Swiss Re SONAR: New emerging risk insights,” page 16
  44. Worker depression. Rates vary by industry and position, but 6 percent of professional workers and nurses report having or being treated for depression. (“U.S. Managers Have Low Rates of Depression in 2014, Gallup website, April 15, 2015 by Rebecca Riffkin)
  45. The Decline of the COO. Is it time to add chief operating officers to the list of endangered species? (“The Decline of the COO,” strategy+business, May 4, 2015 by Gary L. Neilson)
  46. Medical and litigation funding. A rising number of firms are covering litigation and medical costs for plaintiffs in product liability lawsuits in exchange for a share of the class action settlement. Rates are sure to rise.
  47. Foodborne illness. Genome sequencing is making it possible to more quickly and accurately track a foodborne illness to its source. Food recalls could increase, and the manufacturers responsible will be held accountable. (“FDA wants food companies to hand over their pathogens,” Reuters/IJ, Aug. 27, 2015 by Julie Steenhuysen)
  48. Franchise liability. Franchises like McDonald’s and contractors including staffing agencies are considered joint employers under a new National Labor Relations Board standard and thus responsible for working conditions. Are new EPLI exposures looming? (“Union Wins Closely Watched Labor Case Over Who’s the Boss,” Bloomberg/IJ, Aug. 27, 2015 by Jim Snyder)
  49. Overlapping occupational risks. Particular characteristics—such as being an immigrant/foreign-born worker, a worker under the age of 25 or an employee of a small business—can increase an individual’s risk for workplace injury or illness. When a worker has two or more of these characteristics, the risk is compounded. (“Overlapping Vulnerabilities,” CDC website, NIOSH Science blog, Aug. 28, 2015 by Deborah Hornback, MS; Thomas Cunningham, PhD; and Rebecca J. Guerin, MA)
  50. Shopping while driving. Carmakers are partnering with retailers and bankers to offer dashboard apps so drivers can shop and bank while behind the wheel. (“Cars Become Target for Identity Theft as Shopping Hits Dashboard,” Bloomberg/IJ, Aug. 27, 2015 by Keith Naughton and Olga Kharif)
  51. Failure to disclose. Improperly disclosing risks to shareholders is an overlooked risk, and insurers are among the companies failing to disclose. (“Inadequate Shareholder Disclosure and Other Killer Risks,” Carrier Management, Jan. 15, 2014)
  52. Payoff for living in a quake zone. A Dutch court said a gas producer must compensate homeowners for falls in the value of their properties due to earthquakes linked to gas production. Will other courts follow? (“Dutch court: gas producer NAM must compensate homeowners in quake zone,” Reuters, Sept. 2, 2015 by Toby Sterling)
  53. Worker deaths on the rise. Oil and gas industry workers are particularly vulnerable. (“U.S. Workplace Fatalities Likely at Highest Level Since 2008,” Wall Street Journal, Sept. 17, 2015 by Alexandra Berzon)
  54. Genome data: There’s an app for that. Networks of genome data could spur breakthroughs for decoding rare diseases, but there are risks associated with an Internet of DNA and an app store designed to make consumer genomics part of the Internet mainstream. (“Internet of DNA,” MIT Technology Review, 10 Breakthrough Technologies 2015 series; “Inside Illumina’s Plans to Lure Consumers with an App Store for Genomes,” Aug. 19, 2015 by Antonio Regalado)
  55. Asbestos exposure linked to digestive tract cancers. Scientific research is finding asbestos disease beyond lung cancer and mesotheliomas. (“New Paper: ‘Digestive and occupational cancers asbestos exposure: impact study in a cohort of asbestos plant workers,’” Global Tort website, Aug. 31, 2015 by Kirk Hartley; “Genetic Markers May Fuel Next Wave of P/C Insurer Asbestos Reserve Hikes,” Carrier Management, July 29, 2015)
  56. Smart drugs. A drug that improves decision-making, problem-solving and creativity has no “short-term” negative effects like Ritalin. Are there more to come? What about the long term? (“Narcolepsy medication modafinil is world’s first safe ‘smart drug,’” The Guardian, Aug. 20, 2015 by Helen Thomson)
  57. Social media pressure for recalls. A video on Facebook had moms up in arms about specks of glass in Huggies wipes. Will companies speed recalls to silence the critics? (“Moms seek recall of Huggies wipes after particles found,” USA Today, Aug. 25, 2015)
  58. Happy couple taking selfie with selfie stick at the beachSelfie deaths. More people died this year trying to take a selfie than from shark attacks, according to some reports. The latest occurred at the Taj Mahal. (“Tourist reportedly dies at Taj Mahal while taking a selfie,”, Sept. 18, 2015, by Chris Matyszczyk; “What Are the Odds? Long, Most Likely,” Wall Street Journal, Aug. 14, 2015 by Jo Craven McGinty)
  59. Crowdsourcing liability. Vast networks of people solving global problems or performing micro-tasks for little or no financial reward could fuel labor lawsuits and increase infringement risks. (“Instagram, Crowdsourcing and the New Risks of Emerging Technology,” Carrier Management, April 7, 2014)
  60. Deadly superbugs. Endoscopes are spreading bacteria. Are other medical devices safe? (“FDA Issues Warning to Scope Makers Over Spread of Deadly Superbugs,” Bloomberg/IJ, Aug. 17, 2015 by John Tozzi) 
  61. Gaming the workers comp system. Is that carpal tunnel case or torn tendon really a work-related claim? It could be too much tweeting or smartphone game-playing. (“Man Tears Tendon After Playing ‘Candy Crush’ for Weeks,” website, April 13, 2015 by Rachael Rettner) 
  62. Short-termism. The perceived excessive focus of businesses on short-term results rather than long-term value creation. It’s an issue for directors and officers liability. (“The Short-Termism Debate: Are There D&O Liability Risks Involved Too?” D&O Diary, Aug. 8, 2015, published by Kevin M. LaCroix)
  63. Self-driving golf cart. Will executives take out their frustrations on other players rather than by driving the cart into the water hazard? (