Social Media Liability-Part 2

Social media as alter the risk profile of many of us.  American must now accept that are libel and slander exposures are at historic high levels.
Just because it’s new doesn’t mean you aren’t exposed

See part 1 which discusses the meaning of social media liability.

Social media liability claims can be complicated and expensive since they may involve historical postings. In these instances, defense costs may include electronic discovery or subpoenaing information from any applicable social networking sites. Expenses could expand if a party filing a lawsuit demands information beyond a post to one particular site to include posts made on all the social networking sites where a defendant holds an account.

Depending on the nature of the claim, the insured may be faced with multiple lawsuits in multiple jurisdictions including outside the United States. Defense costs may reflect extensive jurisdictional and venue disputes that have to be handled (and paid for) even before determining if that claim is eligible for coverage.

Another issue is the problem of handling intentional (deliberate) acts. They are routinely excluded by most insurance policies. An insurance company may choose to deny either legally defending and/or responding to a lawsuit because, in its opinion, the policyholder had full knowledge that published information was false or that an act was an invasion of privacy.

Social media liability is not a common term so insurance policies generally refer to the traditional terms of “personal and advertising injury” and extending this traditional coverage to social media and the Internet. Social media makes it easier to libel, slander or invade a person’s privacy.

Off-the-cuff comments that used to be made at the water cooler or in the privacy of one’s home are now published nationwide or internationally. The result? Damages sought by a claim can be more substantial because there are more people aware of the comments as compared to traditional situation.

You must be aware of the legal potential in using social media and the claims that can result if defamatory comments are made about family members, friends, exes, etc. There is no immunity from lawsuits simply because such comments are commonly posted on sites such as Facebook or Twitter.

Considering what is at stake, especially for businesses, umbrella coverage is definitely recommended as an additional source of protection. Umbrella coverage is also recommended for prolific social media users and bloggers. Although avoiding high-risk behavior is a simpler and more effective way to eliminate problems, it is unlikely that individuals will avoid social media or blogging altogether. A more realistic expectation may be that a person may inadvertently engage in behavior that creates a claim. Individuals should evaluate the risk potential and realize that coverage for social media liability may become a necessary part of everyday life, similar to auto insurance or home insurance.


COPYRIGHT: Insurance Publishing Plus, Inc. 2015

All rights reserved. Production or distribution, whether in whole or in part, in any form of media or language; and no matter what country, state or territory, is expressly forbidden without the written consent of Insurance Publishing Plus, Inc.

Social Media Liability-Part 1

Social Media Liability-Part 1

Your chances of suffering a loss is increasingly affected by your use of the Internet and, particularly, social media. Increasing your awareness of social media liability loss exposures may help you to minimize or avoid them.

If you or others in your family use social media, then you have altered your risk profile.  Slander, Libel and more!
Using Social Media Alters Your Risk Profile

Social Media Liability refers to claims for libel, slander, harassment, invasions of privacy, violations of intellectual property rights, and even improper employment practices resulting from the use of social media sites, including Facebook, InstaGram, Twitter, YouTube, blogs, etc. Some coverage exists for business as well as for personal exposures to such losses.

Most business insurance policies include personal and advertising injury coverage that provides some protection for libel, slander, and derogatory remarks as well as invasion of privacy. Some homeowners and renters policies also provide personal and advertising injury. Standard business forms may contain language that provides limited coverage because they refer to material published on the Internet or to electronic communications. Coverage may also exist because protection for suits involving libel and slander may make reference to defending against and, if needed, covering claims due to incidents of publishing or broadcasting information in any manner.

Individuals who blog or who maintain watchdog Web sites (consumer sites that monitor specific companies or products), may be susceptible to claims of defamation or invasion of privacy. Casual users of social network sites may inadvertently post comments about a current or former lover that are defamatory, especially after a divorce or messy breakup.

Businesses’ networking-related exposures are typically related to business activities. Businesses may, for example, misattribute the ownership of a Web site to a lower level employee in order to shield the business. That employee may sue for false invasion of privacy, especially if the Web site contains sordid or proprietary material. Business managers may also announce firings or disclose personal information about their employees that may create lawsuits. Personal networking-related exposures run the gamut of claims, including accusing individuals of crimes, infidelity, failure to pay child support, disclosure of personal or financial information, posting of pictures or videos in compromising positions, etc.

See Social Media – Part 2 for more information on claims and protection.


COPYRIGHT: Insurance Publishing Plus, Inc. 2015
All rights reserved. Production or distribution, whether in whole or in part, in any form of media or language; and no matter what country, state or territory, is expressly forbidden without the written consent of Insurance Publishing Plus, Inc.

Earthquake Insurance, Sinkhole Insurance & More

Do you live in an earthquake zone?  Do you have earthquake insurance?  If you don't know, call TruePoint at (502) 410-5089
US Earthquake Zones

Words and their usage impact our daily lives. As a kid, my mother would on a regular basis reminding me to watch my P’s and Q’s. This was not a suggestion to be on my best behavior. It was a threat that even the slightest slip in my manners would have severe repercussions. What and how we say things have been an issue for generations. But a solid case exists that communication is more important now that ever before. While the thought may seem hysterical at first, let in sink in for a moment. Most would agree that America has become precariously litigious. For years our actions have exposed us to constant risk. Today our words are placing us at jeopardy. As a result, it has become critical for Americans to develop greater awareness.
What is earthquake insurance?.

Standard insurance doesn't cover loss due to earthquakes.  Earthquake Insurance is add by endorsement.
Earthquake Damage


Earthquake – a term used to reference the movement of two tectonic plates along a fault line. The tectonic plates move past each other at a slow pace building up stress along the way. This continues until finally the plates slip releasing enormous amounts of seismic energy. This energy then results in a violent shaking of the ground. This is also referred to as an earthquake. Earthquakes can be the result of both tectonic action or volcanic.
The word Earthquake seems simple enough. But it isn’t. Your insurance policy most likely excludes loss caused by the movement of earth. How does that impact me? Ground that shifts, sinks, expands, contracts, or rises may create serious issues. That includes earthquakes, sinkholes, mudslides, landslides, and more. How serious? Your insurance company “Will Not Pay, Serious”! You can avoid this crisis by simply having the proper endorsements. But be cautious. You can purchase an earthquake endorsement. But what will it cover? Losses due to an earthquake! Nothing else. Related risk such as mudslides, sinkholes, and others are not covered. Failure to understand how this impacts your insurance may result in serious coverage issues. Failure to understand may result in no coverage.

Movement of earth is not covered by standard insurance.  That includes earthquakes, sinkholes and several more items.
Sinkholes are covered by standard insurance policy


Will your insurance pay in the event of an earthquake? Does a Homeowners policy or a Commercial Property policy protect against earthquakes? Earthquake coverage is not offered by a standard insurance policy. But, for most, earthquake coverage is available. It can be in the form of an earthquake endorsement. If asked to waive your right to earthquake coverage, we suggest that you ask the agent for a quote. It may not be as expensive as you think.
Most of us are insured by the Special Form, also known as All Risks Coverage. Earthquake protection is excluded by the Covered Causes of Loss Form. The exclusion reads so that damages that are a result of EARTH MOVEMENT are excluded. Inquire about the cost of an earthquake endorsement. With the in hand, you can now decide if you want to transfer the risk. In the process don’t forget the other risk associated with earth movement. The earthquake endorsement doesn’t cover these. We advise customers to consider each of the risks and if appropriate, evaluate the risk/reward.

What about hidden damages?  Are minor damages covered?  They are, but deductibles may be more than the loss.
Check your Deductibles for Earthquake. They will be higher than you are used too.

ance varies from one insurance company to the next. If you make a comparison for companies, you will find earthquake policies vary. If you have multiple homes in various states you should review individual policies. We advise this as earthquake endorsements issued by the same company may vary from one state to another.
Earthquake deductibles should be considered. Don’t be surprised to see a 10 to 20% deductible. These are pretty much par for the course. Any higher and it is probably worth your time to shop around.
As noted earlier, earthquakes represent only a small portion of the exposures related to the movement of earth. Because we live in the Ohio Valley, we can shorten the list. While anything is possible, most would agree that some of the risks aren’t as threatening as others. The risk that should be considered by most in our area:

  • Erosion,
  • Failure to suitably compact building sites,
  • Sinkholes
  • Deficiencies pertaining to site selection
  • Earthquakes
  • and Landslides

Add in mud-flows, mudslides, and volcanoes and we have a reasonable understanding of the movement of earth risk. Kentucky homeowners and business owners need to consider these and several other forces.
Standard policies may leave serious gaps. Property coverages leave most structures exposed the movement of earth. Don’t assume that your only option is to self-insure. Ask TruePoint. By asking the simple question, “how can I eliminate more exposures related to the movement of earth?” You will likely find that in some cases, options exist. Becoming increasingly more available is sinkhole insurance. Broader coverage in the form of earth movement riders may also be an enhanced risk transfer option.
If you would like to learn more about eliminating insurance gaps related to the movement of earth, reach out to a TruePoint Insurance Agent. We can be reached at (502) 410-5089.

Personal Injury

Litigious America, We all have greater risk of Slander

Unlike accidental events that result in a person suffering a serious injury (called bodily injury) or property that is damaged or destroyed (called property damage), personal injury usually involves one person’s alleged interference with another person’s legal rights. It also applies to incidents that harm another person’s reputation.

Personal Injury commonly includes acts such as the following:

False arrest, detention or imprisonment

Example: A homeowner suspects that her teen daughter’s friend has stolen jewelry while visiting her home. She locks the teen in her bedroom for an hour until the police arrive and it turns out the teen did nothing wrong.

Malicious prosecution

Example: A gentleman accuses his neighbor of stealing a laptop from his home and files charges with the police. After investigating the matter, the police discover that the lap top owner had sold the property and made the accusation because the neighbors had been feuding over an unrelated matter.

Wrongful eviction from, wrongful entry into, or invasion of the right of private occupancy

Landlord? Do you have exposure to wrongful eviction

Example: A boarder comes home from work and finds his room’s door padlocked. The homeowner/landlord did it after the boarder, for the third night in a row, played his CD system too loudly. The boarder is forced to leave the premises that same night.

Oral or written publication of material that slanders or libels a person or organization or disparages a person’s or organization’s goods, products or services

More Social Media = Greater Libel Risk

Example: A homeowner is the president of a parent and school organization. She also publishes articles for the organization on her personal website, but is widely followed by members in the parent and school organization. After an argument with another organization officer, the president recounts the incident on her site and includes some crude insults and false items about that person.

Oral or written publication of material that violates a person’s right of privacy

Example: A woman is visiting a friend. During the visit, she overhears her friend’s conversation with her doctor. The next day, the person reveals to others that the friend, a young, single female, is having medical problems due to an unexpected pregnancy.

All such acts are examples of incidents that could result in lawsuits. However, they are also the sort of events that are excluded from coverage by the typical homeowners policy. The major reason for their exclusion is that they are deliberate acts rather than being accidental. One way to secure coverage for personal injury losses is to purchase personal umbrella coverage. It may be worthwhile to discuss your possible need for personal injury coverage with an insurance professional.


COPYRIGHT: Insurance Publishing Plus, Inc. 2015

All rights reserved. Production or distribution, whether in whole or in part, in any form of media or language; and no matter what country, state or territory, is expressly forbidden without the written consent of Insurance Publishing Plus, Inc

Definition: Earthquake Insurance

What is earthquake insurance?

Who needs earthquake insurance?  
If you don't know whether or not you need earthquake coverage, then take a quick look at the map.
US Earthquake Zones

Earthquake: A term used to reference the movement of two tectonic plates along a fault line. The tectonic plates move past each other at a slow pace building up stress along the way. This continues until finally, the plates slip, releasing enormous amounts of seismic energy. This energy then results in a violent shaking of the ground. This is also referred to as an earthquake. Earthquakes can be the result of both tectonic action or volcanic.

Do I need earthquake insurance?  Call TruePoint Insurance.
Where can I get Earthquake insurance?  It is a policy endorsement that can be added by you insurance agent.
Earthquake Endorsements

Earthquake Insurance: Losses as a result of the movement of the earth are not covered by standard insurance policies. Earthquakes are one of the events that are considered the movement of earth. Most insurance professionals can help you reduce your exposure to earthquakes by adding a special endorsement to your policy.
Earthquake insurance, or more accurately an earthquake endorsement, is a tool that can be used to transfer the risk of a financial loss to buildings. Structures such as homes or commercial buildings can be protected from damages that are a direct result of an earthquake.
In exchange for an annual insurance premium, the insurance company promises to restore the insured to the position that existed immediately before the event(less a deductible). Deductibles for earthquake insurance can be significantly higher than other coverage options. As a result, we advise customers to review the deductible before purchasing an endorsement.
As mentioned, the movement of the earth comes in several forms. Earthquakes, mudslides, and sinkholes are just a few. Earthquake insurance covers earthquakes. It will not cover losses that are a result of other types of movement of earth.
If you would like additional insights call a TruePoint Agent today at (502) 410-5089

Principle of Indemnity

Insurance term, definition.  The principle of indemnity is an insurance term.  What is meant by insurance principle of indemnity
principle of indemnity states that the insured is returned to condition just prior to loss
The Principle of Indemnity

To understand insurance one must first grasp the principle of indemnity.  The theory is applied to insured losses and seeks to provide fair compensation.  Fair compensation to parties, the insured and the insurance company is required.  Resolving most losses is unambiguous.  Others test the service skills of the insurance agency and require both the insurance company and the insured to commit to the principle of indemnity.

A cornerstone for insurance, the principle of indemnity requires that an insured may not be compensated more than there economic loss.  The insured cannot profit from a loss.  If losses became a way for policyholders to generate profits, then insurance companies would become subject to adverse selection.  This in the quickly cause insurance premiums for all property and casualty policies to rise.

Commercial Insurance


Commercial insurance is defined as:

definition, define, define insurance, define commercial insurance, define business insurance,
Define Commercial Insurance

The definition of business insurance will likely vary depending on who you ask. The explanation may even change depending on how you ask it. It goes by a lot of names. You may hear it called many things. Business insurance, commercial business insurance or property & casualty commercial insurance.

TruePoint insurance defines commercial insurance as:

Insurance coverage for businesses that provides protection against a broad range of P&C claims. The term commercial insurance is used to describe several insurance policies. To determine which you need, you should, first, determine the risk faced by your company. A commercial insurance policy should also provide defense cost in the event of a lawsuit. This protection should be available regardless of the legal merit of the case.

TruePoint doe commercial insurance call us to speak with a business insurance specialist
we are insuringky.com

What should your Business Insurance Policy look like?

commercial insurance, TruePoint specialized in commerical insurance in Kentucky,  AKA Kentucky Business insurance
Business Insurance Policy

We stated the definition of commercial insurance might change. The truth is, it will change. The answer will vary based on who you ask, and maybe how you ask. Who you are will also alter the definition……… What type of business do you own? Do you have employees? Do you use vehicles in your business? Do you own buildings or other property? Do you need commercial insurance? These questions are just the beginning of defining your unique commercial insurance needs.

Property and Casualty Insurance

The term commercial insurance policy defines a vast range of coverages. Each offers a vehicle that provides specific protection to your business.

We can start by breaking insurance into one of three categories, Property, Casualty or both. The property will relate to (buildings, furniture, inventories, vehicles, and equipment.) The Casualty coverages protect against liability claims. Coverages include General Liability, Workers Compensation, Professional Liability, and many others. Most small businesses will find the third option most attractive. A Business Owners Policy or a BOP.

The benefit of the BOP is that it packages the general liability and commercial property. The packaging allows for more efficient and effective coverages. As it relates to Kentucky Business Insurance, BOP’s provide more coverage at less cost.

Knowing the coverages you need is more than half the battle

Business insurance is written in five major coverage lines. These lines are identified and briefly described below:

Commercial General Liability Insurance (or CGL) Protects when actions of the insured or an employee lead to property damage or bodily

Commercial liability insurance in Kentucky is most often referred to as General Liability insurance, commercial general liability insurance or CGl. GL.
Commercial Liability Insurance

injury of another. The policy should also provide coverage in the event the business must defend itself in a court of law.

Commercial Property Insurance The primary target of this coverage is owned and possibly leased buildings. In this section, you will also find coverages for the business personal property. This includes furniture, inventory, tools, some equipment and more.

TruePoint Insurance, Specialist in Kentucky Commercial Auto.   Need Business Auto insurance in Kentucky?  Give us a call 502-410-5089
Business Auto Insurance

Commercial Auto Often referred to a Business Auto it covers vehicles that are owned or leased by the company. As a personal auto policy does, the Commercial starts as liability coverage. Comprehensive and collision coverages can be added, as well as other additional items. A good example of a valuable add-on is a coverage know as hired or non-owned. It provides protection to an employee or volunteer autos during work-related activities.

Inland Marine Insurance One use is equipment or mobile equipment operated off-site known as commercial floaters. There are many more coverages that fall into this section.

Workers Compensation used to provide financial remuneration to employees injured while performing work-related activities.

There are many more coverages, most of which fall under one or more of the primary lines above. A few examples include:

  • More specialized liability coverages include:
  • Professional Liability or Errors and Omissions (E&O)
  • Garage Liability a form of CGL for auto garages, shop, dealers and more
  • Directors’ and Officers’
  • The property section contains many optional coverages and endorsements. What if any of it do you need? Including items such as
  • business interruption (aka business income),
  • earthquake coverage
  • flood insurance
  • water backup
  • utility disruption,
  • equipment breakdown and many more.
  • Trucking insurance is an example of a specific form of commercial auto insurance. Another form that we often see business auto insurance is referred to as hired and non-owned.
  • inland marine is our all other buckets. Below are just a few examples.
  • Bailee’s Coverage– Property of others under your temporary care. Think about a Dry Cleaner. Do they have coverage clothing? That’s Bailees.
  • Builder’s Risk- Insurance while a building or home is under construction.
  • Cameras
  • Communication equipment and towers
  • Computer Coverage
  • Contractors Equipment
  • Commercial Floaters
  • Property In Transit
Don't drive past Kentucky's Elite Business insurance agent,  Commercial insurance at 1085 Eagle Lake Dr, Lawrenceburg, KY  40342
Commercial Insurance

Identifying risk and understanding coverages

For centuries mankind has solved problems by finding solutions or answers to our questions. While it’s great to have a trusted resource or go to for every issue, there are times in life where we are on our own. When this happens, logic and common sense will go a long way.

If I don’t own a building do I need property coverage?

You might. Do you have an inventory or equipment that should be insured? Even if you don’t own a building, you still might need to insure one.

Does your lease require you to insure the building?

My business is family owned and operated; everyone that works here is related to the owner, me, the owner.

Do I need workers compensation insurance?

Kentucky business owners have the right to reject workers compensation coverage. If they’re not business owners, the state workers compensation commission will expect everyone to have insurance. Workers Compensation can be complex. That’s why we request clients to speak with an attorney before waiving any coverage. Learn more at Kentucky Workers Comp.

slow down or you will drive past Kentucky's best business insurance agency.  Commercial insurance at 6287 Taylorsville Rd, Fisherville KY  40023 or call 502-410-5089
Business Insurance

Why do I need CGL and E&O insurance?

It is possible. Some professions should have both. The coverages cover two different sets of risk. Why E&O or professional liability is typically associated with professional services, it also provides protection in the event of incomplete or shoddy work. Something that your CGL will not cover. Learn more.

Questions, feel free to reach out to a TruePoint agent. You can reach us at (502) 410-5089.

Deductible

Insurance term, definition, deductible, insurance deductibe, what is a deductible,

An deductible or insurance deductible is a fixed dollar amount or percentage that is retained by the insured. In the event of a claim (most often property claims) the insured will be required to come up with the deductible amount declared in the policy before receiving the insurance companies obligation.

What is an Insurance Deductible and why do I have one?

insurance deductibles, Kentucky insurance policies have deductibles: Auto insurance deductible, car insurance deductible, homeowner's insurance deductible, home insurance deductiblle, commercial insurance deductible, business insurance deductibel

Many insurance policies have deductibles. A deductible is a set dollar or percentage amount of a claim. The insured is responsible for paying this part before any payments will be released by the insurance company. The purpose of insurance is to reimburse the insured in the event of a loss. Insurance companies pool risks, which work to make payments more affordable for all. Insurance works because it accepts large financial exposures, spread over a geographically diverse group. Most of us have at some point dropped and broken an egg. Did your insurance company replace the broken egg? Insurance, the mechanism that we use to spread risk, fails to work if it is expected to cover all losses. Items below a certain threshold significantly reduce the effectiveness of insurance. Deductibles work to stabilize the insurance process. By reducing the number of small claims, deductibles reduce inefficiencies.

How Insurance Deductible Benefit Consumers

While consumers may find it difficult to accept, deductibles lead to lower premiums. Don’t take my word; you can demonstrate the theory yourself. You most likely have the ability to raise and lower deductibles on your policy. Re-quote your coverage; using both higher and lower deductibles. What you will find is that premiums rise as deductibles decline. You will have proof that the cost of insurance declines with higher deductibles.

How Insurance Deductible Benefit Insurance Companies

Why do I need an insurance deductible?  Deductible reduces insurance fraud.  What is a deductible?

Moral Hazard My Great Grandmother used to tell me that locks keep honest people honest. For insurance companies, deductibles can be viewed the same way that my Great-Grandmother saw locks. Example: Ed is trying to sell his boat. The best he can get is $1,200, but he still owes the bank $1,500. Instead of taking a $300 loss he could call his insurance company and reports it as stolen. Then he would have the $1,500 to pay off the boat.No! In this case, the $1,000 deductible removes the incentive to commit insurance fraud. It significantly reduces the chances of a loss for the insurer.

Deductibles reduce exposures to Moral Hazards: Locks keep honest people honest.

higher deductibles, lower premium. What deductible should I have?


Morale Hazard Unlike moral hazards, which are the result of an illegal action, morale hazards are more akin to neglect. Individuals that willing to expose insured property to hazards are considered morale hazards. For example, leaving a cell phone on your front porch isn’t illegal. It could be a perfectly beautiful day or a torrential storm. Would it be illegal if a 4 year old mobile phone was left in a hail storm? No. But this phone is old, and it has an insurance policy. Is it illegal to use the storm as an avenue for a new phone? Probably not. But there are clear ethical issues. This is a moral hazard.


Deductibles reduce exposures to Morale Hazards: Locks keep honest people honest.


Claims Cost: Relative to the size of the loss, insurers pay out a significant amount more on smaller claims. This is due to the considerable impact of fixed cost.
Deductibles improve efficiencies: Insurance is intended for catastrophic losses or larger financial exposures.
Deductibles occur on most property coverages. The property would be tangibles such as buildings, homes, vehicles and other real property. Until very recently deductibles have almost entirely excluded from liability claims. Giving consumers the option to include deductibles liability coverages is becoming more common.
Deductibles are a form of risk retention. They serve as a way to level the playing field for both the insurance company and the insurer. They give insurance companies a tool to reduce fraud and other manipulation. Deductibles also work to enhance the efficiencies of the insurance process. When used responsibly deductibles make it easier for everyone to minimize risk.

A Safer Prom

Prom season is just around the corner and TruePoint Insurance with inforamtion that we hope will make your prom a little safer.

High school proms are early chances to participate in a formal event. It is also considered a chance to act as a full-fledged adult. The event involves arranging a complete evening of dining, dancing and socialization. However, just as much time should be devoted to making the event as safe as possible.

It is almost inevitable that a prom will involve serious exposure to alcohol or other intoxicants. The evening also involves many young, inexperienced drivers who are excited about making their way to pre and post prom activities. Sadly, these factors have combined to make prom season dangerous. Serious traffic accidents often become the main feature of what should be a night of joy.

Prom-goers and their parents need to create a strategy for making prom night both memorable and safe. Here are some tips:

  • Parents should get all activity details, including dinner and pre and post prom events
  • Confirm the night’s events with school officials and other parents
  • Consider arranging a safe, group post-prom activity where participants can be supervised
  • Clearly lay out your expectations to your son or daughter about acceptable behavior regarding their evening
  • Discuss all details about transportation, whether they are drivers or passengers
  • Be sure that communications are set up. If the child does not have a cell phone available, find out the numbers where he or she can be reached during different phases of the evening
  • If practical, consider arranging for a third party to handle transportation (limo or taxi service)
  • Consider an amnesty arrangement. In other words, let your child know that they can contact a parent for emergency transportation should something go wrong and, for that evening, they’ll be no lectures or punishments

Help your son or daughter make prom night a bright memory rather than a tragedy. Plan on making safety and fun everyone’s priority.


COPYRIGHT: Insurance Publishing Plus, Inc. 2017
All rights reserved. Production or distribution, whether in whole or in part, in any form of media or language; and no matter what country, state or territory, is expressly forbidden without written consent of Insurance Publishing Plus, Inc.