Know Your Rights - Payment to Contractors

The 2018 Florida Statutes

Title XXXII REGULATION OF PROFESSIONS AND OCCUPATIONS Chapter 489  CONTRACTING View Entire Chapter 489.126 Moneys received by contractors.— (1) For purposes of this section, the term “contractor” includes all definitions as set forth in s.489.105(3), and any person performing or contracting or promising to perform work described therein, without regard to the licensure of the person. (2) A contractor who receives, as initial payment, money totaling more than 10 percent of the contract price for repair, restoration, improvement, or construction to residential real property must: (a) Apply for permits necessary to do work within 30 days after the date payment is made, except where the work does not require a permit under the applicable codes and ordinances, and (b) Start the work within 90 days after the date all necessary permits for work, if any, are issued, unless the person who made the payment agreed, in writing, to a longer period to apply for the necessary permits or start the work or to longer periods for both. (3)(a) A contractor who receives money for repair, restoration, addition, improvement, or construction of residential real property in excess of the value of the work performed shall not, with intent to defraud the owner, fail or refuse to perform any work for any 90-day period. (b) Proof that a contractor received money for the repair, restoration, addition, improvement, or construction of residential real property and that the amount received exceeds the value of the work performed by the contractor and that: 1. The contractor failed to perform any of the work for which he or she contracted during any 60-day period; 2. The failure to perform any such work during the 60-day period was not related to the owner’s termination of the contract or a material breach of the contract by the owner; and 3. The contractor failed, for an additional 30-day period after the date of mailing of notification as specified in paragraph (c), to perform any work for which he or she contracted, gives rise to an inference that the money in excess of the value of the work performed was taken with the intent to defraud. (c) Notification as contemplated in paragraph (b) consists of a certified letter, return receipt requested, mailed to the address of the contractor as listed in the written contracting agreement. The letter must indicate that the contractor has failed to perform any work for a 60-day period, that the failure to perform the work was not the result of the owner’s termination of the contract or a material breach of the contract by the owner, and that the contractor must recommence construction within 30 days after the date of mailing of the letter. If there is no address for the contractor listed in the written contracting agreement, or no written agreement exists, the letter must be mailed to the address of the contractor listed in the building permit application. (4) Any person who violates any provision of this section is guilty of theft and shall be prosecuted and punished under s. 812.014. History.—s. 1, ch. 94-110; s. 840, ch. 95-148; s. 2, ch. 95-240; s. 7, ch. 96-298; s. 73, ch. 96-388. Note.—Former s. 252.361. Contact us for all your Insurance needs! (321)725-1620  Bob Lancaster Insurance                                               Serving Florida since 1964

Would You Know a Cyber Attack if You Saw One?

What is a Cyber Attack?

“I don’t know. But I will when one happens to me.”

Simply defining a cyber attack can be a challenge. It’s like trying to explain the shape of air, always changing. Crooks are incredibly creative these days and their operations are evolving. They are constantly inventing new ways of attacking your business. And cyber attacks are just that – an assault. They represent threats as real as a thief stealing from a cash register. Except the financial impact from a cyber loss is much greater.

So, let’s broaden our thinking on what a cyber attack may look like, because many of us hold an erroneously narrow view, founded upon a few high-profile stories prevalent in the news. However, a cyber attack can fall within any of the following broad categories:

• Loss of Customer Data: Hackers steal information and profit by selling it to other criminals.
• Loss of Employee Data: Even if you prudently guard customer data, most companies are required to maintain sensitive information on their employees as well. This can be social security numbers, payroll information, bank account numbers, health issues, and more.
• Breach of Company Secrets: Competition is fierce. Are your competitors engaging in corporate espionage and reading your email?
• Ransomware / Extortion: This occurs when a criminal gains access to your company’s server, website, or local computers, and blocks access. They then demand payment before releasing control. This is a common ploy and quite effective for a fast cash turn-around.
• Virus: In any one of their multitude of forms.
• Funds Transfer Fraud / Computer Fraud: This is a favorite among thieves due to the huge payouts possible. The ploy is to gain access to bank accounts utilizing one of several common strategies, and transferring money to an account they control. Strategies utilized to gain access information range from social engineering to good old-fashioned picking through your trash.
• Social Engineering: A broad category that is rocketing in popularity thanks to the creativity of the bad guys. They get an A+ for divergent thinking. At its core, this strategy is to use fraudulent email or other communications to trick an employee into taking a specific action. Popular schemes include monitoring network traffic, then mimicking legitimate emails and misleading employees to divulge sensitive information such as payment methods, bank account passwords, or to make a payment to a fraudulent vendor.
• Paper: Feeling nostalgic? Store your sensitive data in paper form? Any of the above can be accomplished by targeting important information on paper, many times with less effort.

It’s like trying to define the shape of air, always changing.”

Next we will explore what constitutes a loss of customer data, including who is responsible for the data’s safekeeping, whether the data owners or users or both. We will also address when a loss of data needs to be reported, and to whom.

Contact us for all your Insurance needs! (321)725-1620 

Bob Lancaster Insurance

                                                                        Serving Florida since 1964

fRisky Friday - Risk Management for Garages - Creating a Safety Culture in Auto Repair Garages

Creating a Safety Culture in Auto Repair Garages | Bankers Insurance

What’s Wrong in This Photo?

Auto tech Dan Windsor smelled burning rubber as he replaced the oil plug beneath a brand-new pearl-white F-250 King Ranch. A flicker of light, as from a candle, danced near his feet on the cement floor. He stepped from under the truck, snapped off gloves, and glanced up at the engine compartment. The vehicle was overhead on a lift, but a thin tongue of orange flame was visible, reaching high and licking the underside of the raised hood. He thumbed the lift controller’s DOWN button, snatched a fire extinguisher from the wall, and emptied its contents into the engine compartment. Even with his quick reactions, the truck was a total loss, resulting in a $72,000 claim against his business.

As insurance agents that specialize in auto garages, claims such as Dan’s are more frequent than realized. Although a $72,000 claim may be significant, it could have been much worse. Dan could have been injured or the building could have been set ablaze.

Risky Business

Garages are unique since they are exposed to such a broad variety of risks: vehicle accidents, damage to property, client injury due to faulty workmanship, and employee injuries, just to name a few. Hazards can originate from chemical reactions, sparks, fumes, solvents, and propellants. According to Service Tech, a lift inspection company, over 15,000 lift-related accidents cause employee hospitalization or death each year. Note how that statistic is driven by only one of the many pieces of equipment mechanics utilize every day.

Culture of Safety

Foster and Transfer

To prevent claims and reduce injuries, each garage must foster a strong safety culture. Regular training and awareness is then necessary to transfer that culture into a safety mindset adopted by each employee. This proactive approach takes time, but will help prevent accidents, injuries, and even save the business money on insurance premiums by reducing claims.

Be Proactive

Safety must be proactive. Never wait to make changes after an accident, but consider what mishaps may occur now, and take measures to prevent them.

Keep it Clean and Organized

Maintaining a clean and organized environment sets a consistent safety tone. It not only decreases the likelihood of accidents, but also boosts employee morale, increases work quality, and bolsters customer confidence. When a garage’s workplace is in order, operations flow in a predictable fashion, decreasing accidents. Employees may complain about cleaning up their workspace at the end of each day, but a neat environment increases pride and job performance. A clean, organized shop also creates the perception of quality in the mind of the consumer. It isn’t easy, but it is profitable.

Clothing

Clothing and personal protective equipment play a critical safety role. Do not allow loose clothing or bulky gloves. The fingers and forearms are particularly vulnerable areas. Items caught in spinning belts or driveshafts can quickly lead to amputations. Consider requiring the use of arm chaps, not only to prevent burns and abrasions, but to keep loose shirt sleeves out of the way of moving parts. Loose hair is especially dangerous and should be worn up and out of the way – never tolerate long, dangly ponytails. Requiring eye protection is an inexpensive precaution and keeps dirt, metal chips, acid, and refrigerant out of employees’ eyes. Hearing protection is important if working near loud machinery. Remember that noise often causes damage latently, and permanently. Provide your mechanics breathing protection for working on brakes or with solvents. All that black dust is caked full of metal micro particles and can damage respiratory health.

“Maintaining a clean and organized environment…not only decreases the likelihood of accidents, but also boosts employee morale, increases work quality, and bolsters customer confidence.”

So, what’s wrong with the photo?

Although not a critical safety breach when performing a task as benign as reinstalling a mass air flow sensor, wedding rings should never be worn in a shop. This mechanic is only utilizing a ratchet and torx driver now, but the next job may require power tools. Plus, rings are notorious for getting snagged on just about anything. Finger amputations don’t have to come from moving parts!

Bankers Insurance specializes in insuring auto repair garages and can provide safety manuals, as well as employee manuals for auto repair, auto body, and auto dealerships. Our risk management services can help you discover and address common safety hazards. Let us help your organization create a strong safety culture and accident-prevention mindset, which encourages a strong work ethic, deepens client experience, and increases profitability. 

Contact us for all your Insurance needs! (321)725-1620 

Bob Lancaster Insurance

                                                                       Serving Florida since 1964

Is Your Vehicle Subject to a Recall? | Free Vehicle Recall Lookup Tool

Thanks to a variety of efforts, the rates of vehicle-related injuries are dropping. And although removing distractions, routine maintenance, and defensive driving are important for safe travels, let’s not forget the easiest of all: vehicle recalls. Bankers Insurance values your safety and wants to ensure you are aware of a free vehicle recall lookup tool that will determine whether your vehicle is subject to a safety recall.

Owners should periodically look up whether an open recall exists for their vehicle(s). It is also a good idea to check for recalls before you purchase a used auto. Currently, it is estimated that 63,000,000 cars with open recalls are driving on U.S. roads.

Why are recalls issued?

Recalls are due to safety problems that may cause an accident or injure the occupants of the vehicle. They are issued when the auto manufacturer or the National Highway Traffic Safety Administration (NHTSA) determines an automobile does not comply with a Federal Motor Vehicle Safety Standard, or simply contains a safety-related defect.

IT IS ESTIMATED OVER 63,000,000 CARS WITH OPEN RECALLS ARE ON U.S. ROADS.”

One example is the recent Takata airbag recall, a critical safety issue which affects millions of vehicles all across the U.S. This recall is due to the airbag’s potential to injure vehicle occupants with metal shrapnel when the airbag deploys. To give you an idea of the scope of all recalls, in 2017 alone over 28,000,000 were issued by auto manufacturers.

Vehicle Recall Lookup Tool

The NHTSA’s recall tool makes it easy to determine if your vehicle contains an open recall. Simply type in your 17 digit VIN into the vehicle recall lookup tool and it will display if a recall exists. However, searching by VIN will not display closed (fixed) recalls, nor recalls performed by the manufacturer for non-safety issues. To see a list of all recalls reported to NHTSA, search by year and model number in the vehicle recall lookup instead.

Bankers Insurance values your business. Not only do we offer auto insurance, but also home insurance, personal umbrella insurance, boat insurance, and all others. If you have any questions and are one of our clients, contact your agent. Don’t have their information handy? Look it up in your Client Service Portal. If you aren’t one of our clients, visit our personal insurance page to request a comparative quote or contact us.

Most of all, enjoy the road, but drive safely.

Contact us for all your Insurance needs! (321)725-1620 

Bob Lancaster Insurance

                                                                        Serving Florida since 1964

fRisky Friday - Risk Management for Restaurants - How Far Does Restaurant Liability Reach When Third Party Delivery Services Are Involved?

How Far Does Restaurant Liability Reach When Third Party Delivery Services Are Involved?

With the advent of online and mobile food ordering, restaurateurs are able to reach far beyond the borders of their own four walls, helping to increase revenue, consumers, and the customer experience. While this new shift in services undoubtedly has many upsides, restauranteurs are increasingly faced with new questions about how to protect their business, and the importance of knowing just how far their liability coverage reaches.

Some of the concerns that we have heard voiced from restaurateurs working with third party delivery services are the potential for foodborne illnesses, accidents during the delivery process, or criminal acts committed by the delivery driver.

Though several larger third-party delivery companies offer partnership agreements with the restaurants they work with, that does not necessarily mean your restaurant is free and clear of any claims that may arise as a result of an incident. At the very least, your restaurant may still be a responsible party in the eyes of customer.

Ways restaurants can protect themselves:

• Require proof of insurance by the delivery service company or driver
• Require the third-party service to carry insurance coverage that names your restaurant as an additionally insured party
• Provide a disclaimer on your website or order form on the relationship with your restaurant and the delivery services
• Require the third-party service to follow the industry standards for food safety, including the acceptable amount of time that can pass before food is considered no longer safe
• Partner with third-party services that use tracking technology

Commercial General Liability Policy

A Commercial General Liability Policy covers a business for physical damage and bodily injury rising out of the operations of their business. The insurance industry for decades has been worried about slips, falls and food poisoning. Third-party delivery services now bring new challenges to the Commercial General Liability Policy. While there is no language to deal with outside delivery services, in most cases liability does not end once the delivery service picked up the food. The liability ends when the consumer eats the food.

Mobile food ordering is not going away anytime soon, and as this level of convenience technology and service grows, we can expect more personal injury and other consumer protection lawsuits that involve third-party delivery services. It is important to be aware of what coverage you have, the relationship you have with your delivery service, and work to mitigate the risk to your business as much as possible.

Contact us for all your Insurance needs! (321)725-1620 

Bob Lancaster Insurance

                                                                         Serving Florida since 1964

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