Pets are the perfect addition to a family as loving, loyal companions. Owning a pet comes with the responsibility of protecting them (and your home) from potential danger.

According to the National Fire Protection Association, nearly 800 home fires are started accidentally by pets each year. By implementing these simple safety tips, you can help ensure the well-being of everyone who calls your house home.

Fire prevention

• In the kitchen, keep pets away from stoves, countertops, and cooking appliances.
• Cover fireplaces with metal or heat-tempered glass screens.
• Keep pets away from candles, lamps, and space heaters – use battery-operated candles as a light alternative.
• Monitor what your pets are chewing and keep them away from electrical cords.
• Keep pets in crates or behind gates, away from hazardous areas, while you are away from home.

Plan ahead

• Have a fire safety plan – know ahead of time who is responsible for taking your pets in the event of a fire.
• Keep leashes, collars, and harnesses near entrances so they are easily accessible.
• Make sure your pets’ ID tags and microchip data are up to date.
• Use monitored smoke detectors that will alert emergency services if a fire should occur while you are away from home.
• Know your pets’ hiding spots so you can easily find them in the event of a fire.

During a fire

• Your safety is top priority - if you can’t find your pet, do not delay your escape.
• If possible, grab collars, leashes, and harnesses on the way out.
• Stay a safe distance away from the danger and allow firefighters to locate your pet.
• Try calling out to your pet once you are in a safe area.

If you want to take more proactive steps to protect your home from a fire, talk to your independent insurance agent about home coverage options.

Find an agent

Sources:

American Humane

American Red Cross

ASPCA

National Fire Protection Association

This article was originally published in The Standard.

The country’s housing market continues to be in flux as home prices shift, rates increase and demand for properties evolves. With home purchases slowing down in parts of the country, some insurance agents are generating fewer new business leads from this once-strong source. Agents looking to make up some of the difference resulting from the reduction in real estate transactions can likely uncover new business leads by understanding market trends to become a trusted resource for consumers.  

To provide independent agents with insights into today’s real estate trends, The Hanover partnered with The Harris Poll to conduct a survey on consumer sentiment. The Hanover’s 2023 Home Renovation Report indicates higher home prices have caused some consumers to stay put longer, and renovation activity remains high, which increases home values and serves as conversation starters for insurance agents and customers. Strategic agents can leverage these trends to provide customer counsel that drives new business while supporting existing customers to manage their risk exposures.  

Reduced home purchases driven by higher home and interest costs  

If agents are seeing fewer home transactions in their regions it is likely because 69% of respondents looking to purchase a home in 2022 were impacted by higher home prices and interest rates. To combat this, agents should diversify their lead sources to minimize the negative impacts of a slower housing market. One strategy is to target higher-value home leads, which appear less impacted by home market trends. Of those who planned to purchase a home in 2022, only nine percent of respondents with incomes over $100,000 opted to rent instead, compared to 21% of respondents with incomes under $100,000. 

Increased construction costs are not slowing down home renovations  

Customer conversations on the state of their home can lead agents to uncover changes to the value of the home which may require additional coverage. When renovations are done, it changes the value of the home – including the cost to rebuild it in case of a loss. Sixty-one percent of U.S. homeowners are planning renovations to their homes in 2023, with one in four (25%) planning major renovations. With homeowners still planning large amounts of renovations, the chances of a customer needing a coverage update continue to be high. Agents should incorporate proactive outreach into their strategy to help uncover renovations and keep coverage updated.  

Insurance agents may be a home renovation afterthought 

Independent insurance agents that have regular conversations with customers will stay top of mind and can be true risk mitigation partners. This is currently not the case with survey data reporting one-third of homeowners planning major renovations in the next year (34%) do not plan to or do not know they need to tell their insurance company/agent. This is an eight percent increase from last year, highlighting an opportunity for independent agents to proactively reach out to clients to educate them on the importance of updated coverage in case of a claim.

Independent agents should regularly educate customers on when to contact them, such as for life events like moving, buying a car or making renovations. This can be done through digital channels like social media or email as well as during customer conversations. Proactive outreach throughout the year also results in powerful conversations that give customers peace of mind that their agents are continuously looking for ways to protect investments and add value to the relationship. 

Strategic agents understand the importance of strong customer relationships and the true value provided through counsel. Understanding trends is a great tactic for maintaining a strong customer relationship that reminds customers of the value their agent provides. Independent insurance agents who take the time to help homeowners determine the necessary protection to cover damage to their home's structure as well as advise on overall home risk will likely be viewed as a trusted resource and see success. 

 

About the author

Daniel Halsey is president, personal lines, at The Hanover Insurance Group.

While the summer months can bring plenty of warmth, there are many outdoor activities using fire-heated products at your home that can turn up the temperature on fun. With these activities, however, also comes the need for extra levels of precaution. According to the American Burn Association, more than 400,000 people receive treatment from burn-related injuries each year.

Here are some tips to stay safe this summer – while enjoying the season.

Grilling

• Keep children and pets at least three feet away from a grill while it is in use.
• At the start of grilling season, check hoses of propane grills for leaks using soapy water. If any bubbles form, turn off the tank as you may have a propane leak.
• Never leave your grill unattended.
• After grilling with charcoal, let the coals cool and dispose of them in a metal container, which should be kept away from the house.

Campfires/bonfires

• Check with your municipality to confirm rules around what you are permitted to do.
• Watch forecasts to avoid having a fire when there are windy conditions that can turn a bonfire or campfire into a dangerous activity.
• Avoid using accelerants to start or intensify a fire.
• Keep a garden hose and/or large bucket of water on hand in case of an emergency.
• To properly extinguish a bonfire, use a shovel to spread out the ashes to cool them down, douse with water and monitor for any remaining embers before disposing in a designated metal ash can.

Sparklers

• Never hold more than one sparkler at a time.
• Keep at arm’s length away from your body.
• Stay at least six feet away from others.
• Once cooled, douse sparklers in water and dispose properly.

Fireworks

(If legal in your state and municipality only)

• Keep a bucket of water handy, just in case.
• Only light one at a time after ensuring it is pointed away from any bystanders.
• Once lit, move quickly to a safe distance away from the fireworks.
• Soak all used or malfunctioning fireworks before discarding. Never attempt to relight malfunctioning fireworks.

Be sure to use common sense and lean towards safety with whatever you plan for your next summer outdoor adventure. If you're curious about more coverage options for your home, talk to an independent agent.

Contact an agent

Sources

National Fire Protection Association

Mosquito Magnet

American Pyrotechnics Association

Consumer Product Safety Commission

This article was originally published in The Standard.

The war for talent wages on. It continues to be a difficult time to hire qualified employees, forcing more and more businesses to consider different ways to adapt, including the possibility of smaller, less skilled, and/or over-burdened workforces. At first, it may make sense to hire a less qualified employee to fill a gap, but these types of hires could increase the risks of on-the-job injuries, and in some cases, jeopardize the ongoing well-being of the business. To mitigate the risk of on-the-job injuries, business owners should proactively refine and manage their workers compensation programs to reduce losses, thus keeping their workers safe and protecting their business interests.

Some businesses are taking the time to ensure employee risks are limited, but the severity potential exists. In addition to physical injuries impacting workforces, businesses are seeing “mental injuries” that are more prevalent among today’s workforce. Many states are now including these injuries as eligible for coverage, which is a good reminder for businesses to understand the laws within their regions.

All of these factors lead to a change in the status quo when it comes to workers compensation programs. Successfully managing a workers compensation program requires the business, independent insurance agent and the insurance carrier to work in sync to promote workplace safety, claims excellence, loss control expertise and policy accuracy. To survive — and even thrive — during uncertain economic environments, businesses should strive to be flexible and willing to maintain their best practices for the safety of the workforce.

A combination of human resources expertise and loss control support is imperative. Policies, procedures, job descriptions and a safety-first culture will promote business success. These measures are also the best safeguard for a disciplined and compliant hiring process, which will help ensure that businesses hire and retain the best workers for their specific needs. Having the right employees on staff will help offset and combat risks in any environment.

Here are some other tactics businesses can implement to promote success:

1. Leverage technology to stay ahead of risk

There are now new ways to prevent worker injury by better assessing and addressing risks before they result in injury. For example, the use of artificial intelligence to evaluate how a workers movement may be risky and provide insight into how the organization can help address this by adjusting a person’s movement or approach. These slight adjustments in movement can reduce the risk of employee injury and end up saving the company money. In addition, wearable sensors can help pinpoint certain repetitive motions or material handling issues that increase risk exposure.

2. Enforce a well-documented new hire training protocol and onboarding process

Businesses need to remain consistent with documented training approaches for new employees. Resist the pressure to just get someone started in a position to maintain production or services and focus on training. A component of this training should be focused on worker injury, which can be offered as a component of the customer’s workers comp program.

3. Leverage services that can help get employees the right level of care, if a claim occurs

This can range from leveraging a third-party service to having an in-house clinic or nurse on staff to help provide expert advice at the time of injury. Some insurance programs will offer a complimentary service that will provide on-call nurse triage at the time of injury and be able to direct employees to the next best course of action when injured. Businesses should take advantage of these types of carrier offerings to help ensure the right level of care when an injury occurs.

4. Understand claim frequency and severity

Look for opportunities to have claim review meetings to monitor and manage workers compensation claims. Encourage businesses to report new claims quickly and work to understand how better triaging claims during the first report process can change the costs of outcomes. Use these interactions to help identify potential trends in workers compensation claim fraud.

5. Use risk management services

Manage the potential for the loss rather than the actual loss. Business owners must look beyond a claim’s direct cost and understand mitigation strategies and the cost of containing or preventing a loss. Safety policies and standards promote a “safety culture” and opportunities for employees to be educated about sound workplace behaviors. Simply reacting to hazards and accidents is not a long-term answer. Businesses will maximize their opportunities to protect their human capital and reduce claims when they anticipate and plan.

There is no doubt that the foundational structure and strength of a business’s safety culture can help minimize all hazards. Businesses that take a proactive approach will experience a difference in risk mitigation when they have formal programs and policies in place. An insurance carrier can play a pivotal role in assisting organizations to build a plan of action for their workers compensation program.

A robust workers compensation program is a basic tenet to any successful risk management effort, and the resulting safe work environment will allow for the continuation of the only truly sustainable competitive advantage — its employees.

 

About the author

Matt Mitchell is president, middle market, at The Hanover.

No one thinks it will happen to them. Until it does. Imagine walking to your parked car only to find out it is not there. In a split second, you become a victim of a dangerous and ever-growing criminal business. Learning how to prevent your car from being stolen or broken into can save you time and money and bring you peace of mind.

In 2022, the National Insurance Crime Bureau reported that more than 1 million consumers were victims of motor vehicle theft. This figure has been growing annually, up from just over 800,000 vehicle thefts in 2019. Here are some car theft prevention tips to help ensure your vehicle is not an easy target for thieves.

Secure and close it up

• Lock your doors.
• Don’t leave your keys in your car or a spare key near your car.
• Close your windows when you leave.

Park smartly

• Leave your car in well-lit areas, especially at night.
• Be aware of your surroundings and park in a secure garage if possible.

Avoid being a target

• Never leave your car running and unattended.
• Don’t leave valuables in your car. If you must, put them in an area where they cannot easily be seen from outside the vehicle, such as the trunk or the glove compartment.

Take proactive measures

• Install visible anti-theft devices, such as a steering wheel lock, to help deter thieves.
• Add a tracking device to help locate your car if it has been stolen.

With a vehicle reported stolen roughly every 39 seconds, according to the National Highway Transportation Safety Administration (NHTSA), it’s important to create new habits now – before it’s too late.

Sources:

National Insurance Crime Bureau

National Highway Transportation Safety Administration

This material is provided for informational purposes only and does not provide any coverage or guarantee loss prevention. The examples in this material are provided as hypothetical and for illustration purposes only. The Hanover Insurance Company and its affiliates and subsidiaries (“The Hanover”) specifically disclaim any warranty or representation that acceptance of any recommendations contained herein will make any premises, or operation safe or in compliance with any law or regulation. By providing this information to you, The Hanover does not assume (and specifically disclaims) any duty, undertaking or responsibility to you. The decision to accept or implement any recommendation(s) or advice contained in this material must be made by you.

LC 2023-094

Inflation and rising costs can affect more than just your home – they can also impact your wedding ring, expensive watch, coin collection, sporting equipment, musical instruments and more.

The best way to ensure the value of your personal items is as current as possible is to have them appraised every 3-5 years – more often for items of greater value.

Follow these simple steps to start your appraisal process:

1. Identify a certified expert

Every industry has a different set of professional standards and field of experts. There are three organizations that are a great place to start: Appraisers Association of America, American Society of Appraisers and International Society of Appraisers. Whatever appraiser you choose, make sure they are properly certified.

2. Schedule an in-person appraisal

While some appraisals can be done remotely with some degree of accuracy, your best bet is to schedule an appraiser to look at your valuables, so they can see the items in person and lend their expertise to any issues.

3. Document and protect your valuables

Whether you bought or inherited your valuables, you’ll need proof of ownership – meaning you’ll need to protect the paperwork almost as much as the item. Keep your receipts, take photos of your valuables and keep them in a safe. Some appraisers will take pictures as part of the appraisal process, but it is equally important for you to take and save photos for your own records.

4. Ensure you’re insured

In the event your items are lost or stolen, you’ll want valuable items coverage from a carrier like The Hanover to replace them. And if you already have coverage, make sure you are not underinsured. According to Artigem, 55% of insured valuable items don't have enough coverage to be fully replaced in the event of a claim. Talk to your independent insurance agent about the right coverage options for you.

Sources

lifehacker

Investopedia

Four steps to help your agency come out on top

By Paul James, National Sales Leader, VP Personal Lines, February 6, 2023. This article was originally published in Insurance Journal.  

Prices are increasing. Customers are at risk of being underinsured. They have questions. And your phone is starting to ring more.

Many agents were already struggling with staffing post-pandemic. But with historically higher renewal increases on the horizon, many agency owners will find themselves facing higher call volumes they’re not ready – or able – to staff for. With the best of intentions, teams will scramble to retain as many customers as possible by re-marketing to save a few dollars.
But that’s the opposite of what you should be doing now. Why?

This approach inherently means you’re being reactive to the loudest customers – and not spending your time proactively recognizing your most valuable clients who are your agency’s lifeblood. Many agents tell me they speak to their customers all the time. But when I ask them what about, it’s usually when customers call regarding a bill, a policy change, or a claim. What they overlook is that these calls are – at their core – negative. Our customers don’t wake up and get excited to call their insurance agent. They call when there’s a problem. And just solving a problem isn’t enough to build a deep customer relationship – not without proactive, positive touch points built in.

While some agents may have gotten away with a non-proactive approach before, with more customers calling to discuss price increases, there isn’t going to be enough time to answer all of them and protect your most valuable clients. Agents will need to re-prioritize.

Leveraging the 80/20 rule

You’ve probably heard of the Pareto Principal – or the 80/20 rule: 80% of all outcomes come from 20% of causes. The same is true for how we operate our business and the customers we serve. 80% of your agency’s growth and profitability likely come from 20% of your customers. Let’s call these customers your “A” customers and do a quick exercise to see why these customers are important for your agency.

• Picture who you’d consider to be an “A” client. There are a few themes that tend to stand out: They generate the most referrals, they’re an account customer, they pay on time, have no claims and lastly – they rarely call you. And when they do, it’s for counsel on their insurance needs.
• Then there’s the “B” client. What’s different? You might picture them also as an account. They have some billing delinquencies, a few claims. And they probably call you a lot more about price increases and help with billing.
• Now let’s think about a “C” client. Monoline. They have late payments – you’ve probably fought for reinstatement for non-payments for them more than once. They have multiple claims. And you are talking with them all the time about minor rate increases and shopping their policy – you may even be reaching out to them regularly to remind them to pay. 

Which of these clients is  more  desirable for your agency? Hands down, the answer is A. In fact, our internal data supports that, showing that an “A”  client on average may provide  up to a 10x higher  value over time than a “C” customer.

So now – what if I asked how much time you spend with each of these groups? When I talk with my agency partners, most say they spend between 60-70% of their time with their C clients, 20% with B and the last 10% with A. If you’re in a similar boat, you might consider re-prioritizing your efforts.
An important step you can take is identifying who your “A” customers are and making a conscious effort to focus on those clients. 

Four steps you can take

1. Segment your customers, and then reallocate time to proactively serve your “A” clients. Don’t wait for them to call you. Reach out to these customers to explain trends, what to expect at renewal, and review potential coverage risks. This creates a positive experience that shows these customers you value their loyalty and have their best interests in mind.
2. Partner with carriers that focus on serving more complex clients. Accounts with common effective dates retain up to 9 points better than monoline business according to our internal data. You need partners that offer solutions for common effective dates, package policies, and keeping everything together with one account to help you maximize retention and provide an optimal customer experience.
3. Leverage efficiency resources to help free up capacity for your agency. Self-service tools, EFT and carrier service centers can be your best friends here. Automatic payments help recurring delinquent payers stay on track. And mobile apps help your customers find answers to their questions while you focus on your “A” customers to consult and advise. The more advanced service center partners can even handle more complex questions and consultations on your behalf.
4. Remove your re-marketing threshold. Many of our partners have shared they have a built-in re-marketing threshold at a 10% increase. But this year, a 10% increase is going to be common – don’t overwhelm your team trying to re-quote all of these customers. Plus, re-marketing should only be used as a last resort. It reinforces an annual shopping habit that can eventually end with your customer leaving for an even lower price elsewhere, and also losing your agency money each year. Our research shows that agencies lose 10% premium on every re-marketed policy. On top of that, based on average CSR compensation, you’re essentially paying your staff $25-$30 in time spent to remarket each one. By changing your re-marketing practices, you’ll protect your agency’s profitability and free up valuable time you can re-purpose for proactive outreach.

With more of the standard auto and home market being commoditized, the future of independent agents is more with their complex accounts that value consultation and risk education. Agencies can take a big step in this direction by segmenting and identifying customers in their book of business accordingly and refining how they proactively add value and defend those clients. By prioritizing where they spend their time, agents will set up their businesses for long-term success.

About the author

Paul James is a national sales leader, VP of Personal Lines at The Hanover Insurance Group Inc.

Despite safeguards in place, the rate of cybercrime continues to trend at an all-time high. In 2021, the Federal Trade Commission received 5.7 million reports of identity theft, fraud and related incidents.

All it takes is one mistake for cybercriminals to exploit a faulty system or unsuspecting victim. Luckily, there are six easy steps you can take to help prevent these digital crimes:

1. Implement multi-factor authentication

Adding this layer of protection onto your digital accounts can drastically reduce your likelihood of being hacked.

2. Update your software routinely

Cybercriminals will look for ways to exploit out-of-date protection. Turn on any automatic software updates, where available, on your phones, laptops and tablets. This applies to applications and web browsers as well for an improved line of defense.

3. Use a password manager

Generate more intricate and unique passwords for maximum effectiveness. Don’t rely on apps and websites themselves to remember your passwords.

4. Make transactions on your private network

Avoid public Wi-Fi networks when making purchases online or sending sensitive information of any kind. Charge your devices at home as well and avoid free public charging stations as they are targets for cybercriminals.

5. Think twice before you click once

Scammers often use phishing campaigns to trick you into clicking links or attachments that can harm your computer or steal information. If the communication seems suspicious, call the sender to verify the email.

6. Back up critical files securely 

Consider backing up important information on a separate drive that uses encryption to store sensitive files. Test this secure location from time to time to ensure they are up to date and safeguarded.

Not sure if you are fully protected against cybercrimes? Talk to your independent agent today to review your policy and to discuss The Hanover’s cyber coverage offerings. Check out our cyber resources to see what is right for you.

Sources

Federal Trade Commission

FBI

University of California-Davis Health

Cybersecurity & Infrastructure Security Agency

Learn ways to prepare your home before, during and after a winter storm.

Sources:

Insurance Information Institute

AAA

FEMA

These essential tips, developed by The Hanover, provide important guidelines to help you prevent the most common weather-related damage that may occur during a winter storm. Bookmark this page to refer to these tips regularly, to help avoid or reduce the effects of a storm on your home and vehicles.

Learn ways to prepare your business before, during and after a winter storm.

Sources:

Insurance Information Institute

AAA

FEMA

IBHS

These essential tips, developed by The Hanover, provide important guidelines to help you prevent the most common weather-related damage that may occur during a winter storm. Bookmark this page to refer to these tips regularly, to help avoid or reduce the effects of a storm on your business and vehicles.