Impact Of Changes To Work Comp Law In Michigan

As you may be aware, on Dec. 19, 2011, Michigan Gov. Rick Snyder signed legislation to reform Michigan’s Workers’ Disability Compensation Act. The goal of the revisions was to help clarify and modernize the act, as well as ensure stability when it comes to application.

Accident Fund Insurance Company has reviewed the legislation and has identified three areas that we believe will have the most impact moving forward:

· Employer-Directed Medical Care ― The new law allows employers to direct care for the first 28 days from the inception of care; previously, it had been 10 days.

· Disability ― This law basically codifies the decision made in the 2008 case of Stokes v. Chrysler. A disability is “total” if the employee is unable to perform any work suitable to the employee’s qualifications and training. A disability is “partial” if the employee retains the ability to earn some wages for suitable work.

· Wage-Earning Capacity ― In determining wage-earning capacity, the employer is able to look at not only work performed, but also jobs that are reasonably available that the injured worker could perform. Police and firefighters are exempt from this provision.

 

Source: Accident Fund Insurance Company

Landlord Loss Prevention

Loss Prevention Guidelines

Being a landlord isn’t always easy. Problems with tenants can result in loss of time and money as well as unnecessary hassles. If you don’t want to deal with rent collection, maintenance and tenant screening, consider using a Property Management Company to manage your rental properties. However, if you do handle things on your own, the following guidelines may help ensure a good relationship with your tenants, maintain your rental home and make your life as a landlord much easier.

Tenant Screening

• Check references. Request at least three references (preferably previous landlords) and take the time to follow up on them.
• Keep records. To protect your interests and the interests of your tenants, document everything in writing and keep the paperwork throughout the entire rental agreement.
• Run a credit check. It’s always wise to check an applicant’s income, employment and credit history to verify they can afford to pay rent each month. However, make sure you obtain your prospective tenant’s written consent before doing so.
• Prepare a clearly-defined lease. Develop an appropriate set of rules and have them reviewed by a real estate attorney. Provide all prospective tenants with a copy of the rules and have them initial each page and sign an acknowledgement.

Important information to consider in a lease agreement

Be sure your lease agreement outlines the specific obligations of each party and is written clearly enough for the tenant to understand what they must or must not do. Standard items to consider include:

• Rent. Be specific about when the rent is due and when it’s considered late.
• Deposit information. Outline the amount of deposit required and what circumstances may result in a loss of deposit money.
• Prohibited activities. Create a concise list of the types of activities you will not allow, such as grilling on porches or decks, use of portable space heaters, renovations or remodeling without landlord consent.
• Maintenance and repairs. Document who is responsible for routine maintenance and repairs and provide the amount of time you will be allowed to respond to requests.
• Responsibility for utilities and waste removal. Clearly define who is responsible for each utility and service.
• Your right of entry to the premises. It’s a good idea to include circumstances in which you have the right to enter.
• Pet restrictions and policies. Specifically list any pets or breeds you will not allow in addition to any regulations that need to be followed.
• What stays and what goes when the tenant vacates. If your home provides any removable items, be sure to note that they need to stay in the home when the tenant leaves.
• Length of notice to vacate. Provide how many days notice you will need when a tenant decides to move out.
• Renter’s insurance policy. Require that your tenant have an insurance policy in the event of a fire, theft or liability issue.

Source: Fremont Insurance Company

9004690 1/11

Driving Agreement For Your Kids

According to the Michigan State Police, Traffic crashes are the leading cause of death and injury for young drivers. In 2008, drivers 16 – 24 years of age constituted 14 percent of all drivers yet were involved in 36.3 percent of all crashes and 31.6 percent of fatal crashes. Along with night driving and number of passenger restrictions, one of the most important tools that parents can use to help keep their young drivers safe is an enforced Driver Safety Agreement. It is important that the agreement is reviewed and discussed not only before it is enacted, but periodically throughout their early driving experience. Below is a sample agreement.

My Driver Safety Agreement

Driving is a privilege that I may lose by violating this agreement or may have suspended for other reasons such as (but not limited to) unsatisfactory school grades and violations of family trust.

I will obey any curfews or restrictions imposed by my driver’s license.

I will obey all traffic laws and speed limits.

I will not drink and drive, or use illegal drugs, or drive if I am taking ANY medication that may affect my driving.

I will not ride with anyone whom I know or suspect is under the influence of alcohol or drugs (legal, or illegal).

I will not permit any open or empty containers of alcohol, or transport anyone who I know or suspect may be carrying illegal drugs in any vehicle I operate.

I will not ride in any vehicle where I know there are empty or open containers of alcohol or where anyone who I know or suspect may be carrying illegal drugs.

I agree not to drive with or transport anyone who is in possession of any weapon.

I will always wear my seatbelt and shoulder harness. I will not ride in any vehicle in which there are more people than seat belts.

I will make certain that I can always hear emergency vehicles and traffic sounds.

I will drive defensively.

I will avoid being a distracted driver, particularly avoiding texting or operating a cell or smartphone

I will not transport passengers unless they are properly secured by a seatbelt.

I will always wear a helmet if I am driving or riding on a motorcycle. I will not transport a passenger unless he or she also wears a helmet.

I will drive in a manner that respects the safety of myself, my passengers, other drivers and pedestrians.

I will ignore peer pressure. While driving, I am in control. I can stop and ask others to leave my vehicle and, as a passenger, I can ask a driver to stop and let me out.

I will not drive unless I feel safe and certain of my ability.

I will be especially alert during dangerous conditions such as rain, snow, sleet, wind, heavy traffic, fog, unlit roads, construction zones, and accident scenes.

I will always lock every door and take the keys when I leave the vehicle. I will park in areas where I believe the vehicle will be safe from damage or theft.

I will obey the driving instructions of my parent(s) and of law enforcement officers.

Additional Conditions Required By My Parent(s):

________________________________________________________________

________________________________________________________________

I have read, understood and I will comply with this agreement.

Signed______________________ Witnessed_________________________

Date:_______________________

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COPYRIGHT: Insurance Publishing Plus, Inc. 1996, 1998, 1999, 2001, 2006

Allstate Drops Homeowners Who Insure Autos Elsewhere

Some North Carolina residents who insure their residences through Allstate are finding themselves dropped by the company for refusing to bundle their home and auto coverage.

Allstate Insurance Co. has informed 45,000 homeowners that it will non-renew their homeowner’s policy unless they also purchase a commercial or private automobile insurance from the insurer by Dec. 15, 2011.

Allstate spokesperson Tracy Owens, speaking from the insurer’s Southeast Regional Office in Atlanta, said the decision came about after an intensive review of the insurer’s North Carolina book of business.

“We wanted to be sure that we could manage our risk both now and in the future and protect the other 400,000 households we insure,” Owens said.

According to documents filed with the North Carolina Department of Insurance, Allstate indicated that it would non-renew 30,400 standard homeowners policies, 10,500 landlord packaged policies, and 4,900 mobile homes policies.

Owens said that although Allstate has decided it must drop the policies, it is providing another coverage option from the Universal North America Insurance Co.

Allstate has reached an agreement with Universal whereby it will provide a quote for 26,150 of the affected homeowners. The Denver, Colo.-based Universal also is slated to submit a quote to 9,300 of the 10,500 landlords losing their Allstate coverage.

In a separate deal, the mobile home owners will have an opportunity to find coverage through the American Modern Insurance Group.

North Carolina Department of Insurance spokesperson Kerry Hall said that as a matter of professional courtesy Allstate informed the department of its decision to non-renew the policies, although the insurer had no legal requirement to do so.

“From our perspective, what Allstate is doing is legal as long as it gives consumers a 30-day notice before cancelling the policy,” said Hall.

Source: Insurance Journal