Author: sch43yt9824huilb

Valuation

Imagine the following – out in your warehouse, an ocean container with a shipment of new inventory just tipped over as the mis-operated gantry was preparing to strip-out. As a result, $100,000 of goods just sheared into chips, worthy perhaps for use in a nice terrazzo or mosaic application, or for sale to the local garden store as a ground cover.
Or, was that $250,000 in goods?

Why the discrepancy? Let’s assume that the $100,000 was your cost, but that the product could have been sold for $250,000. Had the loss happened during delivery, a typical ocean policy would provide CIF+10%, or $110,000. On land, most Property insurance policies pay replacement cost on inventory, which in this instance wouldn’t even give you the 10% provided by the Ocean policy.

Do your policies take your margins into consideration?

The Solution – The Property Policy available through the Marble, Stone and Tile Insurance Connection covers your goods at Sales Price – – so regardless of whether the damage happens on the ocean or in an accident while in your inventory, your business doesn’t suffer.

Audits

PART I

Congratulations! You’ve just landed a major supply contract that will drive your sales up by 40% over last year! More congratulations from your insurance company! You’ve just caused your General Liability premiums to go up by 25%, because it’s rated on your gross annual sales!

Is this ‘fair’? We don’t think so. Chances are, the loss exposures haven’t increased all that dramatically. Why should success be penalized?

The Solution – premiums for the General Liability Policy available through the Marble, Stone and Tile Insurance Connection are rated on a fixed amount of property – – so even if your sales go up, your costs remain constant.

PART II

Many Ocean Marine policies require that you keep records of each shipment, and submit them to the insurance company each month so they can ‘track’ your activity and premium usage.

Do you have the time to keep and file such records? Even insurance companies don’t have the personnel to track and bill reports under this antiquated process.

The Solution – premiums for the available Ocean Marine Policy are rated against your gross sales – – an up-front deposit is based on estimated sales, and premiums are adjusted at the end of the year using your actual sales figure. The above examples are based on certain assumptions and are for reference only. However, don’t make assumptions when it comes to your business. Let mystic take the mystery out of your insurance program.

Some “Hard” Facts About Insurance

Question: What is one of the hardest substances known?
Answer: Diamonds – created by great pressure; changed from coal into clarity.

Question: What is one of the hardest things to do?
Answer: Change – whether under great pressure or not, sometimes it’s hard to perceive benefits with clarity.

How can you get a ‘gem’ of an insurance policy, and pocket much more than spare ‘change’?

By making sure that your insurance premiums are working as hard as possible. The Marble, Stone and Tile Insurance Program was built for companies like yours. It can help protect all your assets through broader coverage with lower up-front costs, provide a better return on claims payments, and pay your sales prices, insuring your profits as well.

Don’t settle for a diamond in the rough. Have your policies appraised by the experts. For crystal-clear insight, call Marc Rosenkrantz of

Schechner Lifson Corp.
4 Chatham Road
Summit, NJ 07901
800-475-0826 in NJ or 800-279-9360 (everywhere else)