Is your liability coverage short circuiting?

Is your liability coverage short circuiting?

Contractors Need Errors & Omissions Insurance

You’ve built your business through professional service and thorough work. Electrical contractors offer a wide range of services: low voltage or high voltage, inside wiring or traffic signalization, industrial or institutional. But occasionally things go wrong. Working with Enders to review your business insurance program can help you to move forward during the most challenging claims. 

If you are relying solely on the General Liability of your Commercial Package or Businessowners Policy to respond in the event of a loss, you’re rolling the dice. This might not be enough given the complexity of your work. While General Liability will typically respond for damage that you cause to person, or property, it is not broad enough to protect against Errors & Omissions. 

Fortunately, Contractors Errors & Omissions Coverage can be incorporated into your insurance program to protect you after you complete a job and you are held responsible for faulty: installation, workmanship, materials and design. Beyond payment of claims, Contractors Errors & Omissions Coverage could include legal fees to defend you in addition to your policy limit.  

Even with a  spotless claims history, mistakes can happen. One uncovered loss could change the entire trajectory of your business. 

Imagine that you design and install an electrical system with wiring under the concrete ground floor for a new store. After the store opens, the owner asks you to correct wiring that can’t handle the power load. General Liability will not respond. Consider the installation of a circuit breaker that was recalled, but used in a job because it was already on your truck. If the load is too great and the breaker fails and causes a catastrophic fire, your General Liability will not respond.  

Simply put, your Contractors Errors & Omissions carrier will pay sums that you become legally obligated to pay as damages because of a covered claim. The damages must have resulted from: 

  • A negligent act, error or omission while acting in the business capacity described in the declarations of the policy  
  • A defect in material or in a product sold or installed by the insured while acting in that capacity 

Impact of Early Move Re-opening on Insurance

Enders Joins Peers

Governor Wolf and the Pennsylvania Insurance Department recently made several public statements regarding provisions in many types of insurance policies that could exclude coverage for businesses or individuals “engaging in illegal acts or conduct”.  We believe that most policyholders recognize that insurance, in general, does not provide coverage for illegal or criminal acts, regardless of the current COVID-19 pandemic or measures that have been put in place in response.

While our elected officials debate the politics and impact on their constituents, our team remains steadfastly committed to educating our clients. We concur with our peers at Gunn Mowery, Horst Insurance, McConkey, Murray and Susquehanna Insurance that an early move from the Red Phase to Yellow Phase is a legal matter, with unintended consequences to individual insurance policies.

With patience and thoughtful discourse we can all survive and find new ways to thrive.


COVID-19 Impact on Personal Auto Insurance




It Rained So Much This Year

Jim Enders was invited back to WITF’s SmartTalk for another round of discussion with Scott LaMar. 2018 will go down as one of the wettest on record – now, more than ever, Flood Insurance was the only source of coverage for many impacted by the water.

You can take control of protecting your property by securing flood insurance before the water starts rising. Coverage is often more affordable than expected. It is key to partner with an agent that understands the nuance of flood insurance.


Winterize your driving: It’s more than mechanics

Winterize your driving: It’s more than mechanics

Prepare your vehicle

Most of us understand the importance of preparing our vehicles for winter ̶  making sure tires are in good shape, wipers are good, brakes properly serviced and snow scraper in the car. We diligently address the mechanics in anticipation of expected winter extremes.

Prepare yourself

First, we must be ready to adjust our habits to better face the unpredictable challenges that often come with winter driving.  Second, consider the following tips before driving during inclement weather:

  • Conduct a pre-trip check. These are extremely important during the winter. Get into the habit of making sure windows and mirrors are clean and wipers are cleared before you start out. Clean all lights; make sure your heater and defroster are working properly. Carry an extra jug of windshield washer fluid.
  • Carry a blanket and/or extra clothing in your vehicle. Pack a water bottle and some high energy food bars in case you become stranded. Always ensure that your cell phone is fully charged prior to heading out.
  • Give yourself plenty of time. A 30-minute trip in good weather conditions may require double or triple that time in poor conditions. Warm up your vehicle so that windows are clear and you’re not looking through an “ice tunnel” in the windshield.
  • Have an exit plan. If conditions become hazardous, get off the road at the nearest exit, gas station or other safe place and wait out the storm. Let someone know where you are.
  • Be prepared to be stranded. In most cases, it’s better to stay with your vehicle. Keep a window cracked for ventilation, and make sure the exhaust system is clear of snow. Ration fuel if faced with the prospect of a long wait for rescue.
  • Beware of “snow hypnosis.” Driving and continuing to stare into onrushing snowflakes can cause a state described as the “1,000-yard stare,” when the eyes become unfocused and mental alertness wanes.
  • Take it easy! If your mind and body are telling you it feels safe at 40 mph, drive at 35 mph. Drive 5 mph below what you think or feel is safe.
  • Make gradual directional and lane changes. Signal well in advance, then slowly complete the maneuver. Extend the distance interval between yourself and the vehicle in front of you; it takes longer to stop in sloppy weather.
  • Pay heed to road conditions. Remember, condensation freezes on bridges, overpasses and shaded areas before the rest of the roadway. Avoid lane changes in these areas as well as in intersection zones.
  • Know your brakes! Antilock (ABS) brakes respond and feel different than standard brakes. If you begin to skid, release the accelerator, and steer in the direction you want to go. Do everything gently and turn the steering wheel as little as possible.
  • Avoid using cruise control where the roads might be slick. Cruise control can apply power suddenly or at the wrong time causing a skid or making a minor skid uncontrollable. If cruise is on and you think the road might be slick, use the hand-operated controls to turn it off; tapping the brakes can initiate a skid.

This post was created by the Loss Control team at the Cincinnati Insurance Companies