I’m nervous as hell about my next year’s premium with what I’ve been reading everywhere.
I’ve never had a claim, but neither have some of the GC’s whose insurance companies cancelled them out or raised their premium to 20 times the amount they were paying. No kidding.
Not only that, but how much confidence do you have that your insurance company would actually pay a claim or defend you any way? Have you read your policy?
I’m beginning to think I might transfer all my assets into my wife’s name, and start a new LLC for every project.
Any good ideas out there? I don’t need a tax break, I need tort reform.
Thanks,
Bill
Replies
Your fears are well founded. If you get renewed, your premium will go up.
Mine went up about 500%.
I see it as an added cost of business. Rather than eat the amount up-front, I paid a bit more and had it financed for 8 months. Again, the cost of business. I share my new added costs with my clients as a line cost added on my spreadsheet.
As I understand it, this is a "hard market", one that will swing down as time goes by. There are a lot of sources out there explaining the cause of this mess.
And not to start another thread, tort reform don't have a thing to do with it.
Good luck and don't take the increase premium personal. It's just business.
Bill,
JLC has a good article in July issue.
Mark,
$32,000,000 award in a single mold case implies some kind of reform is needed.
KK
You don't need to start a new thread or feel you've stolen this one because I mentioned tort reform in my post. Though it seems you have already inferred you won't say why you don't think tort reform will help, can you clue me in?
For many a 500% increase (or more with more to come) is not a part of doing business, it's more a part of going out of business.
I don't think it's a matter of being business or personal, frankly. When you're small, business and personal is the same thing.
Thanks,
Bill