Increased Cyber Risk Leads to more Cyberinsurance

Insurance Journal reported on June 15 that a recent increase in corporate security breaches is pushing some many companies to opt for cyberinsurance for increased risk mitigation. The article notes that the US Senate, the International Monetary Fund, Lockheed Martin Corp., Citigroup Inc., Google, and Sony Corp. are among the various institutions that have experienced cyber attacks. When a cyber attack occurs, cyberinsurance can cover things such as civil suits, fixing computer systems, providing identity theft services to customers, fines from governments and regulators, or civil suits. In addition, cyberinsurance can cover mundane things that are necessary in such an event, such as sorry letters to customers.

However, with an average data breach claim of $7.2 million in 2010, insurance companies carry exclusions for things such as us incidents involving unencrypted laptops, computers that don't receive regular updates, etc. Unfortunately for now, companies offereing cyberinsurance are having a difficult time regulating the industry, because there are no set standards, unlike the auto industry where it is possible to require people wear a seat belt. Insurers, however, are confident that that will change.

For more information, take a look at how Travelers Insurance manages CyberRisk, or call today at 508-540-2400.

Texting While Driving Could Raise Your Auto Insurance

Back in January, we posted an article about the dangers of texting while driving. As we mentioned, not only is texting while driving dangerous, it is also currently illegal in 30 states, including Massachusetts, and many states are looking to join those that have already made it illegal. In Massachusetts, using any kind of mobile communication (including using hands-free calling) is illegal for operators under the age of 18; the first offense results in a 60 day license suspension, a $100 fine, and requires an attitudinal course. Fines and license suspensions only increase from there. For drivers over the age of 18, texting while driving is illegal, and an initial offense results in a $100 fine. Second and third offenses result in $250 and $500 fines. For a full list of all the offenses, check up on the Safe Driving Law, which was enacted on September 30, 2010.

Although texting while driving in Massachusetts is considered a civil offense and not a moving violation, in some states, such as Connecticut, texting while driving is considered a moving violation and can result in increased insurance rates. While you're traveling this summer, stay safe and be aware that many states have different laws on the legality of texting while driving, and whether or not it counts as a moving violation.

Planning Your Vacation Away from Home

As the summer season rolls into gear and families begin making plans for vacation, make sure to take a look at some of our tips for avoiding problems while you're gone, especially if you're leaving for an extended period of time.

• Suspend mail and newspaper deliveries.
• Arrange to have your lawn mowed and use automatic lighting timers to discourage break-ins.
• Adjust your thermostat.
• Arrange to have a friend, neighbor, or family member to spot check while you're away.
• Unplug non-essential electronics and appliances, such as computers, lamps, clock-radios, etc.
• Turn off your water; doing so will stop a potential minor leak from turning into a major flood.
• Leave a set of car keys with a neighbor or friend if you leave a car behind, in case it might need to be moved.
• If you have an alarm, make sure someone you trust has access to the cancellation codes. Notify the fire department and police department that you will be away and give them your trusted friend's contact information so that they know who to go to for problems with the house.

Stay safe, enjoy your vacation, and have a great summer!

Stay Safe While Driving in the Rain

While the bulk of the rainy spring season may be over, it's always important to keep in mind safe driving tips, especially, with Cape Cod's unpredictable weather. When driving in the rain, it's safe to drive similar to how you would in snow conditions.



When navigating wet roads:

• Slow down by 5 miles per hour
• Give the vehicle in front of you twice as much distance as you normally would.
• Pull over to the side of the road for a few minutes if heavy rain makes it too hard to navigate.
• Keep in mind that roads are typically the most slippery during the first 10-15 minutes of rain, as oil and other pollutants can mix with the rain water and make the roads more slick.

If you get stuck in a hydroplane, follow these guidelines:

• Ease off the gas
• If you begin to swerve, turn in the direction of the skid
• If you have antilock brakes, apply the brakes firmly; don't pump them
• If you don't have antilock brakes, practice threshold braking: apply the brakes at a medium pressure so that you slow down, but not so hard that you enter a skid

Reporting an Auto Insurance Claim

As the summer season arrives and traffic increases on Cape Cod, the risk of a car collision naturally increases. Murray and MacDonald Insurance Services wishes you a safe and enjoyable summer season, but should you need to report an automobile claim, keep some of these tips in mind:

While there is a range of automobile insurance options, some of the more common insurance claims include liability, collision, and comprehensive.

If you are found at fault for a car accident, liability insurance covers the cost of repairing property damaged in the collision, including buildings and vehicles, as well as medical bills that may be associated with the collision.

A collision claim is a car insurance claim in which your car was damaged as a result of a collision, which is not necessarily limited to collisions with other vehicles. Collision claims may include solo car accidents, for example, in a case in which you may have run into a telephone pole or a building.

A comprehensive claim is for any damage or loss to your car that is not a result of a collision. Vandalism and theft are some of the more common incidents that result in a comprehensive claim.

If you've suffered a loss or damage to your vehicle, you should contact your insurance agent. Remember, if you need to contact Murray and MacDonald Insurance Services, we are open from 8:30AM-4:30PM on Monday-Friday, and our phone number is 508-540-2400.

If you wish, you can contact your insurance company directly. You can find a list of insurance companies that Murray and MacDonald Insurance Services does business with here. Keep in mind that many insurance companies now allow you to submit claims online.

When reporting a collision claim, make sure you have as much of this information as possible:

• Date, time, and location of accident
• Information from the other driver, including name, address, phone number, and driver's license number.
• The current location of your vehicle and whether it is drivable.
• Information regarding other vehicles involved, including make, model, VIN, and license plate number.
• Insurance information from other parties involved, including the carrier and policy number.
• Contact information from any law enforcement agencies or witnesses that were at the scene.
• If possible, take pictures with a disposable camera or a cellphone of the vehicles involved, including pictures of damaged areas and the license plates of the vehicles involved.

When reporting a comprehensive claim, make sure you have as much of this information as possible:

• Details on the loss or damage, including time, date, and location.
• Current mileage of your vehicle and options included with your vehicle in order to determine the current value of your vehicle.
• Current location of your vehicle and whether it is drivable.
• Contact information of the financial institution that financed your vehicle.
• Contact information from any law enforcement agencies or witnesses that were at the scene.
• If necessary, take pictures of the damaged areas of the vehicle.

Have a safe and enjoyable summer, and remember, should you need any assistance or should you need to report a claim, you can contact Murray and MacDonald Insurance Services at 508-540-2400, at murmac@mmisi.com, or by visiting our website at www.mmisi.com.