Archive September 2011

Second Corporate Manslaughter Case announced by the Crown Prosecution Service

26/09/2011 in Management Liability Insurance

Another stark reminder that directors should take their health and safety responsibilities seriously as the Crown Prosecution Service (CPS) announce that Lion Steel Equipment Ltd will be prosecuted under the Corporate Manslaughter & Homicide Act  (CMHA) 2007.

The decision follows the tragic death of employee, Steven Berry who fell through a fragile plastic roof panel on an industrial estate on Johnsonbrook Road, Hyde Greater Manchester.

This case is likely to be followed closely as it may provide better indication of the court’s approach to the CMHA and the levels of fines if a conviction is made.  The sentencing guidelines on Corporate Manslaughter issued in February 2010 suggested that fines would be expected to start from £500,000 and rise into the millions.

Management liability insurance will provide legal defence costs in respect of action brought under the Corporate Manslaughter & Homicide Act. For further information contact Tony Gibbs on 0118 9452944 or complete one of our enquiry forms.

Macbeth help day care centre with specialist insurance cover

20/09/2011 in Case Study, Social Welfare Insurance

When Carol Williams struggled to find the right adult day care for her autistic son, she was inspired to provide a solution herself. Such were the beginnings of Tomms Care which was established in 2010 in Port Talbot, South Wales to deliver the individualised services for nine young adults with autism and related disabilities.

But the business – one of the few day centres of its kind to provide recreational and life skills learning and training, Monday to Friday – may never have got off the ground if Macbeth Chartered Insurance Brokers had not successfully resolved some crucial insurance issues.

“Our principal requirement was onsite and offsite liability cover,” said Carol. “This is quite a specific need due to the sometimes difficult behaviour of our clients and, although not strictly compulsory, it is a requirement of local social services when referring people to us.”

In all, Carol approached some nine insurance advisers and services on the high street only to draw a blank each time. There just wasn’t the sector knowledge available to deliver the cover required.

It was an internet search which introduced Tomms Care to Macbeth and, in particular, the firm’s social welfare insurance which is specifically designed to cover a provider’s employer and third party responsibilities as well as their physical assets.

“Macbeth sorted us out really quickly,” went on Carol. “We were pretty anxious by this stage but their prompt service put us at ease and alleviated our worries. Their knowledge and experience in this sector meant we secured the policy we needed and that enabled us to open as planned.”

The Macbeth solution

• High quality customer service ethic ensured expert and prompt resolution of urgent insurance need
• Secured sector-specific insurance cover not readily available elsewhere
• Renewal premium held at first year rate despite staff and turnover increases at Tomms Care

Client verdict

“Macbeth is always responsive to our requirements and that’s a strength of service we just haven’t come across elsewhere,” said Carol Williams.

“Not only has Macbeth resolved our business liability cover and kept the premium at an affordable level, but they also sourced our unoccupied buildings insurance before opening.

“Again this was at a crucial stage of Tomms Care’s evolution and freed up our time to concentrate on service provision rather than the distraction of having to search for insurance solutions ourselves.”

Gold Rush!

08/09/2011 in Jewellery and Watches

All that glistens is gold

The recent down turn in the stock market is one of the contributing  factors that has seen unprecedented rises in the value of precious metals. Silver is now worth about nine times more than it was ten years ago and the price of gold has risen by 50% in the last year alone.

In a recent article for BBC news Phillip Diaper the manager of London’s oldest pawnbroker, Sutton & Robertsons commented “The price of gold has run away. A common garden gate bracelet ten years ago would have melted for £65; today it is worth £350.

The knock on effect is that some 6 million householders could be underinsured and claimants could be missing out on full pay-outs.

We recommend that you have your jewellery re-valued every 2-3 years and we can recommend highly reputable valuers to our clients.

At Macbeth we are always happy to provide advice about insuring high value jewellery.  See our blog about how to insure jewellery and watches or call Paul Macbeth on 0118 9452944.

Multi Vehicle v Fleet Insurance

05/09/2011 in Motor Fleet Insurance

If a company is operating more than one vehicle but less than five, I would normally recommend cover on a “multi-vehicle” policy. Each vehicle will earn its own no claims bonus and additional vehicles added will normally qualify for an introductory discount. Having all the vehicles under one policy with a common renewal date also helps from an administration point of view.

For companies with more than five vehicles, fleet insurance becomes a viable option. Rather than having no claim bonus on individual vehicles the insurers allow an overall fleet discount across all the vehicles. Insurers look at the premium they have collected in relation to claim payments and for well-run risk can be offering discounts of 60% plus. Fleet insurance can work well with expanding businesses as additional vehicles automatically benefit from the fleet discount. One or two minor claims during the insurance year may not have much impact on the premium; however it is worth bearing in mind that if the overall experience is bad then the fleet discount is likely to reduce and this will impact across the board.

Fleet insurance also tends to be more flexible, especially if there are younger drivers. I recommend to our clients that a vehicles risk management system is put in place and that drivers are incentivised to improve the risk.

It is important to be insured with an insurance company that acts quickly in the event of a claim, as a vehicle off the road is going to impact on profits.

For more information about multi-vehicle or fleet insurance, please contact Tony Gibbs on 0118 9452944 or complete one of our enquiry forms.