Category: Property & Casualty

Trends in Cyber Risk Prevention

In today’s climate, cyber risk is top of mind for business leaders.  Unfortunately, many still fail to understand the complexities involved and unknowingly leave their businesses vulnerable.

High-profile data breaches grab our attention on a regular basis – like the hack of Under Armour’s MyFitnessPal app earlier this year that was called “one of the biggest hacks in history,” compromising 150 million accounts.  When these incidents occur, businesses should turn the fear of “what if?” into action by evaluating their exposures and ensuring they are properly protected and prepared to deal with a breach should it occur.  

Continue reading

Affordable Housing Practice Group Engagement

Our Affordable Housing Practice Group team members are continuously engaged in the industry, staying up-to-date on the important issues impacting the organizations serving in this sector and ensuring that our clients in this space are receiving the best guidance and highest level of service.

Continue reading

Property & Casualty Market Outlook for 2018-2019

At Scott, our clients often ask us for predictions on how their insurance costs will change year-over-year. While every company has unique characteristics that impact pricing, we can make some general observations and recommendations based on past and current market conditions that can help when preparing for the future. 

Continue reading

Business Pollution Coverage & Potential Exposures

When it comes to determining which businesses need pollution coverage, most businesses think they know the answer. The manufacturing plant with its tall smoke stacks, the local gas station or the rock quarry down the road. In short: anyone but me.

What constitutes a pollution claim?

The misconception around pollution exposure and the need for coverage is based on the fact that most businesses believe that pollution claims arise from traditional environmental claims like oil spills or water contamination. The reality is that pollution claims can come in many unexpected ways. For example, a faulty HVAC unit in a commercial building that starts to release carbon monoxide fumes that can lead to injury to the tenants. Another example is a contractor excavating for the foundation of a building that hits a sewer pipe. Each of these situations arises from the normal operations of the business, but each results in a pollution claim.  

Continue reading

New Tax Plan Impacts Affordable Housing

At the end of 2017, the U.S Senate and House of Representatives passed the Tax Cuts and Jobs Act, which reduced the corporate tax rate from 35% to 21%. The new tax rate, the lowest since 1938, went into effect on January 1, 2018.

While the full impact of the new plan is yet to be determined, it is expected that the changes will have a significant impact on the affordable housing industry and many of the clients we serve in that sector. The Low Income Housing Tax Credit (LIHTC) helps finance 90% of affordable rental units built across the country. Since these credits are tied to the corporate tax rate, the credits are worth less to investors when the expected tax burden decreases.  

Continue reading