Monday, July 20, 2009

Insurance - Are You Covered?

Insurance - Are You Covered?

takaful ikhlas

A few years ago I had a client, a dentist. He was diagnosed with ADHD, brilliant, and a classic saver of papers and stuff. It took many conversations with him before he felt he was ready to get organized, (now I wonder why I tried so hard!). Our schedules finally came together and I visited his company to provide a Miracle in a Day. My assistant and I did our magic with his office and it was truly "a miracle."

A few days later he called my office, madder than a hornet. He was convinced we had thrown out a copy of a CD that was a software product he developed worth thousands of dollars (I believe it was about $65K). This could be pretty significant and devastating to most small business organizers, as we were technically and legally on the line for a potential loss there.

I was confident that I didn't throw it out. The organization project was a team effort, including the client and my assistant. Sure, it was possible, we're human after all, that it could have been misplaced or inadvertently thrown away. I did have the peace of mind that, with liability insurance as a small business owner, I knew I was covered up to a million dollars. If the CD could not have been located, it would have been extremely unfortunate. 

However, with the right insurance, I was confident everyone would be taken care of. Upon my returning to his office that afternoon I was gratefully able to locate the CD. We then added the keywords to his Paper Tiger database a little differently so this confusion would not happen again. Of course, my client was quite relieved.

When you are hiring a professional, whether it's an organizer, a web designer, or other professional, always make sure that, in addition to great business skills and credentials, that they also have the liability insurance to protect your assets should there be any mistakes along the way. The tip here is that there may be a "hidden cost" to lower rates.

Insurance Assessment

What about your own insurance needs? Are you adequately covered?

I'm definitely not an expert here, but I can certainly share my experience with you as a tip. Many of you know I had an auto accident two years ago. I was hit at a stop light by a driver from behind. He rear-ended me and splat, crunch, and whiplash. In a second my world changed. 

I had a trunk full of stuff, including the CPU for my computer, my laptop was on the front seat of my car, and my head/neck flew forward and backward. The consequences initially were a crushed CPU, my business laptop flown to the floor of my car, and my health immediately at risk. And my car - which I was hoping would go another few years - was totaled.

It just seems that it's timely with everyone cutting costs right now, that I feel really drawn to speak out and share that covering yourself with adequate insurance is not the area to skimp. If you have lost a job and are not continuing on COBRA because it cost too much, that's true, but there are alternatives. Auto insurance, are you adequately covered if the other person isn't covered sufficiently? 

Check with your auto insurance agent to see if you are covered if a beater car totals your Mercedes (even if it was 10 years old) and causes you a lifetime of medical bills. What about your stuff? We all seem to have high-end toys, lap tops, I-Phones, Blackberry's -- are they covered should you have a loss, with identity as well as on your homeowner's policy?

Just a bit of fuel for thought. I'm personally incredibly grateful for my healthcare -- although, I know there are always ways to assess how I can improve on how efficiently I am taking care of myself there too. So please take a look at where you think you are saving money. What's the expression - being penny wise and pound foolish.

takaful ikhlas