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  July 17, 2014


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NYC employers now must comply with new Paid Sick Leave Law

New York City’s new Paid Sick Leave Law applies to most employees in the city and is now in effect. Employees can start using earned sick leave on July 30, 2014. Employees who work in NYC for more than 80 hours a year can earn up to 40 hours of sick leave each year to care for themselves or a family member. Employers, including a nonprofit or small business, must provide the following: paid sick leave if they have five or more employees who work in NYC or unpaid sick leave if they have fewer than five employees; and two days of paid sick leave to domestic workers who have worked for an employer for more than one year, in addition to the three days of paid rest to which domestic workers are entitled under New York State Labor Law. More …   

N.Y. data breaches have tripled since 2006

Security breaches have tripled in frequency in New York state from 2006 to 2013, exposing 22.8 million personal records and costing businesses more than $1.37 billion last year, said New York Attorney General Eric Schneiderman. Nearly 5,000 breaches were reported to the office by businesses and organizations during that time, with hackers causing the most damage. More … Data breaches can happen to anyone, and it is important to be prepared should your agency be hacked and your clients’ information compromised. PIA provides crucial cyber-liability coverage that will help protect you, your business and your clients. More …   

Ride-sharing service Lyft defies NYC, state regulators

Lyft, a ride-sharing firm, has begun operations in New York City, despite a cease-and-desist order from the Department of Financial Services for its operations in Buffalo and Rochester and without approval from New York City’s Taxi and Limousine Commission. Drivers were warned that they could face steep fines or lose their cars, according to the commission. DFS Superintendent Benjamin Lawsky said the ride-sharing service is running afoul of state insurance regulations. "Lyft’s ongoing law violations will not be tolerated and must halt," he said in a July 8 letter to Lyft. The company stated it is involved in ongoing, "productive conversations" with Lawsky’s office and believes it can resolve the issues. More … Lawsky and Attorney General Eric T. Schneiderman released a joint statement on July 11, regarding their motion for a temporary restraining order against Lyft.   

DFS rejects NYCIRB loss cost filing

In Bulletin R.C. 2367, the New York Compensation Insurance Rating Board reports that on July 11, 2014, an Opinion and Decision was issued by the Department of Financial Services disapproving the +6.8 percent loss cost level change filed on May 15, 2014, for an effective date of Oct. 1, 2014. Consequently, the current loss costs and rating values will remain in effect. The DFS took issue with elements of the filing for capping of permanent partial disability claims, assumptions for reopened case funds, the private carrier premium development experience period and the Workers’ Compensation Board guideline reforms. However, carriers have the option to file revised loss cost multipliers with the DFS.   

Senate to vote on TRIA, NARAB bill today

The Senate will vote this afternoon on S.2244, which would reauthorize the Terrorism Risk Insurance Program for seven years while also creating the National Association of Registered Agents and Brokers Reform Act. In addition to extending TRIA, the legislation would increase insurers’ co-pays to 20 percent from 15 percent. While the recoupment of federal payments will be mandatory if the insurance industry’s aggregate compensation loss is less than $37.5 billion, up from the current sum of $27.5 billion. These increases will be phased in over a period of five years.   

NCCI reports on frequency of claims

The National Council on Compensation Insurance released its Workers Compensation Claim Frequency—2014 Update, which reports that workers’ compensation lost-time claim frequency declined by a relatively modest 2 percent in Accident Year 2013. The Great Recession of 2007-09, which was the most serious and long-lasting economic contraction since the Great Depression, had a considerable effect on claim frequency changes. Frequency increased in Accident Year 2010 and has declined in each subsequent accident year.   

PIA Licensing Compliance Central

Do you have an employee looking to become licensed? Are you thinking about getting a nonresident license? PIA’s Licensing Compliance Central provides members with free access to numerous resources, including information on the following topics: how to become licensed; renewal information; ability to print your license; CE requirements; and other state-related licensing resources. To learn more, click here.   

PIA, Floodbroker.com offer tools to help agents sell more flood insurance

PIANY and Floodbroker.com offer PIA-member agencies a unique sales tool to facilitate the sale of flood coverage and provide critical documentation of the agency’s efforts to do so. This exclusive agreement provides PIA-member agencies with a customized link installed on their own agency’s website to encourage current and prospective clients to consider and purchase flood coverage. The web portal leads consumers to flood insurance information, and with a simple application it will generate a quote for the customer, as well as a qualified lead for the agency to engage. More …   


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PIA helps members retain clients

The successful agency works hard at the onset to attract new business, but works harder to keep it year after year. Revolving-door agencies—which bring in clients one year, only to have them chase a competitor’s marginally lower quote the next—struggle to remain profitable in an increasingly competitive marketplace. Retention can be tricky for producers. Much of what you do for your clients is invisible to them. So when renewal statements hit their mailboxes, many customers think, "Why not shop around?" For effective retention and a book with stable growth, show your insureds year-round that you’re working for them. PIA Creative Services sells a line of consumer marketing materials—available for both personal and commercial lines at a fraction of what you would pay a marketing agency. Mix and match newsletters, self-mailer brochures, postcards and other pieces to create your own turn-key and worry-free marketing campaign. They are the perfect tools for sales or retention. For more information, email Mike Lee at mlee@pia.org or click here.   

Ask PIA: Misdemeanor charges for licensees

Q. I’m a licensed insurance agent in New York and I was arrested recently. Ultimately, I will plea all charges to a misdemeanor. Our agency’s insurance license is up for renewal, and I know I have to notify the New York State Department of Financial Services of this. Is this something that could make me exempt from being able to be licensed? A. Probably not.For a more comprehensive answer to this question, click here. To access our entire Ask PIA library of frequently asked questions and expert answers by PIA’s technical staff, click here.   

Upcoming NEO series offered through PIANY

PIANY offers its New Employee Orientation series, which are online courses designed for new insurance producers. Insurance professionals with less than 12 months’ experience, who do not have their insurance license, should consider taking New Employee Orientation for Agency Personnel. They will build a foundation of insurance knowledge; explore the "big picture" of insurance (including terms and key concepts); discover how the agency delivers service to customers; and learn the importance of errors-and-omissions prevention techniques. Commercial Lines Coverage Basics is designed for new employees with 9-12 months’ experience. Employees log on to the course via the computer each week to get the training they need. There’s no travel, no interruption to daily agency activity and, best of all, no time out of the office. Both sessions begin Monday, Aug. 11, 2014. NYCE: N/A. For more information or to register, click here.   

PIANY offers CE-approved Webinar on NFIP changes

PIANY’s latest Webinar will help agents writing flood insurance for their clients sort out the latest changes with the National Flood Insurance Program. The Webinar will discuss the provisions of recent legislation, including what has been delayed and reversed. Additionally, the Webinar will review the June 1, 2014, flood manual changes. The course will be held Tuesday, July 29, 2014, from 10-11:45 a.m. NYCE: 2 BR, C3, PA, PC. For more information or to register, click here.   

Additional upcoming Webinars offered by PIANY

In addition to the upcoming PIA Webinar on the changes to the NFIP (mentioned above), PIANY will offer the following Webinars in the next few months: E&O Hotspots … 2014 and Beyond^FF^UM (Thursday, Sept. 4, from 10 a.m.-1 p.m., NYCE: 3 BR, C3, LB, C1, LSB, LA, PC, PA); Agency Underwriting Profitability and Contingency Bonus Maximization (Thursday, Sept. 18, from 10-11:45 a.m., NYCE: 2 BR, C3, LB, C1, LSB, LA, PC, PA); An Intro to Cloud Computing and Managed Network Services, Data Security, Business Continuity (Tuesday, Sept. 23, from 10-11:30 a.m., NYCE: N/A); Agency Staffing, Performance and Job Evaluations (Thursday, Oct. 2, from 10-11 a.m., NYCE: N/A); E&O Hotspots … 2014 and Beyond^FF^UM (Thursday, Oct. 16, from 10 a.m.-1 p.m., NYCE: 3 BR, C3, LB, C1, LSB, LA, PC, PA); Top Ten Personal Lines Endorsements (Tuesday, Oct. 21, from 10-11 a.m., NYCE: 1 BR, C3, PC, PA); and Ethics—Something Worth Pursuing (Tuesday, Dec. 2, from 10 a.m.-1 p.m., NYCE: 3BR, C1, C3, LA, LB, LSB, PA, PC). ^FF^UM—This course has been approved for E&O loss-prevention credit by Fireman’s Fund and Utica Mutual. Call the PIA E&O Department for details at (800) 424-4244. For more information or to register, click here.   

PIANY-YIP: Casual Reception, July 31

PIANY-YIP will host its Casual Reception on Thursday, July 31, 2014, at Tropix on the Mile, Freeport, from 5:30-8 p.m. All are welcome at this dockside event, which will feature a cash bar, unparalleled networking opportunities and an extended happy hour for PIANY-YIP attendees. For more information, email edergurahian@pia.org.   

DFS OGC on credit-card payment service fees

PIA’s Industry Resource Center has received many questions regarding the use of credit cards for payment of insurance. As insurance rates are filed through the DFS, fees for the usage of credit cards cannot be added to a bill arbitrarily, as they could in other businesses. In response, PIA provides its members with a resource kit aimed at helping agency owners navigate the law. To read more on the DFS’s Office of General Counsel Opinion on credit-card payment service fees, access QS31243 in the PIA QuickSource library.   


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