Operating a drone? Check your coverage

Is operating a drone a part of your job description? If so, check your insurance coverage to determine whether an endorsement to an existing policy or a specialty policy is required to cover your drone-related activities. Read this blog post to learn more.


A happy couple was enjoying their wedding with their family and friends when disaster struck. The couple hired a wedding photographer to record the wedding and reception. In the course of performing his services at the wedding, the photographer used a drone to take pictures and record video. The drone accidentally hit one of the wedding guests, causing the guest to lose her eye.

A claim was made against the wedding photographer’s commercial general liability (CGL) insurance policy. However, the insurance company denied the claim asserting that the claim was excluded under the aircraft exclusion provision in the policy.

Eventually, the injured wedding guest filed suit against the photographer asserting negligence, and the photographer sought a defense under his CGL policy. The insurance company initially provided a defense under a reservation of rights, but then filed a declaratory judgment action asking the court to declare that the insurance company was not liable under the policy and that it had no obligation to provide a defense to its insured for the injury caused by the drone.

The court in Philadelphia Indem. Ins. Co. v. Hollycal Prod., Inc., noted that the CGL policy specifically excluded any bodily injury arising out of the use of an “aircraft” operated by an insured. While the policy did not define the term “aircraft,” the court held that the word was unambiguous and its ordinary meaning, as defined by Merriam–Webster’s Collegiate Dictionary, is “a vehicle (such as an airplane or balloon) for traveling through the air.”

The court held that the definition of aircraft included a drone. Accordingly, the court granted summary judgment in favor of the insurance company finding that the policy did not cover the claim and that there was no duty to defend the claim. The court even awarded the insurance company the costs of defense it incurred while providing a defense under its reservation of rights.

Drone use is steadily increasing commercially with virtually limitless applications and possibilities for causing personal injury or property damage. However, many CGL policies may exclude coverage under the aircraft exclusion.

Accordingly, if you are using a drone or contract the use of drone services, make sure you contact your insurance carrier about coverage and determine whether an endorsement to an existing policy or a specialty policy is required to cover your drone-related activities.

SOURCE: Stover, M. (19 February 2019) "Operating a drone? Check your coverage" (Web Blog Post). Retrieved from https://www.propertycasualty360.com/2019/02/19/operating-a-drone-check-your-coverage/


6 tips to protect your vehicle from winter's potholes

When the weather conditions are unfavorable, the best option when it comes to driving is to not drive at all. Read this blog post for six tips on how to protect your vehicle from winter potholes.


When it comes to driving in unfavorable weather conditions, the best option is to not drive at all. However, many drivers don’t have much say in the matter either because of work, an emergency or just a desire to get home before conditions get much worse.

Around the U.S., ice, freezing rain and fluctuating winter temperatures can leave roadways littered with potholes, causing vehicle damage and costly repairs for motorists, says AAA. In some cases, the company added, the impact of poor road conditions can leave a vehicle owner with repair bills ranging from under $250 to more than $1,000 depending on the extent of the damage, the make of the vehicle and the make of the tires.

Potholes tend to form when moisture collects in small holes and cracks in the road surface. As temperatures rise and fall — as they have this winter — the moisture expands and contracts, ultimately resulting in broken up pavement which is then continually impacted by the weight of passing cars.

Cracks in the road

According to a AAA study on pothole damage:

  • Americans spend $3 billion per year on average to repair pothole-related damages to their vehicles.
  • American drivers paid an average of $300 each to repair pothole-related damages to their vehicles in 2017, according to AAA estimates.

The impact of poor road conditions can leave a vehicle owner with repair bills ranging from under $250 to more than $1,000 depending on the extent of the damage, the make of the vehicle and the make of the tires. (Photo: AAA)

Blown tires, dented rims, damaged wheels, dislodged wheel weights, displaced struts, dislocated shock absorbers and damaged exhaust systems are all costly common automotive issues. Other signs include misaligned steering systems and ruptured ball joints.

“Driving over potholes formed by weather extremes and heavy traffic can damage a tire’s internal steel belts and force it ‘to go out of round.’ This negatively impacts your ability to drive comfortably and safely,” Jed Bowles, AAA Blue Grass fleet manager, said in a press release. “Running into a pothole can lead to irregular tire wear and tear, vehicle vibration and imbalance, wobbling and loss of control.”

With this in mind, here are six tips that will help aid motorists in protecting their vehicles from pothole damage, courtesy of AAA.

  1. AAA suggests making sure tires have enough tread and are properly inflated. To check the tread depth, insert a quarter into the tread groove with Washington's head upside down. The tread should cover part of Washington's head. If it doesn't, it's time to start shopping for new tires. When checking tire pressures, refer to the owner's manual to ensure they are inflated to the manufacturer's recommended levels.
  2. Keep an eye out for potholes when driving. Stay focused on the road ahead and don't get distracted. If you need to swerve to avoid a pothole, make sure to check surrounding traffic to avoid causing a collision or endangering nearby pedestrians or cyclists.
  3. If a pothole cannot be avoided, reduce speed, and check the rearview mirror before any abrupt braking, says AAA. Hitting a pothole at higher speeds increases the likelihood of damage to tires, wheels and suspension components.
  4. A puddle of water can disguise a deep pothole. Use care when driving through puddles and treat them as though they may be hiding potholes.
  5. Hitting a pothole can knock a vehicle's wheels out of alignment and affect the steering, says AAA. If a vehicle pulls to the left or right, have the wheel alignment checked by a qualified technician.
  6. Any new or unusual noises or vibrations that appear after hitting a pothole should be inspected immediately by a certified technician. A hard pothole impact can dislodge wheel weights, damage a tire or wheel, and bend or even break suspension components, says AAA.

SOURCE: Jacob, D. (12 February 2019) "6 tips to protect your vehicle from winter's potholes" (Web Blog Post). Retrieved from https://www.propertycasualty360.com/2019/02/12/6-tips-to-protect-your-vehicle-from-winters-potholes/


Counting sleep: New benefit encourages employees to track their shut-eye

The Centers for Disease Control and Prevention (CDC) reports that about one-third of U.S. adults reported getting less than the recommended amount of sleep. Read on to learn about a new benefit employees are using to track their sleep.


It’s one of employers’ recurring nightmares: Employees aren’t getting enough sleep — and it’s having a big impact on business.

Roughly one-third of U.S. adults report that they get less than the recommended amount of rest, which is tied to chronic health issues including Type 2 diabetes, heart disease, obesity and depression, the Centers for Disease Control reports.

That lack of sleep is also costing businesses approximately $411 billion a year in lost productivity, according to figures from global policy think tank RAND Corporation.

But one company thinks it has a solution to the problem: A new employee benefit that helps workers track, monitor and improve sleep.

Welltrinsic Sleep Network, a subsidiary of the American Academy of Sleep Medicine, this month launched an online sleep wellness program to help workers get more out of their eight hours of shuteye. Employees use the online tool to create a sleep diary, which tracks the quantity and quality of rest, says Dr. Lawrence Epstein, president and CEO of Welltrinsic. Employees manually log their time or upload data from a fitness tracker, like a Fitbit, to the platform.

Employers can offer the program as a benefit to complement broader wellness initiatives. The program allows companies to track how often an employee uses the platform and offer incentives like days off or reduced health insurance premiums if they are consistent, Epstein says. Welltrinsic charges an implementation fee to set up a company’s account, plus a per-user fee determined by the number of participants.

“Sleep affects a lot of aspects of how people feel about their work and their productivity,” Epstein says. “If you can help improve their health and morale, it will help with retaining staff.”

Epstein says lethargic workers are more likely to miss work or not be productive when they are in the office. But there are actionable ways employees can improve the quality of their rest, he adds.

Welltrinsic’s program gives employees a comprehensive review of their sleep. Then employees set a sleep goal — the goal can be as simple as getting to bed at a particular time or improving sleep quality. After employees have logged their data, Welltrinsic provides them with custom tips for improving sleep, which may include reducing light exposure or increasing mindfulness and relaxation.

Still, sometimes an employee may have a more serious issue, Epstein says. If numerous efforts to improve a nighttime ritual have fallen short, an employee may need to be examined for a sleep disorder, he explains. To that end, the program also offers sleep disorder screening tools. If it appears an individual is at risk for a disorder, Welltrinsic provides workers with a list of specialists who can help.

“If we feel they are at risk for a sleep disorder, we can direct them to somebody close to them who will be able to address their problem,” Epstein adds.

The American Academy of Sleep Medicine is providing Welltrinsic’s sleep program as a benefit to its own roughly 60 workers. Meanwhile, Epstein says Welltrinsic recently engaged in a beta test of the program with multiple employers but did provide additional names.

“It’s a way that they can help motivate their employees to improve their own health,” he says.

Epstein doesn’t think that employees are aware that they aren’t getting enough sleep — ­and demanding work schedules aren’t helping. He’s hoping the program will help people realize that sometimes they need to turn off their email and take a rest.

“We are built to spend about a third of our lives sleeping, and there are consequences for not doing that,” he says. “Hopefully this helps get that message and information out to people.”

SOURCE: Hroncich, C. (20 November 2018) "Counting sleep: New benefit encourages employees to track their shut-eye" (Web Blog Post). Retrieved from https://www.employeebenefitadviser.com/news/counting-sleep-new-benefit-encourages-employees-to-track-their-shut-eye?brief=00000152-1443-d1cc-a5fa-7cfba3c60000