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InsuranceMan 2.0

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Everything posted by InsuranceMan 2.0

  1. Happy Tuesday dear ADI’ers, I know that you are probably lamenting the fact that you didn’t get last week’s installment of the “tidbit”, and for that, I apologize. The good news for me and those I am working with is that business got in the way! It was an incredibly busy week and I simply ran out of time and could not post the weekly installment. Ever since the ADI convention and the release of the endorsement from ADI naming me as their recommended insurance agent, things have been WILD!!!!!!!!! Wild in a good way, but wild to be sure. OK, on to this week’s installment of the “tidbit”!!!! I know that over the course of the last few months I have been telling you about the changing insurance markets, the tighter underwriting guidelines that are being imposed, and the potential difficulty in fitting into a standardized market … but there is hope! Fret not dear reader, InsuranceMan 2.0!!! is here with some good news! I have recently been in contact with some carriers that are willing to be a bit more flexible, take the time to listen, and really assess each piece of business in order to understand it and make it fit into their desired class of business. With that said, there are a few things that need to be kept in mind. They are asking for at least a 45-day lead time on any piece of business that they are going to look at. What this means is that the carrier is going to want all of the applications submitted to them at least 45 days before your start date of coverage (if you are a new distillery), or in advance of your renewal date (if you are an established distillery with a current policy that you are looking to replace). What this means to you and I is that we really need to start the process at least 60 days in advance, allowing us a few weeks to gather the necessary information, applications, etc., so that we can have everything in to them prior to that 45 day deadline. If we can start the process even further in advance of those 45 days, GREAT! The more time the better in this case. The other consideration is that if you are an up-and-coming distillery, or doing a build out, or looking to relocate, it is a VERY DESIRABLE ATTRIBUTE (is it clear that I am trying to emphasize this point, or do I need to give a wink 😉 and a nod at this point?!?!??!) to have a separate room or location that is used to store finished product or product that is maturing. This separate room should have a 2-hour fire rating with a fire door, etc. If you do not have a separate room it will not preclude these carriers from considering your distillery insurance, but it will assist in keeping premiums lower as well as “tick the box” in the “more desirable column”. So, this is certainly something to keep in mind. With all of that said though, if you don’t meet these criteria, again, fret not! If you do not have a separate room, if you do not have 45 days advance of needing coverage, or if you have a setup that is a bit nontraditional, I CAN STILL ASSIST YOU! In fact, check this out … I recently just worked with an incredibly lovely couple that have a system that makes most insurance carriers run away screaming for their lives!!!!!!!!!! Let’s just say that it is not uncommon for insurance carriers to like insurance risks that come with very little risk. In their minds-eye, they want everyone to have a sprinkler system throughout the building (even in the ducts if possible), a separate location for ALL PRODUCT, 24-hour fire rated walls, a location in the city but away from all other buildings, a fire department on site or right next door, blah, blah, blah. All the stuff that we know simply does not exist, but the actuaries desire very little risk for their premium. Well, cue the music as this operation makes a dramatic entrance. This operation, although they do have a separate storage location, and most of the boxes checked that carriers like to see, they have something that causes carriers to turn their heads away in horror!!!!!! They have … are you ready for this???? Prepare yourselves!!!!!!!!!!!!!! AN OPEN FIRE STILL !!!!!!!!!!!!!!!!!!!!!!!! Yeppers! A true open fire still. Even with that, something that shocks and awes insurance carriers and causes them to run in the other direction in a hot panic, I, InsuranceMan 2.0!!! was able to place coverage for them when their current insurance carrier pulled the rug out from under them and told them that they would not renew their coverage. I was able to swoop in with my super-cape heroically flapping in the breeze, scoop them up, and fly them to insurance safety where they could continue to operate their distillery knowing that I was able to provide them with the coverage that they needed with the assurance of the carrier fully understanding their operation and method of heating the still. All in a days work for InsuranceMan 2.0!!! So no matter your situation, no matter your operation, know that I am the only insurance superhero in the country that will take time to listen, get to know you and your operation, and custom tailor an insurance policy to perfectly fit your needs, just like my supersuit perfectly fits me!!!!!!!!!!!! Until next time dear readers … Stay Vigilant, Aaron Linden a.k.a InsuranceMan 2.0!!! 307-752-5961 insuranceman2.0@yahoo.com
  2. Happy Tuesday fellow ADI-ers, Well, I am back! I have to tell you, in all honesty, I wish I weren’t. I have spent the last week or so in Thailand with a 10 hour tour stopover in South Korea, and it was absolutely amazing and I wish I could have spent more time. I have never felt more like James Bond and Indiana Jones all wrapped into one before!!!!!!!!!! I am appreciative of the time that I had away, but it just never seems long enough. With that said though, I am rejuvenated and ready to continue my insurance superhero work, so let’s get to it! In today’s installment of the “Tidbit”, we are going to discuss Business Income & Extra Expense (also seen as BI&EE or BI/EE). It is important to understand this coverage and what it does and does not cover. First, what the heck is it?!?!?! Well, it is actually two different coverage’s, but they oftentimes go hand-in-hand with one another, and that is why they are often referred to at the same time. First, Business Income is a type of property insurance that covers the loss of net income of a business when there is damage to the premises due to a covered cause of loss, that results in a slowdown or temporary cessation of business. Extra Expense, however, is the necessary expenses that you incur during the period of restoration that you normally would not have incurred if you had not had a loss. So, again, what the heck does all of that mean??!??!?!?! It is probably easiest to use examples to illustrate these coverages. Let’s say that you have had a fire in your building and you are shut down for 60 days while the clean-up and restoration is taking place. Business Income coverage would provide the net income amount and continuing normal operating expenses that you would continue to incur (including payroll, if you have employees) during the period of restoration. Basically, this coverage provides for the amount of net income that you would have normally earned during the period of restoration, as well as pay for your normal operating expenses such as rent, utilities, property taxes, etc. Nice, right?!?!?! You would still have money coming in during this downtime if you have this coverage. That makes a difficult situation much easier knowing that you can still pay your bills and keep staff paid even if you are not able to produce product and make money. Whew!!!! Thank goodness for insurance, right?!?!?!? In tandem with Business Income insurance paying for ongoing costs, Extra Expense coverage provides for the necessary costs/expenses that you may incur to get your business up and going as quickly as possible after a covered loss. Extra Expense coverage can be used to temporarily relocate your business to another location, outsource functions that you normally would be able to conduct if you had not had a loss, an in some cases even expedite shipping of necessary items/equipment or renovation costs. Things like getting a water mitigation company to come in as quickly as possible to keep damages to a minimum and the increased electricity costs to run all the drying fans are examples that I have seen covered by this insurance. Again, pretty nice to have in order to make a difficult situation more bearable. Although I always suggest having these coverages on your policy, there are some things that they do not contemplate. Business Income/Extra Expense coverage is also often referred to as Time Element coverage, but be careful!!!!!!!!! People often misconstrue Time Element coverage to mean that however long the restoration period takes, it will all be covered. Worse yet is that some insurance agents may even tell you that “time element” coverage will provide compensation on things such as the time value of maturation on your product. They believe that the value of the maturation would be covered under this policy provision. W R O N G ! ! ! ! ! ! ! See, that is why you need me, InsuranceMan 2.0 !!!! to assist you. Time element coverage typically will only cover you for a restoration period of 12 months and is based on a complex formula that considers your past Profit and Loss Statements (P&L’s), earnings data, etc. Usually the numbers are compiled from your normal course of business and earnings from the last three to five years. If you are a start up operation, this can be a bit more difficult to justify and predict, but it is possible and really should not be something to stress out over. With that said, one thing that it will not take into account is the maturation value of your stock. Please, please, please keep this in mind as this can be a HUGE point of contention in the case of a loss. There are ways to make sure that the maturation value is provided for, but I am one of the only people in the country that understands this aspect and created a valuation form to deal with this specific need. If you have questions about this, please reach out to me and allow me to assist you! As with all insurance, the question always arises as to, “How much is too much?”, or “How much is enough?” A very basic rule of thumb is that if you take your P&L statement for the course of a year and divide it by 12, it will give you a very rudimentary figure to start with. Let’s say that your net earnings in a year are $120,000. Why that figure, well, because it is easy to use as it breaks out to $10,000 a month in earnings and I don’t want to do too much math what with being jet-lagged and all. So, if you know that your net earnings are roughly $10,000 a month, you can then decide what level of coverage you want to have for your BI/EE. Often times the coverage is provided on a monthly level of indemnification. What the heck does that mean?!?!?!? It means that insurance carriers will provide coverage based on the total coverage amount on a 1/3rd, 1/4th, 1/6th basis, or on a 12 month actual loss sustained basis. Ugh, this is getting confusing, right???!?!??! Right! Again, more reason you need me to assist you. The tricky part is deciding as to how much coverage you need and for how long. Typically, most businesses go with a 1/6th basis and cover themselves for half a years’ worth of net income and expenses. Now, that may or may not fulfill your needs, but I am speaking in generalizations here. So, in this case it essentially means that the total limit of indemnification would be $60,000 for the year on a 1/6th basis. That then breaks out to $10,000 a month for up to 6 months. If the restoration period takes longer than that amount of time, and costs more than the $60,000 you are going to have to out-of-pocket the rest of the funding. As you can see, it is important to make an educated decision when choosing the limit as well as the period of restoration. Without wanting to confuse this issue further, I will briefly mention a few items. Just because you chose a 1/6th limit (in the case above), it does not mean you are only limited to 6 months of coverage. It does mean that the maximum amount of coverage that you can get in any one month is limited to the total amount divided by the period of indemnity, however. An example would be that you picked $60,000 on a 1/6th basis but you really come to find out you only are needing to use $6,000 a month. Well then, your overall limit of $60,000 would carry you for 10 months and that would be permissible even on a 1/6th coverage option. Converse to that, let’s say that you find that you need $12,000 a month to keep up with everything. Well, being that you chose the 1/6th basis, you could only recoup up to $10,000 in any given month leaving you $2,000 short each month and you would use up your total amount of indemnity within the 6 months timeframe. One last item to mention is that just like other insurance, the more you want the higher the cost. If you go with a lower period of indemnification with a lower monthly limit, the less expensive it will be. If you are really concerned over a loss and being shut down and you want to make certain that you have adequate coverage, you can choose a 12-month, actual loss sustained option but keep in mind this is usually the most expensive option. This option keeps you from having to go through the process of determining and setting a separate limit due to the fact that it provides coverage for your actual loss of business income for up to 12 months. I highly recommend this type of coverage, not because it costs more and I can make more, but because of the fact that it really is the best coverage available and leaves very little grey area in determining amounts, etc. With that, dear forum-goer, I will bid you ado for today. Thank you for taking time to read this and educate yourself on the wonderful world of BI/EE. As always, if you have any questions, needs, or concerns, please feel free to reach out to me, InsuranceMan 2.0!!! Until next time … Stay Vigilant, Aaron Linden a.k.a. InsuranceMan 2.0!!! 307-752-5961 insuranceman2.0@yahoo.com
  3. Good Morning ADI-Land!!!!!!!!! Well, I am here today to thank all of you that stopped by my booth at the expo in Denver!!! I had a wonderful time getting to know all of you better, and connect up with some old friends, as well as make many new ones. It was a fantastic turn out for sure! If you did not get the chance to go, do yourself a favor and make sure you hit up next year’s conference in New Orleans!!!!! I cannot wait. OK, so last week I told you I had big news, and this is the week to release it to anyone that was not at the convention. I, InsuranceMan 2.0!!!, have been named as the endorsed and recommended insurance agent by ADI for their membership by Eric Owens of ADI. I have attached a copy of his letter as well for your perusal. This is quite an exciting partnership as I have been working with ADI and their membership for several years, and this truly shows all of our commitment and pursuit to make the insurance marketplace better for everyone. The more distillers insured means better rates by being able to calculate historical data which means opening up new markets for everyone, and the hopes of being able to lower rates in the future and have more competitive options. These are certainly exciting times, and I know it will mean great things for all of us in the future! Thank you to everyone that has worked with me in the past and the present, and for all of you that have not had an opportunity to work with me, I greatly look forward to working with all of you as well. With that, I am off. I don’t just mean that is it for today, I mean I am really off. As I stated last week, even Insurance Man 2.0!!! needs some R&R sometimes, so I will be out of the country for a bit. Don’t worry though, I will be back April 2nd (with a bit of a jetlag hangover), but I will be back. Until then my friends … Stay Vigilant, Aaron Linden a.k.a. InsuranceMan 2.0 307-752-5961 insuranceman2.0@yahoo.com Aaron Linden Endorsement.pdf
  4. Happy Tuesday Dear Readers, Ah … Spring time in the Rockies! 50 degrees one day, Blizzard warning and cancelled everything and road closures the next. I will say though, that it beats Minnesota (right @Skaalvenn), where you enter winter and negative degrees, and it stays there for 5 months!!!! At least here, in Sheridanopolis, you do get those 50-degree days followed by blizzard warnings. BUT AT LEAST YOU GET THOSE 50 DEGREE DAY REPRIEVES. Enough about the weather, what am I, some 90 year old rancher, talking about the weather. “Looks like weather’s comin’!” Isn’t it always!??!?!?!?! In today's installment of the “Tidbit”, I am going to keep this short and sweet, and not like I do when I say that and then go on ad nauseum for pages on end. This one will be short … ish 😊. Today I am inviting all of you to please come and visit me at booth 434 in Denver next week. As well, I have to tell you, BIG THINGS ARE HAPPENING!!!!! And when I say big things, I mean BIG THINGS. Although I will be at the expo next week and may not have a chance to post here (although I might, but really, with all the fun and frivolity that occurs at the expo it is doubtful), it is my anticipation that upon my return I am going to have some seriously amazing news for all of you here on the forums. With that said, I will be on hiatus for a week or two as I will be out of the country for a period. Even superhero’s such as I, InsuranceMan 2.0, need the occasional break. Insurance-superhero-ing is a full-time gig, 24/7, and occasionally you just gotta get away, as the great Lenny Kravitz has sung. Please stay tuned, dear reader, as I will be forthcoming with some pretty exciting news that is certain to turn the distillery insurance world on it’s head, and be beneficial for everyone. Until then, dear reader …. Stay Vigilant, Aaron Linden a.k.a InsuranceMan 2.0 307-752-5961 Insuranceman2.0@yahoo.com
  5. Good Morning Dear Readers, In today’s installment of the “Tidbit”, I wanted to touch upon bonding since it has been something that many folks have asked me about recently. I know, I know, bonding for the most part for many of you has been a non-factor in the recent years … OR HAS IT!??!?!! Dun-duh-daaaaah!!!!!!!!!! I wrote a little posting here a while back about bonding and the fact that the Fed’s never really, clearly defined the new Federal Excise Tax’s (FET’s for those of us in “the know”) reduction, and whether or not you should carry a bond. At the time that they passed the “Tax Reform” bill, Congress only spoke about the removal (or withdrawal) of tax paid spirits. They did not address the potential need for a bond to be held on the stock that is aging, in process, bottled, or bulk spirits (we will just refer to all of these as “stored spirits” from this point forward). There was a bit of debate between forum-goers as to if the “stored spirits” could ever have a need for taxes to be paid in the case of theft, destruction, etc. Addressed in the Code of Federal Regulations (CFR’s); Title 27; Subchapter A; Part 19 – Distilled Spirits Plants; §19.262 General requirements for filing claims - §19.268 the reasoning, ability, and what may happen is discussed in case you feel like reading it … or if you need a nap. Anyway, there is a possibility that “stored sprits” could have the taxes called for by the Fed’s, in which case a bond would or could come in very handy. I will leave that up to you to decide. Really though, the heart of the matter and a question I get asked a lot is, “What is a surety bond for FET’s, do I need it, how does it work, and what about state bonding???!!?!” Well, InsuranceMan 2.0 is here to tell you. What is a surety bond? Well, basically a bond is a legal agreement between entities (in this case the distillery and the governing body) that guarantees that in the case of taxes needing to be paid, that they will be paid, either by the distillery (Indemnitee), or in the case that they cannot make the payment, the surety company (Indemnitor) is obligated to make the payment on behalf of the distillery. In short, if you don’t have the money to pay the taxes, the surety company will make the payment for you to get the government off your back. Sounds like a sweet deal, right? Not so quick! In the case that the indemnitor was to make a payment for you, yes, it satisfies the government by making them whole, but your obligation does not stop there. If the indemnitor has laid out money on your behalf, they are going to want to make up that loss somehow, and that now once again becomes your problem. A guy named “Guido” may show up to your door demanding payment, and “take your knees” if you can’t come up with the money. Actually, that probably isn’t going to happen … Probably. More likely, the surety company would ask you nicely for the money at first, but after that things could get icky. They may sue you over the lost funds, slap an injunction on you and your business (because you do sign the agreement as an individual and on behalf of your entity, if you have one) and make you liquidate assets until the loss is paid in full. Sounds kind of scary, huh? In reality, not really. If you think about this, when are most taxes due? When the product is withdrawn from you bonded premise. Generally that would mean, if you are removing product, chances are the reason is because they were sold, in which case that means that you have the money to pay the taxes on said withdrawn spirits. So really, the surety bond is just a formal agreement, a placeholder, to make the governmental body feel all warm and fuzzy and sleep better at night knowing that they are going to be paid no matter what. I personally have never seen a bond called on anyone that I work with, but I have heard of it in the case of loss/destroyed product (at which there may be a reduced rate on taxes due), or in the case that a distillery has become insolvent (again, thank goodness I have not had anyone with that issue). In any case, even though there is debate as to if you should carry a bond or not, a bond could be very nice to have should the unforeseen ever happen. Just an FYI, a Federal TTB DSP bond is broken into two parts, and this is what was never really addressed. There is the “Operations” side of the bond, and the “Withdrawal”. The operations side contemplates spirits that are “bulk, bottled, or in process”, so again, the “stored spirits”. This is the section that the Fed’s never spoke about or addressed in the tax reform. Then there is the “withdrawal” side that contemplates the taxes needing to be paid when the spirits are removed from you premises. This is the ONLY part that they concerned themselves with. Again, you can see how with this being the case, there may still be need for a bond at this time and place. Based on this recent tax reform, however, as illustrated, the Fed’s really are only concerned with the withdrawal side of things, and they lowered the taxes due from the historic $13.50 rate per proof gallon (100 proof, or 50% ABV) down to $2.70 per the same. A little aside here, the REAL tax rate for many was actually $10.80 since most product for many going out the door was 80 proof (or 40% ABV), which then made the tax rate $10.80 per proof gallon. Just wanted to share that little nerdy bit of knowledge with you. So, what the heck does this all mean?!?!?!? Well, it is too soon to say what Congress will do in the future, but the current FET reduction is due to sunset on December 31st, 2019. In the tax reform document, it states the following: PART IX—OTHER PROVISIONS Subpart A—Craft Beverage Modernization and Tax Reform SEC. 13801. PRODUCTION PERIOD FOR BEER, WINE, AND DISTILLED SPIRITS. (a) IN GENERAL.—Section 263A(f) is amended— (4) EXEMPTION FOR AGING PROCESS OF BEER, WINE, AND DISTILLED SPIRITS.— ‘(B) TERMINATION.—This paragraph shall not apply to interest costs paid or accrued after December 31, 2019. H. R. 1—123 SEC. 13807. REDUCED RATE OF EXCISE TAX ON CERTAIN DISTILLED SPIRITS. ‘(1) IN GENERAL.—In the case of a distilled spirits operation, the otherwise applicable tax rate under subsection (a)(1) shall be— (A) $2.70 per proof gallon on the first 100,000 proof gallons of distilled spirits, and (B) $13.34 per proof gallon on the first 22,130,000 of proof gallons of distilled spirits to which subparagraph (A) does not apply, which have been distilled or processed by such operation and removed during the calendar year for consumption or sale, or which have been imported by the importer into the United States during the calendar year. So again, what does this all mean?!?!?!! It means that currently we are enjoying a bit of a reprieve in regards to the amount of taxes that are to be paid on withdrawn spirits, which is super nice! It leaves more money in your pockets and that is always a good thing. It also means that come the end of this year it could all go away. Maybe it will be voted to remain the same, that would be awesome! Or, it could potentially even go up to or above the historic levels that it was at. Truth be told, we have no idea what is going to happen. One thing is for sure though, many, if not all states, require some type of surety bonding at a state level. Whether it is a “sales and use tax” bond, an “alcoholic beverage manufacturer” bond, or something else, there is probably still a bonding need for your distillery. I, InsuranceMan 2.0 am here to assist you. I can and have provided hundreds of bonds for distilleries across this great land, and I actually have the lowest bonding premiums of anyone in the country. So, if you have a bond and feel as though you are paying too much, or if you have a question about if you should get a bond or not, or if you are a new distillery and found out you do have a state bonding need, I am here to assist you. Maybe you are nearing that 100,000 gallons of withdrawn product and getting nervous as to when the right time to get a bond may be. Again, I am here to help. Give me a call, shoot me an email, text me, hit me up on a PM here on the forums, come see me at booth 434 in Denver in a few weeks, or send a smoke signal. Whatever you need, I am here to answer all of your deepest, darkest insurance and bonding questions. Until next time my friends … Stay Vigilant, Aaron Linden a.k.a. InsuranceMan 2.0 307-752-5961 Insuranceman2.0@yahoo.com
  6. Good Morning ADI Citizens, I apologize for not getting the "Tidbit" out as of yesterday, but it turns out that InsuranceMan 2.0 does have some weaknesses. After a fun filled weekend of skijoring in the cold, despite my superpowers, I have ended up with Bronchitis and have been seeking respite in my lair of solitude the last several days. I hope to be back in full swing next week with another installment of the "Tidbit". Until then, I will continue to fight the forces of evil that plague the insurance industry from my lair whilst sipping hot toddies. Until next time my friends ... Stay Vigilant, Aaron Linden a.k.a. InsuranceMan 2.0 307-752-5961 insuranceman2.0@yahoo.com
  7. Good Tuesday Morning Fine Citizens of ADI-ville, I was sitting in my lair of solitude the other evening whilst on the phone with a good distiller friend of mine. Unfortunately, due to schedules and just "life" we had not had a chance to speak in the last several months. He had asked me what I had been up to recently, outside of saving the planet from the woes of evil insurance agents, and villainous insurance companies? As we spoke, I had told him about what I had been up to and he commented, "Man, what the H**L?!?!?!!? You seriously should write a book someday." That got me to thinking ... Many of you out there in ADI-land know my superhero persona, but those of you that have not met me don't really know my "mild-mannered" normal self that I am when trying to be inconspicuous out in Sheridanopolis, or the vast far reaches of the world. My friend suggested I should do a post here on ADI to help familiarize myself to anyone reading my posts. I thought, "OK, I can do that." I know, I know, it could be a long story, I will keep it fairly short, but if you don’t want to read it, at least scroll to the end and watch the videos and listen to the mp3 😊 One caveat to all of this is, I do not want this to come off as braggadocios, anyone that knows me knows that is not who I am. It is just more so that you get to know the person that you are dealing with, and that I am not always InsuranceMan2.0!!!!!!!! Nope, sometimes I am "Aaron Linden", normal human person, well, kinda. Where to start though, that is a big questions. As they say, start at the beginning ... It was a hot August night in 1974, late on a Friday night when I was born ... JUST KIDDING! We are not going back that far. I was born late on a Friday night though, and I assume that is why I still like to stay up late and love the weekend! OK, for reals now ... I grew up in Minnesota, Stillwater to be exact. Great place to grow up, on the river, small community (at the time), safe, nice. I went to college in Minneapolis, MN and graduated with a double major and double minor in 4 years (Poli. Sci. was one of the majors, if you must know). I was able to do this mainly because many of the classes that I took had some overlap and I was able to get a lot done in a short time (but I did my fair share of partying as well, and enough for a few others probably). Then, it was going to be off to law school. I know, right?!?!!?! Me a lawyer?!!??! Well, life kind of jumped in the way and I did not end up going to law school. Maybe it was a bit of burnout from years of school, maybe it was divine intervention, but I was accepted and asked if I could enroll the next fall? They said yes, but I didn’t end up going then either. Fast forward many years, and I had always wanted to move to Wyoming after traveling out here to hunt, fish, and camp, but who can make a living in Wyoming? Well, as it turns out, there was an insurance agency that was looking to expand into Sheridanopolis, and they wanted to know if I would like the opportunity (there is plenty more to this story, but I don’t want to bore you), and of course I said yes. Now, fast forward many more years, and I have been doing insurance work for 17 years and specializing in distilleries for 8. I started out writing very niche insurance policies that no one else could or wanted to write and ended up developing many programs due to this on a national basis. Heck, I was even the endorsed insurance agent for AANR. Yeap, I sure was! What is AANR you wonder? Well, it is the American Association for Nude Recreationalists. Don’t believe me, Google it. Wait!!!!!!!! Maybe don’t, LOL!!!!! Insurance has allowed me to do a lot of cool things. Travel to amazing places, meet amazing people, and work with great folks like you here on ADI. I have worked with folks like Channing Tatum (go to Google images and type in: Aaron Linden distillery insurance, and about 5 images over you will find this): as well as Zac Brown, John Bon Jovi, and the list goes on. Like I said, it has allowed me to do some cool stuff for sure. But there is more to me than insurance, like I said. I also have sat on many boards, overseen many non-profit foundations, and recently have been inaugurated to the Sheridan City Council after the last election. My favorite thing though, that people don’t really know about me is that I can do voice impersonations of dozens of famous people, imitate dialects from all over the world, and I do quite a bit of acting, in my spare time of course. Plays, voice-over work, musicals, and even commercials. There are a few samples of each of those below. Anyway, I just wanted to do something a bit different on this installment of the “Tidbit”, open myself up to all of you so that you know there is more to me than simply being the all-knowing, all-powerful superhero that I am (I am kidding of course). One thing that you should know is that I love being InsuranceMan 2.0!!!!! and working with all of you outstanding folks. In whatever I do, I do it out of love, passion, for fun, and because I just really love and live life to the fullest. Here are a few samples of my craziness, hopefully for your enjoyment: ***** Special Announcement on this one ... The very Lovely Woman in this video with me just said "YES" to my engagement proposal on Valentine's Day!!!!!!!!! She has always hated Valentine's Day up to this point, now she loves it, and I love her ***** My most recent commercial (forgive the hair and beard, I was growing it for "Escanaba in Da Moon Light" in which I played "The Jimmer"): And, one of my favorites, Dr. Seuss' "One Fish Two Fish, Red Fish Blue Fish" in 42 different voices : Aaron Linden One Fish Two Fish.mp3 (Click the link then click the little doohicky in the lower left part of your screen. It will pop open a window so you can listen.) Until Next time, Stay Vigilant My Friends, Aaron Linden a.k.a. InsuranceMan 2.0 307-752-5961 insuranceman2.0@yahoo.com
  8. Good Morning Fine Citizens of ADI-land!!!!!!!!!! It is a lovely, but a bit cold, day in Sheridanopolis. I hope wherever you are, you are toasty warm whilst reading this informative installment of “The Tidbit”. Today we are going to look at a coverage that is as important as any that you can purchase, LIQUOR LIABILITY. First of all, let me explain the definition of Liquor Liability. According to the “Insurance Information Institute (I.I.I.)”, Liquor Liability insurance is defined as coverage for bodily injury or property damage caused by an intoxicated person who was served liquor by the policyholder. Wait … WHAT?!?!?! Just by serving someone liquor, you can be sued?!?!?! ABSOLUTELY!!!!! Liquor Liability coverage is essential coverage to have if you are in the business of alcohol, any type of alcohol! If you produce it, sell it, give samples of it, you better have it! This is especially true in states that have adopted any kind of Dram Shop Act/Law. OK, what is a Dram Shop Act/Law???? I am so glad you asked! A Dram Shop Law/Act is a statute which makes a business that sells alcoholic drinks, or a host who serves liquor to a patron who is or appears to be intoxicated, or close to it, strictly liable to anyone injured by the patron, including the patron. Did you know that currently the only states in the US that have not adopted any kind of dram shop law are: Delaware, Kansas, Louisiana, Maryland, Nebraska, Nevada, South Dakota, and Virginia? Every other state has a Dram Shop Act/Law on the books. So, does that mean if you are in any of those states you don’t have to worry about Liquor Liability? NO! Often times, these states still allow for prosecution regardless of if this law was in place. As well, personal injury attorneys rarely care in the case of a lawsuit, and they will come after you. Even if the intoxicated person injures someone else, or themselves, crashes their car into someone or something, or even if they go home and beat up the neighbor or significant other, you could potentially be sued. “But InsuranceMan2.0, we only give away a total of four, quarter ounce samples!!!! That cannot get someone drunk!!!!!” Ah, excellent point dear reader, however … You may not have known the patron was at three other establishments before wandering in for a lovely sample of your wears. Or, perhaps they just slammed a fifth in the parking lot and then came in to have a taste, or get a cocktail (did a little pre-game warm up as it were), and it had not hit them prior to them coming in. Whatever the situation, if you have served them you could have potential problems. Case in point, I work with an establishment that is in the business of selling alcoholic drinks. They are in the business of selling A LOT of alcoholic drinks. In fact, they are the largest bar in a state that I shall not name. A patron came in at 11 a.m. for a Jager Bomb (I’m not judging), paid for the drink with their debit card, and went on their way. Fast forward to 3 p.m. when this gal went to her child’s daycare, retrieved her child, and proceeded to drive through the wall of the daycare. Yeap, true story. Sad but true story. As it turns out, the establishment that I represent was not the first stop of this gal’s morning, nor was it the last. At each place she stopped, she had at least one Jager Bomb, paid for it with her debit card, and moved on. In the lawsuit that ensued, her paper-trail of where she had been and the drinks she consumed was easy to establish since they all were transacted through her bank statement because of the debit card. Her lawyer then named each of the 8 establishments in the lawsuit citing that they each in someway contributed to her intoxication. Guess what, all 8 of them were successfully sued, and had to split the penalty 8 ways. I am not saying that this is ever going to be a situation that you may be involved in, but I will tell you that if you don’t have liquor liability coverage then you don’t have liquor liability coverage. Liquor liability coverage is almost always excluded under your general liability coverage if you are in the business of selling or profiting from alcohol, period. So, without purchasing a separate liquor liability coverage, you have no coverage. That means that any suit and resulting claim would come out of your own personal pocket, or that of your business. Either way, that is not good. Furthermore, an often-overlooked aspect both General Liability and Liquor Liability is the fact that they both provide for defense coverage. Yessir! If you are sued, no matter if it is a real case of negligence, or a frivolous lawsuit, your policy provides for the cost of defense. Yeah, Buddy! I have seen people sue over the craziest of things. Things that have no validity what-so-ever. I don’t know if you have hired an attorney lately, but the prices are not going down! Even in the case of a frivolous lawsuit, it could cost you tens of thousands of dollars to prove your innocence. Better that money and the crack staff of attorneys comes out of the insurance carriers’ pocket as opposed to yours. The long and the short of it is this … Liquor Liability is something you should have, you need to have, and something that you should want to have. Pair this with making sure that you and all the servers are TIPS trained, and you should have very little to worry about. Heck, most carriers only charge between $750 and $1,000 a year for a standard liquor liability policy. That would barely get you 2-3 hours of a lawyer’s time! Of course, that pricing can be impacted by various factors such as a full-blown cocktail room that is selling $1.2 million a year, but for a normal tasting room that is either giving out free samples, or making a decent profit from tasting charges, it should not cost you more than that. And for that $750 - $1,000 you have the piece of mind of knowing if you are sued due to a liquor situation, you have $1,000,000 worth of coverage to take care of any claim, defense costs, and crack staff of lawyers. Now, that is something that should make you sleep better at night. Until next time my friends, STAY VIGILANT, Aaron Linden a.k.a. InsuranceMan2.0 InsuranceMan2.0@yahoo.com 307-752-5961
  9. Good Morning All, Today I am coming to you from the frozen land of Sheridanopolis!!!! -17 here this morning, and Insuranceman2.0 is wanting to pour coffee on his feet! I wanted to take this opportunity to inform all of you that I will be in attendance at the ADI Expo this year, and I hope to see all of my vigilant friends at booth 434!!!!! I am very excited to attend the convention and expo for the 5th time in a row and cannot wait to have the chance to meet many of you in person for the first time. If you are attending, please make sure to stop by, say "hi", and get all of your insurance needs taken care of! Here is an interactive map of the expo floor for your perusal: https://shows.map-dynamics.com/adi2019/ . Make sure to highlight and click on booth 434!!! Until next time my friends ... Stay Vigilant, Aaron Linden a.k.a. InsuranceMan2.0 insuranceman2.0@yahoo.com 307-752-5961
  10. @Julius, Exactly! Reactive and knee-jerk based off of one possible bad apple. This is right on the money with what I am saying. Many, if not most of the standardized carriers are becoming more and more reactionary to distilleries and are now wanting to see them as a "high-risk" classification of business. I do not see this changing any time soon, so it is time to buckle up and hang on. Again, I am working on educating them more, and looking at several other carriers/programs at this point in time. Currently there are still options, but they are becoming tighter and imposing many more requirements that they had not required in the past. Stay Vigilant!!!!!!
  11. @Julius, more than likely! Could you expound upon this at all? What have they been asking, or imposing on you? I would be interested to know who the insurance carrier is and what they have been after you about. I look forward to hearing more!
  12. Happy Tuesday my ADI friends, In today's installment of the “Tidbit”, we are going to discuss something you are going to need to know about shortly. The difference between a “Standard Market”, and an “Excess and Surplus Lines (E&S)” market. This is also commonly referred to as “Admitted”, or “Non-Admitted” markets. First of all, why are we even talking about this?!?!?!? What does this have to do with anything?!?!?!?! It’s OK, breathe … you are lucky I am here to save the day … I will explain everything. In the spirit of transparency, I wanted to make you aware of what is happening in Insuranceopolis! In a nutshell, or if you prefer, in a reader’s digest version … well … actually … that just does not exist as the nuances of these definitions is rather deep, complicated, and convoluted to say the least. But fear not dear reader, I will do my best to break it down in a succinct manner for you here. To be honest, the easiest way to thing of this is “lower premiums vs. higher premiums”. Well, that is what many believe, although in some cases that may not be true. But for us here, for the ease of discussion, it will hold true here. A “Standard Market” or “Admitted Carrier” is an insurance company that is licensed to do business in the state that it is operating in (so if they are writing coverage in 50 states, they hold 50 licenses, one in each state). They must conform to various regulations and filed rates for each individual state and classification of business, and a big difference is that they pay into what is known as a “State Guaranty Fund”. “OH DEAR SWEET INSURANCE TERMINOLOGY!!!!!!!!! WHAT IS InsuranceMan 2.0 TALKING ABOUT!?!?!?!?”, you may be thinking. Hold on to your snifter (or glass of choice) and relax, I will explain. A state guaranty fund is basically a fund set up in each state to protect insureds from defaults on payments of claims in the case that an insurance company becomes insolvent. Basically, it protects the insureds of any carrier licensed to do business in the state in the case of catastrophic loss whereby the carrier may throw up its hands, declare bankruptcy, and say, “So sorry, we are teary on the inside, but you get no money for your claims, we are all out of funds.” NOPE!!!!! The “fund” makes sure that money is available to pay the claims in a situation such as this. OK, now that that is over, lets talk about another big difference, MONEY. Admitted carriers, or “Standard” carriers take on risk, don’t get me wrong. They just do it in a way that allows them to assess lower risk, higher reward business that makes them quite profitable. The ability to assess the amount and level of risk, weighed against the premium charged, allows these carriers to still take on legitimate risk, but at a much lower level. These carriers are kind of like the nerdy kid in class that would assess every possible outcome of a situation and only get involved if they knew that they were almost 99.99999999999999% to come out on the winning or “not getting hurt” side of things. With that said, “Excess & Surplus Lines”, or “Non-Admitted” carriers are quite the opposite. These folks are like the cool risk-taker kids we all knew growing up. These are the folks who still fully assess the risks associated, but look at it and say, “Y’all hold my bourbon and watch this!” These are the folks who understand risk fully as well but understand that there are riskier business out there that still need insurance. These folks fill that void. A big difference is that the E&S folks are usually only licensed in one state but operate in many or all of them. Heck, they don’t even have to be licensed in the US. Ever heard of Lloyd’s of London?!?!?! Another big difference, these Maverick types don’t pay into any kind of guaranty fund. “Guaranty Fund … We don’t need no stinking Guaranty Funds!!!” Man, who doesn’t like hanging out with these folks as opposed to the nerdy “Admitted” folks?!?!?! Well … just like in real life, hanging out the nerdy safe folks is just that, pretty safe. Hanging out with the risk takers, well, sooner or later its gonna cost you! So, what do I mean?!?!?! I have no idea, I lost my superhero train of thought, dagnabit! HA, JOKING, InsuranceMan 2.0 never losses his super-mind! What I mean is that the nerdy admitted carriers do take lower risk clients on so they can afford to charge lower premiums and still remain profitable come the end of the year. The Super cool risk-taker non-admitted kids take on cool well assessed risks, but if something goes wrong, and things associated with higher risks can go wrong in bigger ways and more often, so they have to make you pay more so that they too are profitable at the end of the year. Also, since they don’t pay into the guaranty fund, if things go real bad and they become insolvent, there may not be money to pay your claims. I will say though, I have personally never seen this happen, but it could. Think of it this way, your “Farm”-insurance companies do homes, autos, some little businesses, etc. Pretty innocuous stuff. They will not insure things like a running-back’s legs for $12.4 million, or a distillery for that matter. Yes, car accidents happen, and fires do happen, but surprisingly very rarely. Again, low risk, high reward for the nerdy kids. Football players however, they get hurt all the time on the field. AH, here comes the cool risk-taker kid! Again though, the “Farm’s” won’t even consider something like this, so those that will (like Lloyd’s), know there is a need, but they are going to charge a much higher premium due to the amount of risk, and slightly due to the fact that they know no one else will take on the risk. FINE!!!! I will get to the point of all of this, trust me, the build up is worth the wait. As you know if you read my post, “The Times, They Are a-Changin’”, the times are truly a-changin’, over the past several weeks there has been a shift in the insurance marketplace. Standard carriers that would look at and write distillery insurance have been pulling back. They have been strengthening underwriting requirements and guidelines that they did not have before. Basically, the insurance market is cyclical and always has been. Standard carriers will consider certain risks and be aggressive and seek them out for a period of 4-7 years, but then “IT” happens. “IT” being that there is a pullback, a reduction of risk that can last for 4-7 years as well. “IT” happens with hotels, contractors, and on and on the list goes. We are seeing this shift now as well with distilleries and the standard carriers available that are wanting to actively write the insurance for them. Many (most) are now looking at distilleries as a “riskier” risk and pulling back on providing insurance for them. So, what does that mean for those of us in Insuranceopolis??!?!?! It means that we must start preparing. It means that we are going to see this shift start to affect all of us in regard to premiums and availability of coverage with standard carriers. Fear not though fine citizens! It is InsuranceMan 2.0 to the rescue, and I have the “cool risk-taker” kids in tow! I will continue to approach the standard nerdy kids with distillery business, but I wanted to prepare you in advance that these opportunities may be fewer and further between. Out of 22 distilleries submitted in the last few weeks, the nerdy kids have declined all of them. That is too bad for them, because this is not a risky business. Distilleries are so highly regulated, by not only local/state/and federal authorities, but by yourselves as well! These businesses are you heart and soul and you would never do anything “risky” that puts your work and business at risk. The nerdy kids don’t see this currently, they think it is a risky risk that they don’t want to take a risk on. That’s ok, I am here with the cool risk-taker kids who will take a risk on you risk, it just may cost a bit more for a time. I will continue to do the very best job and obtain the lowest premiums for all of you, fine citizens! Again, in the spirit of transparency, I just wanted you all to know where things are and where they appear to be headed, so you are not blindsided. I will always advocate for you and we will prevail!!!!!!!! We will make them see that this is a good risk, and we will win them over. If you don’t believe me, y’all hold my bourbon and watch me do it!!!!!!!!!!!!!!!! Stay Vigilant, Aaron Linden a.k.a. InsuranceMan 2.0 insuranceman2.0@yahoo.com 307-752-5961
  13. *** QUICK UPDATE *** Although I am with a new agency, I am still me and I still rock the distillery insurance casbah!!!!!!! Give me a shout on my cell phone at 307-752-5961, or PM me here or send me an email at insuranceman2.0@yahoo.com! Until then, stay vigilant!
  14. Jessica, I am back and I know we spoke, but give me a call prior to the next renewal. My phone number has stayed the same, 307-752-5961. Stay Vigilant!!!!!!!
  15. *** UPDATE *** All, As many of you know, I am back and better than every. I can be reached, just as before, at 307-752-5961 or you can email me at insuranceman2.0@yahoo.com. Or, you can hit me up with a PM here on the forums. I cannot wait to talk to all of you!
  16. Happy Thursday Morning ADI Citizens, Today’s “tidbit” comes a few days later than normal as I am sure you noticed. Well dear citizens, that is due to the fact that I, InsuranceMan 2.0!!!!!!!, have been battling the forces of insurance evil nonstop over the course of the last few days. As the sage balladeer Bob Dylan wrote back in 1964 (a bit before my time), “The Times They Are a-Changin’”!!!!!!!!!!! As you all well know, I am the national face of insurance protection for distilleries throughout this great land of ours. Over the years I have worked tirelessly with several national carriers to develop and improve upon specialized insurance coverage in order to vigilantly protect you and your distilleries, my friends! However, the greatest evil that one can befall upon another is (DAH, DAUGH, DUNNNNN!!!!) betrayal!!!!!! Ever superhero has their weakness, as we all know. This is the irony and dichotomy of superpowers. With much strength must come debilitating weakness, albeit, the strength much outweighs the weakness the majority of the time. So, what is my weakness you may ask?!?!?!?! Well, it goes by several different names. But, I plead with you, remove any children from the room if you are reading this aloud, as the next portion could cause them the following: great distress; nightmares; stomach cramping; nausea; tennis elbow; muscle pain; dizziness; uncontrollable screaming; dry mouth; mental anguish; sobbing; uncontrollable disgust; trench mouth; jungle rot; water on the knee; allergic reaction; and, yes, diarrhea!!!!!! Alright, here we go, you have been warned. Some call it, “The Company” (GASP!!!). Others may call it, “Underwriting Guidelines” (VOMIT!). One of the worst names it goes by, “Actuaries” (FALLING TO KNEES WITH ONE ARM OUTSTRETCHED TOWARDS THE HEAVENS!). And, possibly the very worst name that it goes by, my greatest weakness, “Underwriting Requirements” (FALLS TO FLOOR, CONTORTING IN PAIN!!!!!!!!!!!!!!!!!!). What am I talking about?!?!?!? What is it that has sickened and weakened me and caused me to seek respite in my secret lair of insurance solitude!?!??!?! It is the fact that one of the national carriers that has been specializing in distillery insurance, one that I trusted and partnered with; One that I groomed and treated as my very own; One that I helped, took in and trained up in my own image has betrayed me!!!!!!! This trusted friend and partner, now, after our beautiful relationship has come out with new “Underwriting Requirements” that state that, “No finalized product, whether bottled; barreled; in totes; or any other means of storage” can reside in the same building as the manufacturing operations. In lay terms, you cannot have any finished product in the same building as your still. So, what does that mean?!?!?! It means that this carrier, who has been so good to work with, who has been by my side in the insurance injustice batter for so many years, has now gone to the darkside! They have chosen to use their powers for evil, instead of for good. They are essentially saying that they still want to write distillery insurance, but only on distilleries who have a separate building to store their product in, with defensible space separating the buildings. H O O E Y!!!!!!!!!!!!!!!! What they are really saying is that they don’t want to work with you fine people anymore, but are to cowardice to say so. What they are saying is that they are only willing to consider 2%-3% of the overall distillery business, since almost everyone I know in the distillation business has product stored in the same building as where they manufacture their product. Oh, I know, I know what you are thinking. You are thinking, “Well, it is probably just a clarification error! They probably mean it cannot be in the open in the same building. They probably mean they want to see a fire wall, a separate room in the same building that stores the product.” Incorrect, dear reader! I clarified this until I was blue in the face, it must be a completely separate building with defensible space. So, what does that mean, “defensible space”? According to FEMA, “Defensible Space” is, “… an area around a building in which vegetation, debris, and other types of combustible fuels have been treated, cleared, or reduced to slow the spread of fire to and from the building. Information about local vegetation, weather, and topography is used to determine the Fire Severity Zone of an area, which can help determine the most effective design of a defensible space. A defensible space is one of the most cost-effective ways to protect a building from a wildfire and can often be created by the property owner.” The issue here is that it is never clearly defined. Is it 15 feet, or 50 feet?!?!?!?!! No one will commit to a distance that is acceptable. (Collapsing to the floor again out of frustration and crabbiness). What does all this mean to you, sweet ADI-goer?!?!?!!? It means that the market is tightening. It means that underwriting is getting tighter which means coverage may become more difficult to procure through a “standard market”, and coverage may be more expensive as it may have to be provided by an E&S carrier. It also means that there could be more cost involved in having to store your products off site just to satisfy some evil, menacing insurance actuary!!!!!!!!!! NOOOOOOOO!!!!!!!! Fear not though!!!!!!! Again, with the bad always comes the good. One door closes, another door and some windows open!!!!!! Although this carrier of which I speak, who shall remain nameless (let’s just refer to them as “Crudtastic the Despicable”) is tightening things up, there are still carriers who have remained stalwart. I am even working currently on a top secret project that will be beneficial to all who participate, something quite exciting that the distillery insurance world has never seen the likes of!!!!!!!! I implore you to stay tuned, as it may take some time, but oh … it will be something to behold!!!!!!!!!!! In conclusion, fear not fine citizens, I am still here to work with and defend you on a daily basis. I have many wonderful carriers that I still work with and who are doing good works on our behalf, so if you have needs, I can still solve them. I never lumped all of my eggs in to one basket as the saying goes. I do ask one thing of each of you though. In assisting me in pleading our case, I would like each of you out there to let me know in the comments section, where do you store your finished products, in whatever type of vessel??? Are they stored in the same building as your manufacturing space, or do you have a completely separate building with defensible space? Your participation in letting me know, so I can use the information to defend us and continue to fight evil-doers is much appreciated. Until next time ….. Stay Vigilant, Aaron Linden a.k.a InsuranceMan 2.0!!!!!!! 307-752-5961 InsuranceMan2.0@yahoo.com
  17. Good Morning ADI Citizens! In today’s installment of the Tuesday Morning Insurance Tidbit the topic de jure is Local Insurance Agent vs. National Insurance Agent, i.e. InsuranceMan 2.0. For many, your distillery business is your heart and soul, your life. You have put everything (or most everything) you have into building your business, making amazing, artistically crafted products. You spend many of the hours of your week at your facility, and when you are not there, you are thinking about being there. Something this important in your life deserves the best in the way of protection. I speak to dozens of people just like you every week and have for the past 7 years. Inevitably I am asked a particular question at least once a month. What is the question you wonder? Well, the question is this, “Shouldn’t I try to find a local insurance agent to handle my distillery insurance?” Ah, the age-old question! Because I am an honest and just Insurance Superhero, I will address why dealing with a local agent is something people consider. First of all, they are somewhere in your town/city/area, so that could be something. Second, and I hear this all the time, “It helps stimulate the local economy.” Ok, I can kind of see that I guess. Finally, maybe you know the guy/gal and your kids play soccer together or the local agent is you brothers, step-aunt’s niece’s cousin whose best friend’s dog-goomers husband sells insurance, or some other such relationship. Nice, all reasons and justifications I hear as to why people may look for a local agent. Now, let’s speak to the adverse side of dealing with a local agent. Just because they are in town or the area does not necessarily make them more accessible or mean they will be stopping in to your business every time you have a question. In fact, more often than not, people that had been dealing with a local agent, and then moved to me have told me I am more accessible via email, text, and by them calling me on my cell phone than their local agent ever was. Many have told me their local agent was a “hit it and forget it” insurance salesperson. Meaning, they sold them a policy and then never spoke to them again. SAD!!!!! Second, in regard to the economy, although the insurance agent is paid by your business it may not be what you think nor have the economic impact that is perceived. If a policy costs you $5,000, that is not going into your local economy. Agents are actually paid only a small percentage of the premium, the rest goes to the big faceless insurance entity located in some far away land of actuaries and guys that look like they just stepped off the Monopoly box, who light their cigars with $100 bills. SCARY! Finally, just because you may know, or kind of know someone that schleps insurance for a living does not obligate you to having to work with them. We have now arrived at my favorite part of the discussion; Why should you consider a National Insurance Agent, i.e. InsuranceMan 2.0? Grab yourself a nice lowball of your favorite spirit and get comfy, this portion could be L-O-N-G!!!!!!! Just kidding, I will keep it short and sweet even though I could go on for days. One reason to work with me is that I am incredibly responsive and pretty much accessible 24/7 via cell, email, and text. Don’t believe me?!?!?!? Ask around and you will find out quickly that I respond to folks at all hours of the day and even on weekends. Unless I am up in the mountains and have no cell reception, I am accessible dang near all the time. That is partly what makes me so Superhero-ish! Next, think of this scenario: God forbid, but pretend that someone contracts a rare disease. There may be a slew of local doctors and hospitals in the area, but that does not mean they will know how to treat the person. The first thing that person would do is jump online and find out where and who in the country specializes in this kind of treatment. They would do everything in their power to seek out the very best, most experienced person they could find to assist them with their needs, right?!?!?! I know I would. Well, why should your distillery insurance be any different? Why would you choose to work with someone just because they happened to be close to you? What experience do they have in writing distilleries? Do you really want to be their Guinea Pig?!?!?!!? Having them experimenting on your policy, cobbling some coverage together, only to find out in the time of a claim that it is not covered because they didn’t know what they were doing? NO!!!!! You would seek out a specialist who knows what they are doing, someone who has been doing it for a long time and has successfully worked with and assisted hundreds of similar clients! You would not just want to work with the person that schleps insurance, you would seek out an insurance Superhero. Someone like … me! InsuranceMan 2.0!!!!!! Here, let me save you the work. You can contact me at Insuranceman2.0@yahoo.com, or via PM here on ADI, or by call or text at 307-752-5961. There, that was easy, wasn’t it? Now you don’t have to spend time looking for someone who can assist you with your distillery insurance needs. You can use your extra time to come up with that new mash bill. Or maybe whether to macerate, or use a basket, or place botanicals strategically at different levels in the column. So much extra time and so many things to consider! You’re welcome! So, until next time my friends … Stay Vigilant, Aaron Linden InsuranceMan 2.0
  18. Did I hear "Insurance"?!?!?!?!?!! Have no fear, InsuranceMan 2.0 is here. Gavin, I know we played a bit of phone-tag, but I would love to assist you with this need. I work with hundreds of distilleries throughout the country, from nano-distilleries all the way up to some of the biggest around. Please, let's continue our conversation. My phone number is 307-752-5961. I look forward to hearing from you, and anyone else that is in need of assistance!
  19. Happy New Year fellow ADI-ers, In today's installment of the "Tidbit", I just wanted to wish you all a happy and prosperous new year and thank you all so much for this past year as well. You all have truly made 2018 a remarkable year and I am looking forward to a grand 2019 with all of you. Stay Vigilant, Aaron a.k.a. InsuranceMan 2.0 307-752-5961 InsuranceMan2.0@yahoo.com
  20. Dear ADI forum, I know this is coming to you on a Wednesday, not Tuesday, but Christmas happened to fall on Tuesday and I had been spending a glorious time with family and friends. In today's installment of the "Tidbit", I just want to wish you and yours a very Merry Christmas, a happy and prosperous New Year, and Happy Holidays ... how ever you may believe or celebrate. In my world I don't find any holiday greeting offensive, I believe it is just a nice time of year for everyone to come together and reflect on the value that your family and friends bring into your life each and every day. I wish we all took time to reflect on this aspect of our lives more. So, from InsuranceMan 2.0 and my family to yours, Merry Christmas, Happy New Year, and Happy Holidays to all of our friends of ADI that we have had the opportunity to get to know, and for those of you that we have not gotten to know as of yet ... 2019 will be the year of us getting acquainted! Stay Vigilant, Aaron Linden - aka InsuranceMan 2.0 307-752-5961 InsuranceMan2.0@yahoo.com
  21. Good Day Fellow ADI’ers, Yes, today’s “Tuesday Morning Insurance Tidbit” is being brought to you on Wednesday. As the holidays approach at a fast pace, sometimes InsuranceMan 2.0 becomes a bit busier than normal! Besides the normal day-to-day business of keeping a vigilant and watchful eye out over all of you, to the ongoing battle of fighting insurance injustices far and wide, to getting ready for the holidays, even I, with my incredible superpowers, sometimes cannot keep up with it all. Kudos to all mortals out there who keep on keeping on during this time and stay up to date on their tasks at hand. I applaud you, you are the true superheroes here! Now, on to today’s Tuesday Morning Insurance Tidbit! This tidbit will be short and sweet … You’re welcome! The topic at hand is … Da Da Daaahhhhhhh ….. “State Bonds”! It used to be that all distilleries needed to have a Federal bond, also known as a TTB Bond. As you are all aware however, that requisite went away here about a year ago, and is set to continue until the end of 2019, at which point the Government will make a decision as to whether or not to continue this exemption or re-implement it. Until then however, many states still have bonding requirements. From “Sales and Use” bond requirements, to “Alcoholic Beverage” surety, to “ABC/1-2-3/3-Tier” bonds, most states are going to require some type of bonding from your distillery. Also, keep in mind, that if you are looking to expand your territory from your home state to other states, you will most likely be required to provide a state bond to the new state you are going to conduct business in. Does bonding scare you?!?!? Does it keep you up at night and haunt your dreams?!?!?!?! Do you find yourself breaking out in a cold sweat when you nervously contemplate how difficult it is going to be to get a bond?!?!?!? Do you wonder if they will want all your most personal and private information or take your first born or your still as collateral?!??!?! Well, have no fear … InsuranceMan 2.0 is here!!!!!!!!!!! I can assist you with all of your state bonding needs (as well as your Federal TTB bonding as well, if you are withdrawing more than $50,000 in tax paid spirits a year). I have this down to such a science that all we really need is your name, address, bond amount and state, and I can have the bond done, issued, and out to you within an hour. Bada-Boom! Yes, you heard me correctly, in less than an hour. Many of the state bonds, or sales and use bonds require a limit of anywhere from $1,000 to $5,000. For bonds such as these, not only can you have them in an hour’s time, but they only cost an annual premium of around $100. Yes, you read that correctly, $100. Again, you are welcome! So, if you are uncertain of the state surety you surely and certainly seek, seek surety no further than the simple certainty I can surely provide for your surety needs. Until next time, dear reader … Stay Vigilant, Aaron Linden Aka InsuranceMan 2.0 307-752-5961 InsuranceMan2.0@yahoo.com
  22. Another quick update to my contact information ... You can also email me at InsuranceMan2.0@yahoo.com . I know some folks prefer email over a call or text, so feel free to use this address. Stay Vigilant My Friends, Aaron a.k.a. InsuranceMan 2.0
  23. Happy Tuesday to all my ADI friends!!!!!! In today’s riveting installment of the “Tuesday Morning Insurance Tidbit” direct from my secrete lair in Sheridanopolis, we are going to unmask the insurance supervillain that is Actual Cash Valuation vs. Replacement Cost Valuation 😊 Most people, when looking at their insurance policy (If they even do. Did you know that surprisingly, over 65% of people in a HuffPost survey said they have never looked at their insurance coverage in detail!??!!?!?!?) wonder what in the multiverse these terms even are?!?!?!?!?!? WELL HAVE NO FEAR, INSURANCEMAN 2.0 IS HERE!!!!!!!!!!!!!!!!!!!!! The reality of this is you need to look at your policies people! You need to know what you are covered for, and what you are not. Furthermore, you need to know what to expect in the case of a loss in the way of valuation. That is, unless you are working with InsuranceMan 2.0. If you are, then I explain everything to you upfront and in detail. Let us start with Actual Cash Value (a.k.a ACV). ACV actually appears on more policies then I care to talk about. For starters, it is a cheaper type of coverage (so this is a bit of wicked trickery some agents may use in order to get you a lower premium if they are trying to woo you away from another agent! Watch out for these Evil-doers!!!!!!) So, what is it exactly?!?!?! That is a tough one to define, my friends. In some instances, when adjudicated in the court system, it has been defined as a “fair Market Valuation” which means, what would someone reasonably pay for the same used, depreciated item. This is a slippery slope indeed, because who is to say what someone is willing to pay. Beauty is in the eye of the beholder and all. In most instances (like almost all of them, and the way the insurance companies define it is) it means the cost to replace the damaged item with like kind and quality MINUS depreciation. Did you get that?!?!?!?! MINUS DEPRECIATION!!!!!! So that still you purchased back 5 years ago for $80,000 that you have run countless batches through, and now it has that cool patina and so much sentimental value (after all, it has been with you like an old friend. You know its nuances, what makes it run well, what it does not like, etc.), could be depreciated by … pick a number. I say, “pick a number” because you just do not know. Insurance companies have depreciation schedules for all types of items, but it varies depending on what it is, size, condition, etc. So, it could be maybe 6% a year, or as high as 20%. You won’t necessarily know until the unforeseeable strikes. Given the example outlined above, for ease of math sake, let’s say that same still in today's market still costs $80,000 (the replacement cost of the item). If you have an ACV clause on your policy and the depreciation is on the low end of 6%, then it would equate to the cost of the replacement item, minus depreciation, multiplied by the number of years. So, in this example it would be 6% multiplied by $80,000 replacement value, multiplied by the 5 years you have owned/operated the still. Given this example it would look something like this, .06 *$80,000 * 5 years = $24,000 in depreciation. So, $80,000 - $24,000 = $56,000 in value after depreciation. Well dear reader, that leaves you in a jackpot of having to come up with $24,000 to replace your $80,000 still. If you are facing a depreciation that is much higher, like the 20% example given, then you would be looking at complete and total loss and you would have no coverage for your damaged still!!!!!!!!!!! As I have said so many times before, NO BUENO!!!! Also, keep in mind that this does not even take into account your deductible. If you have a higher deductible, like a $2,500 or $5,000 deductible amount, then it would reduce your coverage even more, leaving you with more out of pocket expense. Again, the use of higher deductibles are definitely something in the bag-o-tricks of the Evil-doers that they may use to trick you into thinking they can offer you a lower premium. Be ever vigilant and watch for these injustices! Now, if you have a Replacement Cost Valuation (RCV) clause on your policy, ah ……. This is as close to Nirvana as you can get. Not the Kurt Cobain band mind you, rather the Buddhist belief of a transcendent state in which there is neither suffering, desire, nor sense of self, and the subject is released from the effects of karma and the cycle of death and rebirth. It represents the final goal of Buddhism, in case you were wondering. So, what is this magical RCV of which I speak? Well, let me tell you … RCV, simply stated is the cost to replace the damaged item with like kind and quality, period. With RCV, the insurer does not care if your still is 5 years old or that you have run countless batches through it. They will replace it with like kind and quality, and in our example above, that was the full $80,000. Wait, what?!?!?!? “Are you telling me that the insurance company will give me $80,000 to replace my $80,000 still if I have RCV on my policy?!??!?!” Yes, yes I am … however, keep in mind there is a deductible. So, if you have a $1,000 deductible, you will actually get $79,000. Still (pun intended), that is a whole heckuva lot better than anything in the ACV example given! “What if the example given above is wrong and the still is now only $60,000 to replace, do I get to keep the extra $20,000 in value?!?!?!” Um …. N O !!!!! With RCV, it is paying to replace it with like kind and quality, so if the insurer can find the same still in today's marketplace and replace it for $60,000 then that is what you will get, a new still of like kind and quality. The idea of insurance is to make you whole again after a loss, not benefit you and give you additional money. Don’t be greedy fine citizens, you recieved your same still back after all! Well, with that I hope I have assisted in tearing away the scary mask of ACV vs. RCV so that you can sleep easier at night knowing the difference. Or at least knowing I am ever-watching and here to protect you. Now I am off to continue my daily fight against insurance injustice, and the pursuit of insurance education of the fine citizens of this land! As always, if you have questions about your insurance coverage’s that you already have in place, or if you are looking to start a new facility, I am only one call away. Just flick on the InsuranceMan 2.0 beacon and I will come to your rescue. PM me, shoot me a text, or give me a call @ 307-752-5961. Or send me an ultra-super-secretive-coded-encrypted-message via the magical super-web at InsuranceMan2.0@yahoo.com . Until Next Time My Friends, Stay Vigilant!!!!!!! Aaron Linden a.k.a InsuranceMan 2.0
  24. @Huffy2k, I am glad you enjoyed it, Jim. Give me a call some time, I would love to catch up!
  25. To anyone interested, I have a boilerplate Quality Assurance document as well as a Product Recall plan that and I would be happy to assist you. just let me know via PM, text, call (307-752-5961). Stay Vigilant, Aaron Linden - a.k.a. InsuranceMan 2.0
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