Commercial insurance example, Corporate Finance

Assignment Help:

The East Coast Conglomerate Co (ECCC) a small manufacturing company is doing a risk management assessment and a total review of their insurance policies. They have asked you,  knowing that you are enrolled in an insurance course,  the following questions. Please provide your response or recommendation for each.

A. ECCC plans on hiring a few part time subcontractors. How does this affect their workers compensation coverage and premium?

B. ECCC is concerned about their workers compensation experience modification. It has increased from .98 to 1.10 in the past year. Explain why this may have happened and explain to ECCC how the EM is derived.

C. ECCC has employees who travel out of state and out of the country. They are concerned about their workers compensation insurance coverage when employees are working outside Virginia.  Explain how the workers compensation insurance responds to these situations.

D. ECCC is concerned that they do not have adequate liability insurance. They currently have general liability insurance, business auto insurance and employers liability insurance. Make a recommendation as to the best way to increase their liability limit.

E. An owner of ECCC has recently read a news article about a business that was sued by an employee who accused the business of discrimination. Provide guidance to ECCC regarding insurance coverage for this situation.

F. Since ECCC is relying on your professional guidance in helping to make risk mangement and insurance decisions you may want to have insurance coverage to protect yourself from professional liability (this assumes you are an insurance agent). Descibe the coverage that would be provided by such a policy.

G. ECCC has discovered two underground gas tanks on their property. What type of liability might ECCC face and what risk management remedies do you suggest for this exposure

2. Jacks Heating Co has recently signed a contract to install heating and A/C equipment in a new building. The contract requires that Jack provide a performance bond. This is the first time Jack has had to provide a bond and he has called you to find out what is involved. Describe the aspects of bond underwriting, identify the parties to the bond and the main purpose of the bond.

 

3.  You are asked to serve as a board member on the local banks board of directors. You are concerned about your liability as a board member. Describe the type of liability coverage that is needed to protect bank board members.


Related Discussions:- Commercial insurance example

Level of debt in its capital structure, Weaving Ltd is a medium-sized Mauri...

Weaving Ltd is a medium-sized Mauritian knitwear company. It assembles jumpers and other forms of knitwear clothing. Despite an adverse economic background, Weaving Ltd has been do

Methodology of an event study, Methodology of an Event Study In this s...

Methodology of an Event Study In this section we outline the methodology of an event study. In suc- ceeding sections we apply the methodology to a number of different cases. A

Stock market, Let there be a village with two farmers, Tommy and Freddy. To...

Let there be a village with two farmers, Tommy and Freddy. Tommy grows rice and Freddy grows cactus. When the weather is dry then Tommy's investment in cactus has an above average

How do mergers affect small businesses?, How do mergers affect small busine...

How do mergers affect small businesses? A: According to a recent study by Federal Reserve and Wharton Financial Institutions Center economists, not a great deal. Their analysis

Fundamentals of Corporate Finance, What is the industry average price-earni...

What is the industry average price-earnings ratio? What is the price-earnings ratio for Ragan, Inc.? Is this the relationship you would expect between the two ratios?

Assinment, Profit for the year R3 million R4 million Gross dividends...

Profit for the year R3 million R4 million Gross dividends R1.5 million R2 million Market value per ordinary share R4 R1.60 Number of ordinary shares 5

Financial Engineering Assignment, Dear Sir/Madam, I have an assignment for...

Dear Sir/Madam, I have an assignment for my financial engineering class, which contains 19 different questions, and is due Monday 11 a.m. Can you please tell me if you have someon

Describe and derive the fund seperation theorem, Question 1: (a) Descri...

Question 1: (a) Describe the following stock market anomalies which have been documented in the finance literature: (i) the January effect (ii) the Size effect (iii) t

Financial Ratios, I do not understand how ratios are calculated on MSN Mone...

I do not understand how ratios are calculated on MSN Money website. My homework assignment was to look up GM''s income statement and balance sheet for the last quarter and compare

Assignment, Hi, I would like someone to accomplish my corporate finance pap...

Hi, I would like someone to accomplish my corporate finance paper Objectives o To understand the financial profile of the selected company. o To project future cash flows of the co

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd