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May 27, 2020
life insurance

What You Need to Know to Purchase Term Life Insurance These Days

One thing we have all learned over the last few months is that life can change drastically in a very short time. It may be that you have been contemplating ways to protect your assets and loved ones if something else unexpected were to happen. Life insurance was created to do just that, so it may be a good idea to review your policies. However, just like everything else during the pandemic, the industry has changed. Below we offer some advice on how to approach purchasing term life insurance. What is Term Life Insurance Think of term life insurance like renting – you are paying each month without building equity in a home. The policy does not build a cash value, rather it covers you for a specific amount of time with level premiums. Typical terms run from 10 to 30 years and during that time you are covered for the stated amount of the policy if something happens. It is the most straight-forward life insurance product – set amount of time, set premiums, set benefit. Term Life Insurance Process Changes For the 18-60 age bracket, the biggest change in purchasing term life insurance is the underwriting, or risk assessment, process. It used to be that after submitting an application, a nurse would come to your home to take your blood pressure and draw blood for testing. Due to the pandemic, insurers are now instead reaching out to your doctors and reviewing your prescription history to determine your health risk. That assessment will determine both your eligibility for and the cost of your policy. Determining How Much Coverage You Need Most people who come to us looking for life insurance are doing so because they have a family to protect. At Wharton & Power Insurance, we work with our clients to determine how much coverage they need to provide for their loved ones. Our approach follows an income replacement formula. For example, what happens if you as the breadwinner dies unexpectedly?  What needs to happen immediately to ensure that things stay as close to “normal” in this new normal? The first concern is replacing your lost income. Say you make $100,000 per year. Financial planners suggest you follow a 4% ratio, meaning 4% being the max you can take out of an investment account to sustain the principal over your family’s lifetime. In this scenario, you would need a $2.5 million term life policy to replace the $100,000 per year income. Term life insurance is one of the least expensive ways to protect your family for the unexpected. If you consider the amount of money you will make over your career, your family is looking at missing out on millions of dollars of income. At Wharton & Power Insurance, our goal is to find the right policy for your situation, and one that will sustain your family for a long period of time. If you would like more information on term life insurance, send us an email or give us […]
May 25, 2020
Wharton & Power Insurance

Memorial Day: A Time for Remembrance

May 18, 2020
wharton & Power Insurance

Words to Thrive By | Business Quotes from Wharton & Power Insurance

May 13, 2020
outsourced HR

Managing the Employee Discipline and Termination Process

Being an employer means you will have the occasional employee who requires disciplinary action or even termination. You can make that difficult situation a bit easier by preparing ahead of time, understanding how you will address the situation when it occurs. Best Practices for an Employee Discipline and Termination Process Outline Disciplinary Procedures in Your Employee Handbook Having an employee handbook that clearly outlines how disciplinary issues will be handled sets expectations for all employees. And, taking the time to create your process up front will head off making rash decisions in the heat of an issue. However, you will want to build flexibility into your plan that will allow you to skip steps if necessary, such as the need for an immediate termination. Address Employee Issues Promptly It is important to understand the dynamic of your team, and to identify and deal with any issues quickly.  Allowing dangerous, toxic or fraudulent behavior to persist not only decreases company moral, but can also make unwinding the employee from your organization more challenging. Look Before You Leap Before you fire someone in a moment of intense turmoil, ask yourself some key questions: How has the employee been disciplined? What documentation do you have? Has s/he been sick or have any disabilities? Does s/he have any special designations or demographics? And finally, what is the employee’s viewpoint of why you are firing him or her? It is this last question that can quickly identify potential negative outcomes from firing someone. Termination should always be clearly about job performance, not the qualities of the person being let go. Formally Document the Process Documenting communications and actions during disciplinary and termination procedures is key to protecting yourself against legal action. American employees are fortunate to have many employment laws to protect them from unfair or unsafe working conditions. However, those laws can cause headaches for employers who want to fire someone. Formally documenting all steps in your disciplinary process can protect you from losing a wrongful termination suit. Enlist an Objective Party to Advise You Bringing in an outside expert like WorkSmart Systems to offer an objective viewpoint to the situation can be invaluable in a discipline or termination situation. For example, our experts may be able to uncover potential major issues like employee discrimination. When you are close to a situation it can be difficult to see the potential pitfalls of your response, process or culture. Prepare for Post Separation Communications Once you have successfully terminated an employee, your relationship with them does not stop there. Items like final paychecks, benefit management and tax documentation still need to be managed. Again, having a PEO like WorkSmart on your side can be extremely helpful, serving as your representative to ensure all loose ends are covered. Over time, hiring leads to an occasional firing. Working with a knowledgeable partner can help ensure proper implementation. You may have access to your trade association, employment lawyer or human resource professional who can often lend a hand. Did […]
May 11, 2020
wharton & Power insurance

Words to Thrive By | Business Quotes from Wharton & Power Insurance

May 4, 2020
business insurance

Words to Thrive By | Business Quotes from Wharton & Power Insurance

April 29, 2020
umbrella Insurance

Umbrella Insurance: Protection When Accidents Happen

Perhaps the best way to underline the importance of umbrella insurance in protecting your assets is by sharing an example: “Over 15 years ago, my daughter was in middle school and my wife volunteered there. The school was just few miles away off a two-lane road. One rainy day my wife was driving to the school and came across deep water in the road. She had to make a left turn across the puddle, and while navigating the hazard she drifted into the oncoming lane. Another woman came barreling over the hill in a minivan and hit my wife’s car. Both women are injured and my wife was clearly at fault. Fast forward 9 months after the accident, the Sherriff comes to our front door and served litigation papers. We went through 2 years of back and forth, going through an investigation and hiring a personal injury attorney. My wife ended up being sued for everything – pain and suffering, lack of consortium, etc. The women ended up having three surgeries for a broken ankle she had sustained in the accident. We had a $500,000 limit of liability through our auto insurance, so if we received a judgement beyond that figure the rest would have come out of our own pocket. Fortunately, we also had a $2 million umbrella policy. The lawsuit almost ended up going to a jury trial. At the last minute the insurance company offered to settle for $750,000, $500,000 of which came from our auto policy and the rest from our umbrella policy. Turns out our insurance company passed our case to four different attorneys over the two years and was tired of fighting it, otherwise who knows how large the award would have been? Volunteering three minutes from home turned into a $750,000 mistake! If we had not had the umbrella policy, we would have been in dire straits.” The cost of umbrella insurance is very small compared to the risks associated with accidents. Do any of these situations sound familiar? • Your family owns a lake or ski house with “dangerous” toys (jet skis, snowmobiles, boats, etc.) and visitors who use them. • Your 16 year-old son or daughter is now driving and has a new car. • You throw parties out by your pool that include alcohol. • You have a dog. Frankly, there is always the potential for an accident either caused by you or a family member or happens on your property. While umbrella policies are rarely used, when they are needed they are immensely helpful, saving people hundreds of thousands of dollars for a minimal premium. The key is to make sure that you have enough coverage to suit your life – your homes, your toys, your hobbies and your family. Deep pockets are particularly at risk; if you are a business owner, an attorney could go after it too. The fact is, the larger your life the more someone can take from you. Medical coverage can be millions of […]
April 27, 2020
business insurance

Words to Thrive By | Business Quotes from Wharton & Power Insurance

April 20, 2020
business insurance

Words to Thrive By | Business Quotes from Wharton & Power Insurance

April 15, 2020
PEO

PEOs Make HR Administration More Efficient

In these days of increasing regulation and reporting, having employees has become more complicated. Payroll has moved beyond tracking taxes and vacation, with new federal requirements for overtime designation and health insurance reporting coming into effect over the past few years. Businesses without large human resource departments find it difficult to stay on top of the complexities of managing a workforce. Where companies are experts in what they do, professional employer organizations, or PEOs, are experts in HR administration. Partnering with a PEO brings efficiency to a business, as well as the confidence in knowing all compliance requirements are being fulfilled. PEOs provide a variety of services related to managing a group of employees. WorkSmart Systems, an Indiana-based co-employment PEO, offers comprehensive human resource administration services, including payroll, employee benefits, and a human resource information system (HRIS). When you partner with WorkSmart, you have access to their full array of services, for no extra charge. If you are currently using a typical payroll company to produce the new reports required for employers, you may have noticed additional charges on your bill. Training your own HR staff on these changes comes at a cost as well. WorkSmart avoids this one-size-fits all, nickel-and-diming business model, serving as a true partner for their clients. WorkSmart charges a sliding scale HR administration service fee based on the number of employees in your organization. This fee covers the tasks necessary to administer your account, regardless of any new requirements that emerge. You have access to their full array of services, choosing what works best for your business. One powerful resource is their custom HRIS, offering a centralized space to manage all of your employee information. Examples of other services include the following: • Easy payroll tracking and compliance reporting • Group health insurance on-boarding and management • Access to an HR expert for employee issues • Applicant to employment tracking • Employee handbooks and HR training • Termination procedures and COBRA administration As a client of WorkSmart, you receive a designated account manager, who gets to know your business and can create a suite of services that suit your needs. They are available to you and your employees to provide you with whatever you need to better manage your human resources—answering your questions, providing training and on-boarding, creating custom reports and etcetera—with no additional fees. There is no need to spend time and money becoming an expert in the complex world of human resources. Allow yourself and your HR staff to focus on what is important—running your business. Partnering with a PEO not only grants you efficiency and expertise, but you also gain the peace-of-mind that you are compliant with the most up-to-date employment requirements. Want to learn more about WorkSmart Systems? Send us an email or give us a call at 317-663-4138.
April 13, 2020
business insurance

Words to Thrive By | Business Quotes from Wharton & Power Insurance

April 6, 2020
wharton & Power Insurance

Words to Thrive By | Business Quotes from Wharton & Power Insurance

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