UBI – Usage Based Insurance

usage based insurance

Usage based insurance (UBI), sometime known as telematics, is a technology that combines telecommunications and measuring. Specifically, these are devices that measure how you drive. Information such as how hard a driver breaks, or how quickly they accelerate is recorded by most vehicles. In addition to being recorded by the vehicle, there are smartphone apps that can record and share this data.

While this technology is new to the Ontario auto insurance market, it has been used in Europe, the United States and in Quebec. There are currently over 5.5 million usage based insurance policies active world wide and this number in increasing rapidly. By some estimates there will be over 100 million telematics policies by 2018! So what’s all the fuss about?

Insurance companies that offer UBI programs use vehicle data to assign discounts based on driving habits. It’s important to note that in Ontario this data can only be used as an incentive; companies are not allowed to surcharge, or refuse a risk based on telematics data. Discounts can range from 5% to 25% in some cases. On average, Ontario drivers have the most expensive insurance in Canada. The potential savings from using a telematics device make its appeal clear. There is also strong evidence that UBI programs can improve a person’s driving habits.

Drivers can check their driving attributes through a convenient website or mobile app. This can be especially helpful for new drivers who might not recognize risky behaviours, like constant acceleration followed by hard breaking. Having a baseline for these habits makes it easy for drivers to track their improvements. Parents or driving instructors can review the data to provide coaching and constructive feedback.

Usage based car insurance isn’t for everyone. Young drivers and drivers who live in expensive insurance territories like Brampton and Etobicoke have the most to gain from these potential savings. A common complaint about car insurance is that people can’t help where they live, why should you have to pay for all the bad drivers? Telematics is a step towards fixing this problem. Insurers and good drivers have a lot to gain from auto insurance that is based on real driving habits.

There are no additional costs to the driver. Downloading the app and setting it up is easy. Contact us today to start saving on your auto insurance!

Drone Insurance

drone insurance

There is now insurance coverage available for Unmanned Aircraft Vehicles (UAV) also known as “drones.” Common insurance packages generally exclude aviation activity, so if you are using a drone to complement your commercial operations you’ll need to have specialized coverage.

We are offering drone insurance which can include:

– Property coverage
– Liability
– Physical damage
– Theft
– Bodily injury

Some insurers are offering to cover drones that operate using an Unmanned Aircraft System (UAS). The UAS includes all of the components that work together in the operation of an unmanned aircraft: the drone vehicle, its payload, everything on the ground, radio transmitters, receivers, ground control stations, etc.

Transport Canada regulates drone use to keep the public and our airspace safe. In order to use your UAV for any form of work or research, you are legally required to apply for a Special Flight Operations Certificate (SFOC). Whether you are using it for recreational use or work you must follow all laws and fly safely.

Keep in mind – if you want to insure your drone you will need an SFOC in order to get coverage. It is also part of the SFOC requirements you have proper UAV Liability Insurance, so both go hand in hand. You also need to be aware that certain uses are not likely going to be allowed even with an SFOC. Flying over people at a concert, near a high traffic airport, dropping items from the aircraft, etc. are basically off limits without very special authorization if at all.

Make sure you understand the rules that apply and follow them. Not doing so could put lives at risk and cost you up to $25,000 in fines, even jail time. See the below info-graphic to help you determine if you need an SFOC to fly your drone, and be clear on the rules and legalities of flying your drone.

Info-graphic – Do I need an SFOC?

Regardless of your company’s needs we believe insurance coverage for your UAS is essential!

 

References:

“Info Graphic – Flying an Unmanned Aircraft.” Find out If You Need Permission to Fly Your Drone (n.d.): n. pag. Government of Canada. 02 Feb. 2016. Web. 14 Mar. 2016.

“Flying a Drone Recreationally.” Government of Canada; Transport Canada; Safety and Security Group, Civil Aviation. Government of Canada, 09 Feb. 2016. Web. 14 Mar. 2016.

Cyber Liability

cyber liability

Like no other time in history, businesses of every size are facing serious risks to their operations. The data that organizations need to collect simply to do business is under constant attack. Consumers expect that their data is kept secure from unwanted data exposure, but the likelihood of a data breach event occurring means it’s only a matter of time before a business becomes a victim. The consequences of unauthorized access to sensitive data stored, collected or managed by a business can have a crippling effect.

A privacy breach is a security incident in which sensitive, protected or confidential data is intentionally or unintentionally released, lost or exposed. This data may include personal identity information, such as social security numbers, credit card or bank details.

If your sensitive business data is lost or released, you may have to spend significant time and money resolving the situation and restoring your reputation and your credibility.

Now, we need to do more than just preserving our physical assets and business continuity. It means having coverage that responds to two of the fastest growing threats: consumer identity theft and commercial data breach exposures.

Most businesses think a privacy breach won’t happen to them but a privacy breach takes place every two seconds in Canada. It’s important to note that large organizations aren’t the only victims of privacy breaches; in fact 30% of all reported breaches involved companies with fewer than 100 employees. The impact on the company after a breach can be extremely serious.

– 51% of businesses report that they were impacted by service downtime.
– 42% lost productivity.
– 74% report a loss of customers.
– 59% faced litigation.
– 33% faced fines.
– 32% experienced a decline in share value.
– 13.8% lost income.

As we said before, the effects of data breaches are far reaching and can be extremely detrimental to a company of any size.

You’re probably wondering how a privacy breach happens:

There are many, many ways in which a breach can take place. Some examples are:

– A fax number is misdialed
– Computer glitches.
– Hackers or thieves.
– Lost or stolen laptops.
– Unauthorized access to computer system.
– Improper document disposal.
– Improper office equipment recycling.
– Private documents forgotten on the printer.
– Client lists deleted or sent to the wrong address, among many others.

Our insurers partner with cyber risk consultants like IDT911 provide value and add services like education, proactive protection, and incident remediation. They also offer coverages for first and third-party losses.

We believe that every business should have a cyber endorsement to be fully protected in the event of a privacy breach.

Information Technology

technology insurance

Did your last broker think that Mobile Developer meant you drove around to construction sites? Insurance is complex enough without having to play broken telephone.

John McClelland is our broker specializing in tech and has first hand experience as a Web Designer and Developer, Web Hosting, Open Source CRM implementation and as a Network Administrator. He understands your business. John is well equipped to learn about what you do and the risk’s you face.

We can offer coverage for:

  • Commercial General Liability (CGL)
  • Errors and Omissions (E&O)
  • Wrongful Act
  • Privacy Breach
  • Media Liability
  • Cyber Breach

Whether you’re doing software, hardware, programming, coding, app development, or one of the countless other specializations in the information technology sphere, miBroker can help you get the coverage you need.

EMAIL JOHN