Uncategorized

Almost every insurance company now offers significant discounts if you allow them to track your driving habits and you score favorably. So, should you consider car insurance tracking devices to save money? Well, that all depends. Let’s dive into what data they’re gathering, how they do it, and if you’re comfortable with “Big Brother” spying on you.

Every company is different so it’s best to ask your insurance professional about the details of the program. However, there are some commonalities amongst the big players. Here are some of the data points these car insurance tracking devices utilize:

Factors That Have The Largest Impact On Your Discount

• TIME OF DAY – Times that reduce your discount
  • After 2:00am. Not coincidentally this is when most bars close.
  • 8:00am – 9:00am – Morning rush hour.
  • 4:30pm – 5:30pm – Afternoon rush hour.

• EXCESSIVE ACCELERATION
  • This isn’t the time to beat your best 0-60mph time.

• HARD BRAKING
  • Frequent hard braking can put you at risk for an accident.

• TOTAL MILES DRIVEN
  • The thinking here is the more you drive the better the chance for an accident.

• DISTRACTED DRIVING
  • If the insurance company has a phone app, it can detect when you pick up your phone.
  • If the insurance company has a plug-in device for the car, they likely can’t track your phone time.

How Big Can The Discount Be?

With most insurors, the discount can be up to 20%, however there are some that can reach up to 30%. Some will give you a 5% discount to start and then determine your total discount at the end of the tracking period. There are some insurance companies that won’t give you any discount until you’ve completed the program AND you have to wait until your next renewal.

How Long Will Your Driving be Tracked?

This varies by insurance company and can be 3 months, 6 months or 12 months. There are a few companies out there that will require you to have the car insurance tracking device permanently turned on. I would stay away from those unless you are are an ultra low mileage driver……3,000 miles per year or less.

Can Your Car Insurance Rate Actually Go Up?

Yes, however very few insurance companies will do this. Most will only change your rate if you earn a discount, and if you perform badly, they’ll just keep your rate the same. Ok, pretty good deal here.

Big Brother and Privacy

Should you trust these insurance companies to track you using either your phone or a plug in device? Well, let’s consider some comparisons:

• Social Media apps such as Facebook, Instagram & Twitter
  • Unless you have been very diligent about settings on your phone apps, there’s a good chance they’re tracking your location.

• Google
  • There are a number of ways Google tracks your location including the use of search, maps and weather. If you want to get Google to quit tracking you there are some settings you should know about.

• Various other apps such as Amazon Alexa

Verdict – Car Insurance Tracking Devices

Just be educated on how your data is being collected and by who. Then, you can make an informed decision for yourself. We’re not particularly for or against car insurance tracking devices. We believe it’s just an option offered.

It seems insurance companies are more up front then some of the others like Google, Facebook and other phone apps. These services tend to sneak in location tracking and can be tricky to turn off. In comparison, when purchasing car insurance, you’re not forced to use car insurance tracking devices. Only use them if you want, and if you do, you’ll likely be rewarded with lower insurance premiums.

Partners Insurance Changing The Way You Buy Insurance

No nonsense quote comparisons from multiple insurance companies. Great technology paired with a personal insurance broker. Be a part of the Partners Insurance experience. Get Quotes.

This COVID-19 HR Toolkit provides a comprehensive overview of the most pressing issues facing employers, including vital information regarding new federal laws such as the Families First Coronavirus Response Act (FFCRA) and Coronavirus Aid, Relief and Economic Security (CARES) Act, HIPAA privacy considerations, carrier response to the pandemic, layoffs and furloughs, tax credits and much more. However, please note that due to the developing nature of the pandemic, it is highly likely that the guidance found in this toolkit will require updating. Every effort will be made to continue to provide the most accurate, up-to-date information regarding COVID-19 and employer compliance considerations.

Topics Covered

• Reopening a Business After the Coronavirus Shutdown
  • Determining When to Reopen
  • Conducting a Risk Assessment
  • Maintaining Workplace Safety Using OSHA and CDC Guidance

• Responding to an Employee’s Positive Coronavirus Test
  • Responding to an Employee
  • Notifying Employees and Customers
  • Disinfecting the Office

• The Emergency Family and Medical Leave Expansion Act
  • Using Leave
  • Compensation
  • Job Protection
  • Tax Credit

• Coronavirus Aid, Relief and Economic Security (CARES) Act
  • Loans to Small Businesses
  • Paycheck Protection Program Loans
  • SBA Economic Injury Disaster Loans

• COVID-19 Layoffs and Furloughs
  • Continued Health Care Coverage
  • Wages Under the FLSA
  • The Families First Coronavirus Response Act
  • Unemployment Compensation

This COVID-19 HR Toolkit is informative in nature and should not be used as a substitute for legal advice. For additional assistance, seek the help of legal counsel and a qualified insurance broker at Partners Insurance, Inc.

For more information visit https://www.sba.gov

Similar Articles on COVID-19

Economic Impact Payments – COVID-19       

Coronavirus Stimulus for Small Businesses         

There are many questions surrounding Economic Impact Payments. These are the payments going to individuals and families. Here’s the down and dirty from the IRS.

Who is Eligible?

U.S. residents will receive the Economic Impact Payment of $1,200 for individual or head of household filers, and $2,400 for married filing jointly if they are not a dependent of another taxpayer and have a work eligible Social Security number with adjusted gross income up to:

• $75,000 for individuals
• $112,500 for head of household filers and
• $150,000 for married couples filing joint returns

Taxpayers will receive a reduced payment if their AGI is between:

• $75,000 and $99,000 if their filing status was single or married filing separately
• 112,500 and $136,500 for head of household
• $150,000 and $198,000 if their filing status was married filing jointly

The amount of the reduced payment will be based upon the taxpayers specific adjusted gross income.

Eligible retirees and recipients of Social Security, Railroad Retirement, disability or veterans’ benefits as well as taxpayers who do not make enough money to normally have to file a tax return will receive a payment. This also includes those who have no income, as well as those whose income comes entirely from certain benefit programs, such as Supplemental Security Income benefits.

Retirees who receive either Social Security retirement or Railroad Retirement benefits will also receive payments automatically.

Who is Not Eligible?

Taxpayers likely won’t qualify for an Economic Impact Payment if any of the following apply:

• Your adjusted gross income is greater than
  • $99,000 if your filing status was single or married filing separately
  • $136,500 for head of household
  • $198,000 if your filing status was married filing jointly
• You can be claimed as a dependent on someone else’s return. For example, this would include a child, student or older dependent who can be claimed on a parent’s return.
• You do not have a valid Social Security number.
• You are a nonresident alien.
• You filed Form 1040-NR or Form 1040NR-EZ, Form 1040-PR or Form 1040-SS for 2019.

How Much Will I Receive?

Eligible individuals with adjusted gross income up to $75,000 for single filers, $112,500 for head of household filers and $150,000 for married filing jointly are eligible for the full $1,200 for individuals and $2,400 married filing jointly. In addition, they are eligible for an additional $500 per qualifying child.

For filers with income above those amounts, the payment amount is reduced by $5 for each $100 above the $75,000/$112,500/$150,000 thresholds. Single filers with income exceeding $99,000, $136,500 for head of household filers and $198,000 for joint filers with no children are not eligible and will not receive payments.

Do I Need To Take Action?

People who filed a tax return for 2019 or 2018

No additional action is needed by taxpayers who:

• have already filed their tax returns this year for 2019. The IRS will use this information to calculate the payment amount.
• haven’t filed yet for 2019 but filed a 2018 federal tax return. For these taxpayers the IRS will use their information from 2018 tax filings to make the Economic Impact Payment calculations.

People who aren’t typically required to file a tax return

Social Security and Railroad Retirement recipients who are not typically required to file a tax return need to take no action. The IRS will use the information on the Form SSA-1099 and Form RRB-1099 to generate Economic Impact Payments of $1,200 to these individuals even if they did not file tax returns in 2018 or 2019. Recipients will receive these payments as a direct deposit or by paper check, just as they would normally receive their benefits. Social Security Disability Insurance (SSDI) recipients are also part of this group who don’t need to take action.

For Social Security, Railroad retirees and SSDI who have qualifying children, they can take an additional step to receive $500 per qualifying child.

There are other individuals such as low-income workers and certain veterans and individuals with disabilities who aren’t required to file a tax return, but they are still eligible for the Economic Impact Payments. Taxpayers can check the IRS.gov tool – Do I Need to File a Tax Return? – to see if  they have a filing requirement.

If you don’t have to file, use the “Non-Filers: Enter Payment Info Here” application to provide simple information so you can get your payment.

When Will I Receive Payment?

For security reasons, the IRS plans to mail a letter about the economic impact payment to the taxpayer’s last known address within 15 days after the payment is paid. The letter will provide information on how the payment was made and how to report any failure to receive the payment. If a taxpayer is unsure they’re receiving a legitimate letter, the IRS urges taxpayers to visit IRS.gov first to protect against scam artists.

I Own a Small Business. Am I Eligible For More Assistance?

Probably! Check here: Coronavirus Stimulus for Small Businesses

Follow us at Partners Insurance for more updates.

In response to the American economy reeling from the coronavirus (COVID-19) pandemic, the federal government recently signed into law the Coronavirus Aid, Relief and Economic Security Act (CARES Act). You’ll also hear people refer to it as the Coronavirus Stimulus. Among other provisions, the CARES Act provides businesses suffering under the debilitating effects of the pandemic with unprecedented access to emergency loans. This document will serve as an overview of the loan programs available.

How Does the CARES Act (Coronavirus Stimulus) Address Small Business Loans? 

The CARES Act, commonly referred to as the Coronavirus Stimulus, is the largest economic stimulus measure in modern history and promises to provide help for struggling American families and businesses. Specifically, the Act includes the following provisions:

• The Act includes nearly $350 billion for a federal small business loan program called the Paycheck Protection Program. The program is designed to get cash in the hands of suffering small businesses quickly, with less stringent eligibility requirements than the existing U.S. Small Business Association (SBA) loan programs. Paycheck Protection Program loans are designed to incentivize business owners to keep employees on payroll.
• In addition to businesses already eligible for SBA programs, most businesses with 500 or fewer employees are now eligible for disaster loans of up to $2 million for working capital. Those businesses will also be eligible for an emergency cash advance of $10,000 within days of making the application, which is not repayable even if their loan application is denied.

Overview of CARES Act Small Business Loan Provisions

As noted above, the CARES Act provides two main avenues for obtaining a business loan:

1. Through the Paycheck Protection Program
2. Through the SBA as a disaster loan

Below you will find an overview of the eligibility requirements, key loan terms, and how to apply for each program.

Paycheck Protection Program Loans

The CARES Act allocated $350 billion to help small businesses keep workers employed amid the pandemic and economic downturn. Included in the CARES Act was the Paycheck Protection Program, which provides 100% federally guaranteed loans to small businesses, through Jun. 30, 2020. Importantly, these loans may be forgiven if borrowers maintain their payrolls during the crisis. Though information on the program continues to be rolled out, the following is an overview of information available now:

Eligibility

You are eligible for a loan under this program if you are:

• A small business that was in operation on Feb. 15, 2020, with fewer than 500 employees (The 500-employee threshold includes all employees: full-time, part-time and any other status.)
• A small business that otherwise meets the SBA’s size standard
• A 501(c)(3) with fewer than 500 employees
• An individual who operates as a sole proprietor
• An individual who operates as an independent contractor
• An individual who is self-employed and who regularly carries on any trade or business
• A tribal business concern that meets the SBA size standard
• A 501(c)(19) Veterans Organization that meets the SBA size standard

Terms of the Loan

The terms of a Paycheck Protection Program loan are as follows:

• The amount of a Paycheck Protection Program loan available to each borrower is 2.5 times the borrower’s average monthly payroll costs, not to exceed $10 million.
• Paycheck Protection Program loans require no collateral, have a maximum 10-year term, and an interest rate of no more than 4%.
• The loans are available to eligible companies to be used for the following costs incurred from Feb. 15, 2020 through Jun. 30, 2020: payroll (including salary, wage, parental, family, medical or sick leave, and more); health care benefits and related insurance premiums; employee compensation; mortgage interest obligations; and rent and utilities.
• A borrower of a Paycheck Protection Program loan is eligible for loan forgiveness equal to the amount spent during the eight-week period after the date of the original loan for rent on a leasing agreement, payroll costs (including wages for USA employees capped at $100,000 per employee), mortgage interest and utilities. The amount forgiven may be reduced if the borrower reduces the number of employees, or salaries and wages of employees. Borrowers must apply through their lender for forgiveness on the loan.

How to Apply for a Paycheck Protection Program Loan

The application has been posted on the Treasury Department’s CARES Act resource page. The SBA has a network of 1,800 approved lenders that process small business loans. If you are interested in a Paycheck Protection Program loan, you should first contact your bank to see if it is an SBA-approved lender. If your bank is not an SBA-approved lender, you can contact the SBA to find one.

SBA Economic Injury Disaster Loans

Another option for small businesses is the SBA’s existing Economic Injury Disaster Loan (EIDL) Program, which was expanded by the CARES Act and provides for longer-term loans with favorable borrowing terms. Companies in all 50 states, District of Columbia, and some U.S. territories are typically eligible for EDIL loans relating to economic injury caused by the COVID-19 pandemic, and will be available until Dec. 31, 2020.

Eligibility

The CARES Act expanded EIDL loan eligibility for the period between Jan. 31, 2020, and Dec.

31, 2020, to include:

• Businesses with 500 or fewer employees
• Sole proprietorships and independent contractors with or without employees
• Private nonprofits and cooperatives
• Tribal small business concerns and ESOPs with 500 or fewer employees

If your business meets the aforementioned requirements and your revenues have suffered substantial economic injury from COVID-19, your business is eligible no matter your line of business.

Terms of the Loan

The terms of an EIDL loan are outlined below:

• The amount of an EIDL loan available to each borrower is the business’s actual economic injury as determined by the SBA, not to exceed $2 million.
• EIDL loans under the CARES Act do not require personal guarantees for loans up to $200,000, but the SBA will take a collateral interest in your business’s assets to the extent available.
• The interest rate on EIDL loans is 3.75% fixed for small businesses and 2.75% for nonprofits. EIDL loans have up to a 30-year term. Specific terms will be determined on a case-by-case basis, based upon each borrower’s ability to repay the loan.
• EIDL loans may be used for payroll, debts and to pay obligations that cannot be met due to the pandemic.
• Your business may be approved for an EIDL loan based on credit score alone, without being required to submit tax returns.

The CARES Act also permits applicants to request an advance of up to $10,000 which may be used to keep employees on payroll, to pay for sick leave, meet increased production costs, or pay business obligations. If you apply, the advance should be paid to your business within three days. This advance, available backdated from Jan.31, 2020 to Dec. 31, 2020, is not required to be repaid even if your application is denied. To access this advance, borrowers must first apply for an EIDL and then request the advance.

How to Apply for an SBA Economic Injury Disaster Loan

EIDL loans are available directly from the SBA. They have introduced a streamlined application process, which you can access here. Additionally, SBA resource partners are available to help guide you through the EIDL application process. You can find the nearest Small Business Development Center (SBDC), Women’s Business Center, or SCORE mentorship chapter here.

What’s next?

It is clear that both Paycheck Protection Program loans and SBA EIDL loans provide very favorable terms to prospective borrowers. Eligible small businesses who have been economically impacted by the COVID-19 pandemic would be wise to consider taking advantage of such Coronavirus Stimulus programs.

Businesses interested in the Paycheck Protection Program loans should consult with their banker(s). In the meantime, those also interested in the EIDL loans should evaluate with its advisors whether they are eligible. If so, businesses can consider gathering all relevant company documents and financial information that borrowers would ordinarily expect a lender to want to review (e.g., payroll information).

As the pandemic develops and the CARES Act provisions are rolled out, look for more relevant guidance from Partners Insurance, Inc. on the Coronavirus stimulus for small businesses.