Parody May Not Always Be a Winnable Defense
As teenager Jimmy Winkelmann discovered, a defense of clear parody may not be enough. He came up with the idea of marketing t-shirts under the name of “The South Butt” as a joke because of his classmate’s preference to wearing “The North Face” apparel. “The South Butt” logo is similar to “The North Face” but turned upside down with two ridges resembling butt cheeks. “The North Face” was not amused and sued for trademark infringement and dilution when Winkelmann tried to obtain federal trademark registration and then offered to sell his business for $1 million. While the terms of the settlement are confidential, “The South Butt” remains in business. Just another example why the proper insurance policy is a necessity in any business.
Many homeowners are shocked to learn that the most common cause of water
damage to their property isn’t due to Mother Nature- it’s from the leaky hose in their kitchen or laundry room. Nearly 75% of Safeco’s home water loss claims each year are caused by appliances, plumbing and plumbing fixtures. For
example, reinforced hoses for washing machines, dishwashers and toilets can,
and often do, present a problem. A washing machine does not have to be in operation to leak or have a hose burst. Many of the most damaging washer related home damage comes from burst hoses. As you can see, it’s very important to inspect both hot and cold water supply hoses for kinks, cracks, blisters or bulging, and to replace them when they show signs of wear.
The typical cost for these claims ranges from $2,800 to $4,000 but occasionally is much more, and even with a covered loss the homeowner is still responsible
for the deductible and the inconvenience of loss of use.
For the above mentioned appliances, consider using hoses that are reinforced with stainless steel braiding or mesh, rather than the rubber or plastic hoses
that come from the manufacturer. They cost only a few dollars more, and are a
small price to pay to eliminate the aggravation and have peace of mind. Hoses,
whether rubber or reinforced, don’t last indefinitely and should be replaced every
few years.
Finally, try to make a habit of shutting off the water to your washer any time you’re not using it, and always shut it off when you are away from home for a
weekend or longer so a hose burst does not continue undetected for days
or weeks. As the old saying goes, “An ounce of Prevention is worth a pound
of cure!”
According to the 10/19/09 issue of National Underwriter, Chubb Group of Insurance Companies topped the Risk Manager Choice Awards for 2009 for individual lines of business. We congratulate Chubb and are proud to be a Managing General Underwriter for them.
Insurance fraud rose during the first quarter of 2009 as reported by the National Insurance Crime Bureau. For that quarter suspicious car fires increased by 27%; suspect slip and fall accidents rose by 77% and potentially bogus workers’ compensation claims increased by 71%.
2008 Catastrophic Losses Third Highest
Munich Reinsurance Co. announced that global natural catastrophe losses made 2008 the third most expensive year on record after 2005 and 1995.
Overall losses in 2008 were $200 billion exceeding the 2005 hurricanes Katrina, Rita and Wilma and the 1995 Kobe earthquake in Japan.
The full report is available at www.munichre.com
Why do I need D&O coverage?
Non-Profit Directors & Officers are legally responsible for the day-to-day decision making of their organizations. Corporate responsibility applies to Non Profits just as it does to For Profit organizations. An organization's Directors & Officers can be held personally liable for any breach of duty.
Who is going to sue me?
Employees, members, volunteers and donors. These are just a few of the parties who may bring suit against a Non Profit Organization. Even if a director or officer has done nothing wrong, lawsuits must still be answered and defense can be costly. Nearly 85% of Non Profits have an annual budget that is less than the average cost to defend a claim closed through litigation.
