Insurance Tips articles

Have you ever looked at your credit card statement or bank account and thought…do I really need all this insurance?

Don’t even think about it!!

The proof, from our claims desk over the past few months:

Claim #1: An innocent leak which was initially wrongly “diagnosed” by the insurance company assessor. The result: the family has to move homes for six weeks. The kitchen floor is being completely uprooted and replaced; the cupboards, walls, etc. will all be refitted or re-plastered to make it as good as new. All this is covered under their home-owners policy. Claim paid: 80,000 shekels.

Claim #2: Our client’s son was engaged to be married (Mazel Tov!) The happy parents-in-law bought their new kallah two beautiful pieces of jewelry. They also requested that they be insured, of course. The company agreed, but we had to issue a new policy to cover the kallah’s house, which did not previously have insurance. You guessed it–a week after the purchase, burglars broke into the kallah’s home, where the jewelry was being kept, and stole the pieces. The feelings were terrible, but at least the policy was in place. Claim paid: 20,000 shekels.

Claim #3: Because of a misunderstanding, our client neglected to pay his car license and his compulsory insurance (bituach chova). His son was driving the car and had an accident. Boruch Hashem there were no injuries, but damage was caused to both vehicles.

In this case, since the son had a valid driver’s license, even though the car license and chova weren’t paid, the insurance company paid the damage. (If someone would have been injured, the lack of compulsory insurance/bituach chova would have been critical – so don’t ever try this!) Claim paid: 10,000 shekels.

Claim #4: Believe it or not, this happened to your own insurance agent – Egert and Cohen!

Two weeks ago, we came to our office only to find that we had been attacked by internet pirates. All our thousands of files had been corrupted, and the “pirates” demanded a “ransom” of $500 to unlock them. After hours of consultation with fellow sufferers and internet security experts, we were told to pay up! What followed was a long process of checking that the “clear” files didn’t contain another virus and shouting at our back-up company for not informing us that our automatic daily back-up had itself had a virus and that we had “lost” nearly 3 weeks of data, scanning etc.

Eventually everything came back, and we are counting the cost in terms of time lost. Thankfully, we had a policy to cover this (called cyber insurance). Claim paid: Still in the process.

Claim #5: One of our client’s daughters has a rare condition that might require surgery overseas. The first stage is to fly her to Europe for a consultation with a surgeon. The family bought supplementary medical insurance a few years ago. Claim paid (to date): $4,000 for the initial consultation.

Claim #6: This does not have a happy ending! A group of madrichim on their way to a summer camp in Europe left two laptops and a briefcase with $24,000 (!) in a parked car in Madrid. The windshield was smashed and the car’s contents stolen. They did have baggage insurance, but this obviously excludes the cash. Regarding the laptops, it is also problematic, as anything stolen from a car is only covered for a much lower amount. The result: $750 for the luggage and a further $1,000 that we managed to get ex-gratia (lifnim meshurat hadin). Better than nothing, but not nearly enough.

Moral of the story – insurance gives you the peace of mind to withstand some of the big and small challenges of life–so, pay up… and smile!!

Question: Does your business run on computers, internet, email-of course! Are you kidding?!

Read on:
Third Party Liabilty has long been part and parcel of any business policy.
This covers any damage to person or property of a Third Party.
This type of cover is essentail for any business
However, in the new world there are other dangers lurking.
You come into your office, make a cup of coffee and start up your computer…..  you’ve been hacked!
Instead of a list of your clients, a grinning face stares back with some inane message.

How do you start to get going again, and , even more important, can you cover yourself for any loss of businessor damage to a client or Third party?

Answer: Cyber Cover
Cyber cover obviously relates to all large businesses ( Look at the current headlines: millions of credit card numbers stolen from Leumi Card and similar stories in US businesses)
However, it also applies to small and medium business as well.
 In short, anyone who has information systems that collect, store and process data. This includes a cash register, laptop, tablet and even a smartphone. All of these are connected to information systems and therfore open to Cyber attack.
The data could include:
Details of clients
Suppliers
Other parties connected to your bussiness
This information could even include Teudat Zehut numbers, credit card numbers and other sensitive information.

What does a Cyber policy cover?
1. Theft of Third Party information from your database and it’s use for potentially  harmful or criminal purposes.
2. Insertion of viruses into the information systems/databases of Third parties (e.g.: your clients, suppliers) through an “invasion” of your database, and the resulting damage.
3. Other types of damage – lies, defamation, rumors – any distribution of information that could harm the good name of your suppliers or clients that was spread, unwittingly, by you.
example: we just issued a policy for a furniture business that has a sophisticated computer system. If someone were to hack in, change plans, steal credit card numbers etc.- all this would be covered by the Cyber policy

Question:: What about my cost of cleaning up my system, my time lost, my ruined soft/hardware?
Answer: this is the next stage and within a few months the policy will cover for this as well.

Call us for more details.
Premiums are very reasonable, give it some thought.

Question: Does your business run on computers, internet, email-of course! Are you kidding?! 

Read on:
Third Party Liabilty has long been part and parcel of any business policy.
This covers any damage to person or property of a Third Party.
This type of cover is essentail for any business
However, in the new world there are other dangers lurking.
You come into your office, make a cup of coffee and start up your computer…..  you’ve been hacked!
Instead of a list of your clients, a grinning face stares back with some inane message.

How do you start to get going again, and , even more important, can you cover yourself for any loss of businessor damage to a client or Third party?

Answer: Cyber Cover
Cyber cover obviously relates to all large businesses ( Look at the current headlines: millions of credit card numbers stolen from Leumi Card and similar stories in US businesses)
However, it also applies to small and medium business as well.
 In short, anyone who has information systems that collect, store and process data. This includes a cash register, laptop, tablet and even a smartphone. All of these are connected to information systems and therfore open to Cyber attack.
The data could include:
Details of clients
Suppliers
Other parties connected to your bussiness
This information could even include Teudat Zehut numbers, credit card numbers and other sensitive information.

What does a Cyber policy cover?
1. Theft of Third Party information from your database and it’s use for potentially  harmful or criminal purposes.
2. Insertion of viruses into the information systems/databases of Third parties (e.g.: your clients, suppliers) through an “invasion” of your database, and the resulting damage.
3. Other types of damage – lies, defamation, rumors – any distribution of information that could harm the good name of your suppliers or clients that was spread, unwittingly, by you.
example: we just issued a policy for a furniture business that has a sophisticated computer system. If someone were to hack in, change plans, steal credit card numbers etc.- all this would be covered by the Cyber policy

Question:: What about my cost of cleaning up my system, my time lost, my ruined soft/hardware?
Answer: this is the next stage and within a few months the policy will cover for this as well.

Call us for more details.
Premiums are very reasonable, give it some thought.

It’s that time of year – renewal, spring, new starts and … Pesach cleaning!! In that spirit, we offer you the Egert and Cohen Pesach /Insurance Cleaning manual. 

1. Simplicity – Are you like most people – you have “layers” of insurance policies,? Some from old places of employment, some from pesky tele-marketing salesmen, some from the “Old Country” and even some from Egert and Cohen!

It’s always a good idea to get all the paperwork together and have your agent or financial advisor look over it. [We at Egert and Cohen provide this service for a fee. We will study, advise and give you a written report].

2. Health insurance – This is an area that is full of confusion for most. What does the Kupat Cholim give me (Adif, Sie, Zahav, etc.) and what do the private insurance plans offer? Again, call and check.
[By the way, we at Egert and Cohen are advising all our clients to purchase a basic private health policy, covering operations overseas, transplants and medicine not covered by the Kupah. Cost is reasonable – eg. approx 80 shekels a month for a family of 3.  This fills in the gaps in the Kupot Cholim cover].

3. Mortgage insurance – check with your agent that you have the best deal here for both the life and property cover.

4. Travel insurance – Here I would davka not necessarily go for the cheapest cover! The travel insurance through Kupat Cholim could be the cheapest but if you have a claim, who will deal with it? [At Egert and Cohen we personally deal with all your claims and our prices are good!]

5. Motor Insurance – This is probably the most competitive area of insurance in Israel today. It’s certainly worth comparing prices but at the same time think of the following scenario: It’s a rainy Jerusalem night and your car has broken down. Do you have a insurance agent who will answer (politely!) and help you? It might be worth the extra few hundred shekels.

6. Claims – In the past month alone, we have had 3 clients who “lost” expensive diamond rings, were paid out and then found the rings!. (I’m not sure if it’s to do with Pesach cleaning or not). Please check your own policy’s requirement for expensive rings – usually they have to be worn or in the safe. [Image]

7. Life Insurance – For all those with U.S. policies, please get in writing from your company that you are covered: a) in Israel and b) for active and passive warfare (or take out a slightly more expensive Israeli policy).

We wish all of our friends and clients a Chag Kosher VeSameach.

We offer you our summer insurance check list. 

  1. Travelling overseas?
  • Enjoy!
  • Make sure you have travel insurance (including coverage for the things you might need – maternity, skiing, trip cancellation, etc.). We are travel insurance experts and will personally deal with your claims!
  • Make sure that overseas jewelry cover has been extended + issued or your home contents policy.  Without this there is no cover overseas.
  • Leaving your house empty?  Make sure to turn off water, gas.  If you are leaving for more than 2 months, you must inform your insurance company.

        2. Staying here?

  • Enjoy!
  •  Young drivers using your car? With all your kids home, it is essential that you check that your policy has been extended to cover young/new drivers. (Most insurance companies have relatively cheap options to add on young drivers for short periods of time.)
  • Overseas visitors using your car – is an overseas license valid?

A tourist or temporary resident can drive a private car in Israel for up to a year following arrival.  If however, the person lives in Israel but returns frequently to ??”?, this many also be acceptable (the law states:  “In case of multiple exits and entries from and to Israel, each case will be judged individually” – what that means, go figure!).

In general, if one is living in Israel, even if you haven’t made formal Aliyah, you must transfer your overseas license to an Israeli one.

  • Did you know?  If your kid starts a campfire and causes damage to someone’s new car in the camping ground on the Kinneret (or anywhere in Israel, for that matter) – don’t panic! Your home policy’s Third Party Liability covers you and your family anywhere in Israel (don’t give him any ideas, though!).

The recent earthquake in Napal brought home to all the importance of having a comprehensive travel insurance plan.

The recent earthquake in Nepal brought home to all the importance of having a comprehensive travel insurance plan. Two of the insurance companies that we work with (Harel and Clal) had extensive “search-and-find” teams on the ground within hours of the earthquake.
We had one student insured with whom contact was lost after the first quake. When we checked the policy details, we found to our dismay that the policy had already ended, due to a human error on the part of the parent who took out the policy! We immediately contacted the insurance company, explained the mistake, and she was added on to the list of missing Israelis. Baruch Hashem, the next day she managed to contact her worried parents and soon after that, returned home.

A few lessons to learn:
Never, ever travel overseas without comprehensive travel insurance. For a reasonable amount of money, you cover yourself for up to $1,000,000 with options for pre-existing conditions, maternity, medical evacuation, extreme sport, etc.
Make sure you have an insurance agent that you can call in the middle of the night in case of emergency! (Whereas you can purchase travel insurance through your Kupat Cholim / travel agent – who, but your devoted insurance office (that’s us), will:

• Issue a policy as you board the plane, having completely forgotten in the rush.

• Extend your policy if you need to stay on unexpectedly.

• Issue a policy even if you only realize two weeks into your stay, that you forgot.

• Make sure that your Sabba’s heart condition and your daughter’s maternity is properly covered.

• Deal with your claims personally and professionally when you return.

• Even with the best planning and effort – everything is essentially in G-d’s hands!

Shalom, A question that often comes up with Olim Chadashim, tourists, returning Israelis is: What is the status of a foreign driving license.

A quick quiz
An Oleh can drive for 3 years on his/her foreign license – Y/ N    
As long as you retain your tourist status, you can drive on your foreign license indefinitely – Y/ N
If you’re a returning Israeli and you took out a foreign license just before coming to Israel, you can transfer this to an Israeli license – Y/ N

All answers are NO!

A quick summary
Oleh Chadash, Tourist, Returning Resident, Temporary Resident
Needs an Israeli license? Not immediately
Period of time? Up to 1 year from date of entry to Israel.

Tourist/Student (coming in and out of Israel during the year)
Period of time is unclear in the law, each case to be decided separately. Usually, each new entry to Israel starts the process again.

Transferring a foreign license to an Israeli license
Oleh Chadash – license can be transferred within 3 years of being in Israel, on condition that the foreign license was issued before the Aliyah date.
Temporary Resident, Tourist, Returning Israeli – license can be transferred within a year of arrival in Israel, on condition that it has been valid for at least 6 months.
For all transfers, one needs to take a simplified lesson/test.  Contact a local driving school.
So, all of you driving with valid New York licenses, but not valid Israeli licenses… don’t take the chance!!

Shalom, We present two of our true insurance claims that somehow turned out differently then we or the clients expected.

Our client insured an expensive pair of Tfillin (+/- $4,000) for All Risks cover (i.e. both inside and outside the house). He called us frantically one day to report that the Tfillin were missing from his yeshiva. A week of posted notices, calls to the Yeshiva administration, etc. did not bear fruit. Reluctantly, out client reported the case to the police and we filed a claim. The claims cheque was issued and our client bought a new pair of Tfillin. (This time, however, he kept them at home).
One day, during the silent Amida, our client’s concentration was suddenly broken by a hand coming from behind him and placing – (you guessed it!) his old Tfillin on his shtender!! By the time he turned around, only davening Yeshiva men faced him. Obviously though, these Tfillin no longer belonged to him. He hurried to our office to return them. I in turn took them to the Insurance Company and told the whole strange story.
Results:
A huge Kiddush Hashem.
The manger promptly asked me to offer the “old” Tfillin back to our client at a greatly reduced rate. Our client, when I called him, had just celebrated his first son’s Brit Milah, and was more then happy to buy the Barmitzvah Tefillin a few years early!

Shalom, We present two of our true insurance claims that somehow turned out differently then we or the clients expected.

Our client insured an expensive pair of Tfillin (+/- $4,000) for All Risks cover (i.e. both inside and outside the house). He called us frantically one day to report that the Tfillin were missing from his yeshiva. A week of posted notices, calls to the Yeshiva administration, etc. did not bear fruit. Reluctantly, out client reported the case to the police and we filed a claim. The claims cheque was issued and our client bought a new pair of Tfillin. (This time, however, he kept them at home).
One day, during the silent Amida, our client’s concentration was suddenly broken by a hand coming from behind him and placing – (you guessed it!) his old Tfillin on his shtender!! By the time he turned around, only davening Yeshiva men faced him. Obviously though, these Tfillin no longer belonged to him. He hurried to our office to return them. I in turn took them to the Insurance Company and told the whole strange story.
Results:
A huge Kiddush Hashem.
The manger promptly asked me to offer the “old” Tfillin back to our client at a greatly reduced rate. Our client, when I called him, had just celebrated his first son’s Brit Milah, and was more then happy to buy the Barmitzvah Tefillin a few years early!

Now that the log fire / heater is warming you up, a few words about fire insurance.

What is it?
The definition of fire in most policies is the appearance of sparks or flames. (In other words damage caused by a hot iron would not be covered under standard fire cover). Also included is smoke damage and explosion. Spontaneous combustion is not covered, nor is theft as a result of the fire.
2)    Obviously, if you own your home/apartment you should make sure that you are covered for fire damage for your contents as well as for the actual house/apartment. (This is done either through a private insurance policy or through your mortgage). However for those renting homes, it is extremely important to check your contract and see whether you or the landlord is responsible for this cover.
Other aspects of fire cover are:
-payment for alternative accommodation
-payment of rental (depending on amount of insurance)
3) In our experience, most fires have been caused by unattended Shabbator Channukah candles and by clothing left near electric heaters – so, be warned!

It’s not always that we deal with snow – related claims, so when they occur, they are always interesting.

(The following are all claims that we are currently dealing with).
As a result of a build-up of snow, my pergola and part of my roof collapsed. Am I covered?

Answer: Yes, fully covered if you have structure insurance.

However, if the snow merely seeps through the roof and causes water damage, that is not usually covered. Reason – faulty sealing of the roof or mirpeset is not covered.

A tree from the neighbor’s yard falls on my car and “totals” it. Can I sue his insurance?

Answer: Good question! If the branches were overhanging before the storm struck, there may be a way to claim. If however, the tree was strong and safe but the unusual amount of snow caused it to fall, then your only recourse is to claim against your own insurance.

I live in Efrat – due to the extreme cold, the glass Koltim of our Dud Shemesh burst. Is this covered?

Answer: Yes, this is considered like a “burst pipe” which is covered in the standard policy. Remember, that many people have this covered through their mortgage insurance.