Mid-Valley Claims Association News Network - February, 2015

Mid-Valley Claims Association News Network

February 2015 Volume XXII • Number II

Serving MVCA Since 1994

www.MidValleyClaims.org

February 20th MVCA Luncheon

Demystifying Business Income Claims with Jim McCurley, of RGL Forensic Accountants Join MVCA This Friday

February 20, 2015 For our next luncheon of the new year as we welcome

Jim McCurley RGL Forensic Accountants -see page 5

Mid-Valley Claims Association

2015 Membership Drive Is ON! Join NOW at: www.MidValleyClaims.org

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Mid-Valley Claims Association News Network • February 2015

DOI Reporting Requirements & Red Flags at January MVCA

continued page 7

By Lynna Harrison • Photos by Bryan Harrison

The Mid Valley Claims Association welcomed Beth Ossino and Claudia Cervantes, of Golden Bear Insurance, as their guest speakers to kick-off the new year at the January 16, 2015 Luncheon Meeting. The duo tag-teamed with a particular case review that had signs that screamed fraud all over it.

Claudia explained that, despite a common notion that insurance fraud is a victimless crime, "we are all victims of fraud because we have to pay higher premiums.”

When fraud is suspected, that is sufficient to fill out a complaint form and file with the state. Claims people are not required to prove it.

Beth and Claudia gave out a very comprehensive 27 page overview of their Seminar.

They discussed a case they had that had a large number of "red flags" suggesting a Fraudulent Claim.

The case stemmed from a Fire continued on page 7

Your 2015 Mid-Valley Claims Association Board of Directors 2015 OFFICERS

PRESIDENT

VICE PRESIDENT

SECRETARY

Norman-Spencer Agency, Inc.

Frontier Adjusters

Royalty Restoration Services

(209) 478-1422

(209) 529-3110

Centralcalclaims@aol.com

gbishop613@comcast.net

Staci Moreno

(209) 946-6674 StaciMoreno@Norman-Spencer.com

Sherry Wenograd

Gaye Bishop

2015 BOARD MEMBERS Bob Bishop

Private Investigator

Danielle Dynes Sams & Associates

DeeDee Hintze

Restoration Mgmt Co.

Katie Howard

Sierra Env. Testing & Consulting, Inc.

TREASURER & PAST PRESIDENT Deena Lucero

Frontier Adjusters (209) 603-5006 midvalleyclaims@gmail.com

John Tucker

York Claims Services, Inc.

MVCA Rep to the Claims Conference of Northern California Barbara Hall & DeeDee Hintze

Marvin Wenograd Frontier Adjusters

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Mid-Valley Claims Association News Network • February 2015

Mid-Valley Claims

Association February 2015

Volume XXII • Number II

2 - DOI Reporting & Red Flags at January MVCA

- 2015 MVCA Officers & Board of Directors

3 - Incoming 2015 MVCA President’s Message

4 - 2015 Upcoming MVCA Events 5 - DeMystifying Business Claims at

February 20, 2015 MVCA luncheon

- AssnNewsNetwork Job Connection

6 - MVCAAN Services Directory

2015 Sizing Up To Be Banner Year for MVCA! Incoming Message from 2015 MVCA President Staci Moreno

Happy February. I hope you all had a blessed and safe holiday season. I know 2015 will be a great year for all of us! For those of you I have yet to meet, I’d like to take this opportunity and introduce myself. My name is Staci Moreno I will be your 2015 MVCA President. I have served on the Board for the past four years. I’m currently the claims manager for our Personal Lines Boat/Yacht Department at NormanSpencer Agency Inc., formally known as Western Marine Insurance Services.

For me, being at the helm of the Mid-Valley Claims Association is both a privilege and a great responsibility. I am determined to make the upcoming year the very best year for Mid-Valley Claims Association yet! With our strong, motivated team working together we can surly make our goals a reality.

I would like to thank Beth Ossino and Claudia Cervantes for their great presentation, at our January 2015 luncheon, on DOI Reporting Requirements and Red Flag Indicators. They informed us that you do not need proof of fraud only a suspicision to report it with your states Department of Insurance. Their presentation left us all shaking our heads in amazement. continued on page 7

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MVCA Updates at: www.MidValleyClaims.org

2015

Mid-Valley Claims Association News Network • February 2015 Luncheon meetings are held the THIRD FRIDAY of each month at Papapavlo’s in Stockton, except where indicated.

Upcoming Events

Mark Your Calendar Now:

2015 CCNC Planning Under Way - "Hot August Claims!"

In the long-standing tradition of the CCNC, the 22nd annual event will focus on continuing education for P&C Insurance Claims Professionals.

"We are changing things up just a bit," stated 2015 CCNC President, Jack Corry.

"Our theme, 'Hot August Claims!' is a nod to what has become our own Northern California classic. We plan to dazzle a bit, while providing exceptional continuing eduction accredited tracks for Liability/Casualty and Property Claims professionals."

The main two-day event, Tuesday, August 11th and Wednesday, August 12th promises a wide array of activities both familiar and new.

It's never too early to get attendee registration set-up. Attendee Registration is open at this time.

Exhibit booths for the tradeshow portion of the event are now officially available to returning Exhibitors for first rights.

Very soon we will open the field up to newcomers, as well.

Numerous Sponsorship opportunities are currently available for purchase, with those spoken for last year being held for first rights to returning sponsors for a limited time. www.ClaimsConference.org

Friday, February 20, 2015

Luncheon Meeting Jim McCurley - RGL Forensic Accountants DeMystifying Business Income Claims

Tues-Wed, Aug 11-12, 2015

22nd Annual Claims Conference of Northern California

“Hot August Claims”

Friday, March 20, 2015

www.ClaimsConference.org

Friday, April 17, 2015

Luncheon Meeting

Friday, March 15, 2015

Luncheon Meeting

Luncheon Meeting - speaker tba Luncheon Meeting - speaker tba

Annual Mid-Valley Golf Tournament!

Friday, July 17, 2015

Luncheon Meeting - speaker tba

Friday, September 18, 2015 Friday, October 16, 2015 Friday, November 20, 2015 Luncheon Meeting

Friday, December 18, 2015 Holiday Luncheon party

RON HALL & ASSOCIATES, INC FIRE ANALYSIS AND RESEARCH

(800) 666-0622 Tel(916) 635-3441

WWW.RHA-FIRE.COM • Full Service Fire Investigation • Evidence Storage & Preservation • 7 Day Report Submission • Code Research 11151 Sun Center Drive, Suite A Rancho Cordova, CA 95670

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Mid-Valley Claims Association News Network • February 2015

February 20th MVCA Luncheon

Demystifying Business Income Claims with Jim McCurley, of RGL Forensic Accountants

Join the MVCA in welcoming our next luncheon guest speaker, Mr. Jim McCurley, Director at RGL Forensics in Sacramento at the Feburary 20, 2015 meeting.

Mr. McCurley will be speaking on a subject of Business Income / Extra Expense claims.

His presentation will provide attendees with a basic understanding of what to expect during the adjustment of a Business Income claim primarily in the retail setting. Specifically, we will discuss: • the objective of Business Income insurance.

• The most prevalent policy language for Business Income

& Extra Expense coverage • Supporting documentation that should be obtained.

• Challenges that can arise in establishing the loss amount

including determining the appropriate “period of restoration” • Variations posed by the different ownership structures from

“mom and pop” operations to international name brand franchises.

Mr. McCurley received a BS in Accounting from Rutgers University in New Jersey in 1985. After working at more traditional accounting jobs in the Philadelphia area following graduation, he relocated to California and began his forensic accounting career in San Francisco in 1987.

In the early 1990’s, he moved to Sacramento to continue his career in the industry and raise a family. He has been running the Sacramento office of RGL since 1997 and has provided the local insurance community with a wide range of accounting support in property, liability and insurance defense.

Mr. McCurley was a key member of RGL’s Catastrophe Response Team during the 2005 hurricane season that included hurricanes Katrina, Rita and Wilma.

He currently holds the office of Treasurer of the Sacramento Claims Association, and has been active in the claims community since his arrival in Sacramento.

Outside the office, Mr. McCurley has adjusted to life as an “empty nester” after raising three sons in Fair Oaks. He and his wife, Hillary, will continue to explore California and hope to expand their newly found spare time traveling.

With emphasis on “Discovering and Defining Financial Value”, RGL’s forensic accounting, valuation, and technology experts work with insurance, legal, corporate and public sector professionals to evaluate economic damages and determine financial value. “Our professionals have decades of experience delivering forensic financial services with accuracy, efficiency and integrity,” McCurley states.

Join MVCA This Friday

February 20, 2015 For our next luncheon of the new year as we welcome

Jim McCurley RGL Forensic Accountants

on Business Income/Extra Expense claims at

Pa pa pa v lo’s

Mediterranean Bistro

501 N. Lincoln Center, Stockton

Purchase your monthly lunch, and pay your annual membership dues online, directly, at: www.MidValleyClaims.org Choice of Luncheon Entree Served

Just $22 for paid 2014 Members $28 for Non-Members or No Reservations Or, for payment by cash or check at the door, please make your reservations now with 2014 MVCA Pres./Tres. Deena Lucero: 209-603-5006, or midvalleyclaims@gmail.com

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Mid-Valley Claims Association News Network • February 2015

Mid-Valley Claims AssnNewsNet Services Directory

CONTRACTORS - ASBESTOS/LEAD/MOLD REMEDIATION

AMERICAN TECHNOLOGIES, INC. - Barry Metcalf 8440 Elder Creek Road bmetcalf@amer-tech.com • (916) 388-2440 Sacramento, CA 95828 Fax (916) 388-2445 BELFOR USA - Grant Cody 3132 Dwight Rd Ste 300 (209) 339-4301 • Fax (209) 339-4302 Elk Grove, CA 95758 grant.cody@us.belfor.com JM ENVIRONMENTAL, INC. - John Moore & the JM Team PO Box 2189 www.jmenvironmental.net • (916) 726-0304 Granite Bay, CA 95746-2189 Fax (916) 726-0340 P.W. STEPHENS ENVIRONMENTAL, INC. - Jason Kettlehut 3278 Swetzer Road www.pwstephensinc.com • (916) 212-2962 Loomis, CA 95650 jasonk@pwsei.com

CONTRACTORS - ELECTRICAL

TUCKNOTT ELECTRIC CO. - Robert A. Tucknott 6850 Regional St. Suite 110 tucknottel@aol.com • (925) 931-0800 Dublin, CA 94568 www.Tucknott.com • Fax (925) 931-0817

CONTRACTORS - GENERAL RESTORATION

BELFOR USA - Grant Cody 3132 Dwight Rd Ste 300 (209) 339-4301 • Fax (209) 339-4302 Elk Grove, CA 95758 grant.cody@us.belfor.com K2GC GENERAL CONTRACTOR, INC. - Ken Turnage We treat your home as if it were our own, www.K2GCinc.com • (925)754-5232 and value your time as we do our own.

K2GC@comcast .net

CONTRACTORS-MICROBIAL REMEDIATION

AMERICAN TECHNOLOGIES, INC. - Barry Metcalf 8440 Elder Creek Road bmetcalf@amer-tech.com • (916) 388-2440 Fax (916) 388-2445 Sacramento, CA 95828 BELFOR USA - Grant Cody 3132 Dwight Rd Ste 300 (209) 339-4301 • Fax (209) 339-4302 Elk Grove, CA 95758 grant.cody@us.belfor.com P.W. STEPHENS ENVIRONMENTAL, INC. - Jason Kettlehut 3278 Swetzer Road www.pwstephensinc.com • (916) 212-2962 jasonk@pwsei.com Loomis, CA 95650

ENGINEERS - FORENSIC

PROPERTY RESTORATION-CLOTHING SPECIALIST

FRSTeam by CUSTOM COMMERCIAL - Jim Nicholas 910 Striker Avenue, Suite E (800) 80-SMOKE • (916) 920-0482 Sacramento, CA 95834 Fax (916) 920-0483

PROPERTY RESTORATION/CONTENTS

AMERICAN TECHNOLOGIES, INC. - Barry Metcalf 8440 Elder Creek Road bmetcalf@amer-tech.com • (916) 388-2440 Sacramento, CA 95828 Fax (916) 388-2445 BELFOR USA - Grant Cody 3132 Dwight Rd Ste 300 (209) 339-4301 • Fax (209) 339-4302 Elk Grove, CA 95758 grant.cody@us.belfor.com ROYALTY RESTORATION SERVICES - Kevin Messer/Gaye Bishop 1331 Granite Lane kevin@royaltycleaning.com • (209) 529-3110 Modesto, CA 95351 Fax (209) 529-3187 SERVPRO OF STOCKTON - Jackie Irrgang 2334 Stagecoach Rd., Ste J jackie@servpro9332.com • (209) 477-3090 Stockton, CA 95215 Fax (209) 463-6944

POSITIONS AVAILABLE CLAIMS INDUSTRY PLACEMENTS

Gary E. Mingus, GEM Search Group provides both Temporary, Temp to Hire and Direct Hire placements in the Insurance Industry also, placing Vendors related to the Insurance Industry. Call Gary Mingus 866-9354426 or email to Gary@GEMSearchgroup.com. Serving the Insurance Industry since 1995.

PROPERTY RESTORATION ESTIMATORS/PROJECT MANAGERS

SIERRA ENVIRONMENTAL TESTING & CONSULTING, INC. - Chris Hintz P. O. Box 1563 www.SierraEnviro.com • (209) 366-3684 Woodbridge, CA 95258 Fax (866-612-8294

BELFOR Property Restoration is seeking the best Property Restoration Estimators/Project Managers to join our team. Our Sacramento, Modesto, San Jose, San Francisco and Santa Rosa locations are expanding in both large loss and small loss opportunities. Restoration, Construction, Insurance Program, and Xactimate experiences preferred. We offer stability, world class training, travel, company vehicle, virtually boundless career opportunity, and a full benefit package. Applicant information will be viewed with absolute confidentiality by GM level only E-mail resume to: BELFORSacramentoHR@us.belfor.com

FIRE CAUSE ANALYSIS - Ulises Castellon, CPCU Throughout California, (800) 726-5939 • Fax: (510) 649-3099 Nevada, Arizona, Oregon & N. Dakota inquiry@fcafire.com

Choose from Four (4) Monthly Editions - Three Print + Online Edition: Up to 50 words just $45 (just 50¢/word thereafter)

COMPLERE ENGINEERING GROUP, INC. - Gene Wilkins, P.E. Fire C&O, Property Liability, Thermography, Structural, Combustion Safeguards 4230 Kiernan Av., Suite 210 wilkins@complere.com • (209) 545-8165 Modesto, CA 95356 www.complere.com • Fax (209) 545-8170

ENVIRONMENTAL TESTING & CONSULTING FIRE INVESTIGATORS

OVERSPRAY REMOVAL

NATIONWIDE OVERSPRAY - Eric Gerencser Benicia, California

www.overspray.net • (925) 408-5909 Safe Overspray Removal eric@overspray.net • (800) 345-1269

Submit Your Job Connection ad to:

Run Your Ad Network-Wide for a net rate of just $144/mo.

Next Deadline for submissions is February 27, 2015 call 209-229-8240 or fax FAX# 209-229-8328 info@AssociationNewsNetwork.com

The Mid-Valley Claims Association News Network© is a production of Association News Network, Inc. Published monthly as a free service to the MVCA with a commitment and dedication to the promotion and betterment of this professional organization. The views and comments expressed within the articles herein do not necessarily reflect the views of A.N.N., Inc. or MVCA. We assume no responsibility for any opinions and/or statements offered by contributing authors to the publication. Acceptance of advertising material does not constitute endorsement of the products or services offered. We reserve the right to reject any advertising copy or placement. We encourage industry support of this professional organization - its monthly newsletter publication and web site.

Go to: www.MidValleyClaims.org

Please submit articles for consideration by email, to: Bryan Harrison, Publisher

For Advertising opportunities and information, contact: Lynna Harrison, New Accounts Manager

Bryan@AssociationNewsNetwork.com • 925.708.5569 Lynna@AssociationNewsNetwork.com • 925.785.7021 © 1994-2015, all rights reserved • Association News Network, Inc. • www.AssociationNewsNetwork.com 2455 Naglee Rd. #263 . Tracy, CA 95304 • 209.229.8240 • fax 209.229.8328

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Mid-Valley Claims Association News Network • February 2015

Fraud Claims at Jan MVCA President’s Message continued from page 2

continued from page 3

claim which happened within 13 thirteen days after the Insurance policy was purchased. There were major red flags on the Insurance Application, including: incorrect employer listed on the application; the Wife gave several names; the property deed showed a woman than the insured’s wife, Additionally, the home built in 1925, and had a second story added later with no permits. And they did not have record of previous homeowners’ insurance.

One instance of application fraud was the checked box for animals that stated “No”, when they owned llamas, goats & chickens on the property.

The bottom line is that after three and a half years the case is still pending because, at trial, the insurance agent admitted filling out the application form for the insured. Claim out the window.

A few of the General Insurance Fraud "Red Flags they listed are: Recent increase in coverage; a loss that has occurred shortly after inception date of policy; undisclosed duplicate coverage; insured willing to settle for substantially less than purported value in order to speed claims settlement; extensive history of similar claims; unwillingness by insured to respond to questions or to provide documentation; a history of gambling or alcohol or drug abuse; indications of financial trouble, such as recent law suits or judgments against insured; and/or if/when the insured's lifestyle is clearly inconsistent with their stated income.

In all likelihood, Cervantes and Ossino stated, this case will be written off. Resources to prosecute insurance fraud on highly limited. The key is to find a local District Attorney interested and willing to prosecute.

Even then, the likelihood of winning that battle is dim at best. Still, carriers at least attempt to keep a handle on fraud. Without the effort to combat it, the number of fraudulent claims would likely be skyrocket.

Upcoming luncheons: February 20th - Jim McCurley (Director - RGL Forensics) - Demystifying Business Income Claims March 20th - Mark Berry with Mayall Hurley, Knutsen, Smith & Green - Re-certification of the Fair Claims Practices Acts Regulation MVCA 50th Golf Tournament is just around the corner. Please save the date: “May 1, 2015”. If you are interested in being on the golf committee please contact Staci at (209) 570-9180.

If you have not yet updated your membership for 2015, feel free to pay online through the midvalleyclaims.org website or contact me for an application. Application and dues will also be accepted at the luncheon. Check with Deena at registration.

Looking forward to seeing you on the 20th:)

Staci Moreno Boat & Yacht Claims Manager

StaciMoreno@Norman-Spencer.com

Direct:(800) 633-8606 ext.1380 Fax: (209) 466-0260 Norman-Spencer Agency, Inc. Marine Insurance Services

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2015 Membership Drive Is ON! Join NOW at: www.MidValleyClaims.org

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