Morning Briefing: Regulator calls for more insurance for rail oil spills

Regulator calls for more insurance for rail oil spills… Guardian introduces permanent life coverage for workers… Office design seen as security risk…

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Regulator calls for more insurance for rail oil spills
Train operators should have enough insurance to cover the costs of cleaning up after oil spills. That’s the view of New York State comptroller Thomas DiNapoli who is calling for stronger safety measures alongside the increased insurance requirements.

The Democrat & Chronicle reports that DiNapoli has looked into the coverage held by the two largest carriers of oil in the state, CSX Corp. and Canadian Pacific.

A filing with the SEC shows that CSX is self-insured for $25 million for non-catastrophic property damage and $50 million for natural disasters. CP’s filings did not have similar insurance detail.

DiNapoli noted that the Quebec derailment and oil spill in 2013 caused $2.7 billion in damages; the railway was insured for only $25 million. He said that he is concerned that the New York State Oil Spill Fund of $40 million would not cover any shortfall left by rail companies, especially if the cost of a disaster put them out of business.

CSX told the Democrat & Chronicle that it believes its insurance is adequate; CP said that it complies with all regulatory requirements on insurance.
 
Guardian introduces permanent life coverage for workers
Guardian Insurance is now offering voluntary permanent life insurance through the workplace, becoming one of only a few insurers to provide it. The new product means that employers can offer employees individual, permanent life insurance protection on a voluntary basis that they can keep even if they change jobs.

“Many employees today either don’t have life insurance or not enough of it. Attaining voluntary permanent life insurance through the workplace allows employees to enhance insurance coverage, lock in pricing, build cash value that can be used for loans or other withdrawals, and keep the coverage even if they change employers,” said Michael Estep, Second Vice President Group Life, Disability, and Supplemental Health Product Development at Guardian.

The policy can be fully paid up by the time the worker reaches 65, meaning no further premiums on retirement.
 
Office design seen as security risk
The move towards open plan offices creates a security risk according to business executives. A poll of chief information officers has found that 86 per cent believe an open layout poses potential threats.

“Open plan layouts can be cost effective for businesses – and can promote communication and collaboration between employees – but the key downside to this is the increased potential for IT security breaches,” said David Jones of recruiters Robert Half, who carried out the poll.

The risk of sensitive information being overheard (37 per cent) or seen (35 per cent) is the greatest risk. This could mean information overheard by an employee, client, visitor, etc. Increased risk of device theft (21 per cent) and document theft (6 per cent) is also highlighted.

“Many companies are introducing additional security measures to help mitigate this risk. Key steps to introduce include developing clear security guidelines and policies, allocating responsibility for security, and ensuring all staff have at least a basic understanding of the organization’s security issues and policies,” Jones said.

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