A Very Merry Mishap

To ensure that your family is properly protected this Holiday Season, call us at (317) 886-0081 or (317) 420-2867. You can also visit us online at: Lynch Insurance Agency

“observe the last Thursday of November next, as a day of Thanksgiving”

Washington, D.C.
October 3, 1863

By the President of the United States of America.

A Proclamation.

The year that is drawing towards its close, has been filled with the blessings of fruitful fields and healthful skies. To these bounties, which are so constantly enjoyed that we are prone to forget the source from which they come, others have been added, which are of so extraordinary a nature, that they cannot fail to penetrate and soften even the heart which is habitually insensible to the ever watchful providence of Almighty God. In the midst of a civil war of unequalled magnitude and severity, which has sometimes seemed to foreign States to invite and to provoke their aggression, peace has been preserved with all nations, order has been maintained, the laws have been respected and obeyed, and harmony has prevailed everywhere except in the theatre of military conflict; while that theatre has been greatly contracted by the advancing armies and navies of the Union. Needful diversions of wealth and of strength from the fields of peaceful industry to the national defence, have not arrested the plough, the shuttle or the ship; the axe has enlarged the borders of our settlements, and the mines, as well of iron and coal as of the precious metals, have yielded even more abundantly than heretofore. Population has steadily increased, notwithstanding the waste that has been made in the camp, the siege and the battle-field; and the country, rejoicing in the consciousness of augmented strength and vigor, is permitted to expect continuance of years with large increase of freedom. No human counsel hath devised nor hath any mortal hand worked out these great things. They are the gracious gifts of the Most High God, who, while dealing with us in anger for our sins, hath nevertheless remembered mercy. It has seemed to me fit and proper that they should be solemnly, reverently and gratefully acknowledged as with one heart and one voice by the whole American People. I do therefore invite my fellow citizens in every part of the United States, and also those who are at sea and those who are sojourning in foreign lands, to set apart and observe the last Thursday of November next, as a day of Thanksgiving and Praise to our beneficent Father who dwelleth in the Heavens. And I recommend to them that while offering up the ascriptions justly due to Him for such singular deliverances and blessings, they do also, with humble penitence for our national perverseness and disobedience, commend to His tender care all those who have become widows, orphans, mourners or sufferers in the lamentable civil strife in which we are unavoidably engaged, and fervently implore the interposition of the Almighty Hand to heal the wounds of the nation and to restore it as soon as may be consistent with the Divine purposes to the full enjoyment of peace, harmony, tranquillity and Union.

In testimony whereof, I have hereunto set my hand and caused the Seal of the United States to be affixed.

Done at the City of Washington, this Third day of October, in the year of our Lord one thousand eight hundred and sixty-three, and of the Independence of the United States the Eighty-eighth.

By the President: Abraham Lincoln

William H. Seward,
Secretary of State

How to Organize a ‘Trunk-or-Treat’ Event

by Jennifer Sonntag on 

There’s a new way to trick-or-treat that’s been gaining momentum in communities over the past few years. It’s called Trunk-or-Treat. Specific organizations or businesses partner with one another to offer a less-spooky alternative to the typical nighttime trick-or-treating Halloween event. It’s great for younger children and offers a shorter, friendlier Halloween experience.

All you need is a large parking lot, participating vehicles decorated for Halloween, and attendees to enjoy the fun. Here are some tips to help you plan a trunk or treat event:

  1. Location: The parking lot should be a decent size (a school parking lot or business parking lot is great). The location will also determine how many participants you can invite to the event. For example, if it’s at a school, will it be just for the school or can other community members and children attend? You’ll want to have enough room.
  2. Date: While it’s an alternative to Halloween trick-or-treating, it’s recommended that you stay away from the actual Halloween holiday. Typically the weekend before Halloween is a good idea or a different day leading up to the holiday will work. Check to see when your community plans to hold trick-or-treating and try to schedule your event a different day.
  3. Cost: Will you charge participants a fee to enjoy the Trunk-or-Treat? Or will the event serve as a fundraiser with donations going to a specific organization or cause?
  4. Find your trunks: If you’re hosting the event at a school, see if the PTO or teachers want to participate. Or, recruit local businesses to participate. Just make sure you allow trunk participants enough time to come up with an idea, decorate their trunk and purchase candy or treats to pass out.
  5. Safety First: On the day of the event, make sure trunk participants arrive at least an hour prior to the event start time. Have them set up, decorate their trunk and get ready for the children. If possible, it’s also a good idea to make sure families can park in a separate area away from the kids walking through the event space.

Think you’re ready to take on a trunk-or-treat event? Hopefully this list of tips will help you get started. And for other ways to make sure your Halloween is as safe as it is happy, check out these tips from Eriesense blog:

Halloween Safety Checklist
4 Lesser-Known Halloween Safety Tips
How to Prepare Your House for Trick or Treaters

Original Article

Zombies and Insurance – An Unlikely Duo

 

With all the buzz around the new season of AMC’s The Walking Dead, what if a literal zombie apocalypse happened tomorrow? While it’s highly unlikely that zombies will really take over, it’s good to know that insurance is there to protect you when things go wrong, like a telephone pole falling on your house or your TV getting fried by an electrical surge.

Zombie and Insurance Video

Learn more about the ways ERIE can cover you and contact an ERIE agent today.

*Terms, exclusions and conditions apply. Deductibles may apply.  See your policy for details or talk to your ERIE Agent.

5 ways to defend your family business against fraud

SEP 20, 2017 | BY BILL KOWALSKI Original Article

Trust and loyalty are desirable traits in family structures and in business; however, these traits can also leave a family business vulnerable.

In fact, family businesses are especially vulnerable to fraud, according to the Association of Certified Fraud Examiners’ (ACFE) 2016 Global Fraud Study. The study found that businesses with fewer than 100 employees, which are in many cases family-owned, experience fraud at a rate of 28.8%, compared to the 19.8% experienced by those with more than 10,000 employees.

In a family business, trust and security often have an inverse relationship, meaning as trust increases in a business, the quality of internal controls and security is minimized. Business relationships — particularly among family members — can become strained when individuals believe they are owed more money or authority than they receive.

Personal financial pressure and emotional stress outside the business can also create tension within an organization. In worst-case scenarios, family members know there is little risk of exposure, and the perceived benefits of financial fraud outweigh these risks.

When family members are suspected of fraud within the business, they may not be held accountable due to the dynamic of family relationships. Family members are often more hesitant to report relatives to authorities, seeking to save the family member from jail time or the embarrassment that ensues.

Of course, smaller companies suffer more when fraudulent activity occurs. It’s more difficult to control the damage in a $5 million company than in a $250 million company. Misappropriated money often makes a greater impact, and the damage is experienced throughout the entire organization, affecting company culture. While a perpetrator in a large organization may be viewed as a singular “bad egg,” one in a small family business can be viewed as an institutional problem, or part of ongoing corruption to other employees.

According to the study, the median fraudulent loss of $150,000 suffered by small organizations was the same as the fraudulent loss experienced by large organizations. However, in a smaller company, that loss represents a significantly larger percentage of the company’s overall value. The number demonstrates the enhanced responsibility and trust often granted to individuals within a smaller company, leading perpetrators to believe they can take more with little risk of exposure.

Establishing effective controls

When personal and professional interests collide, the best approach to maintaining success and prosperity, from both familial and financial perspectives, is to implement and strictly enforce effective internal controls.

Five ways to enforce internal controls include:

1.  Segregate financial duties. Corruption involving check tampering, skimming, payroll and cash larceny schemes are twice as common in small organizations compared to larger organizations. One family member alone should never control the entire business’ finances. A simple solution is to create a three-person system of checks and balances: one person opens the bank statements, one prepares the bank reconciliations, and a third reviews all transactions and canceled checks.

2. Avoid signature stamps for checks. Family businesses, in particular, should consider requiring two signatures for any payment over a certain monetary amount.

3. Establish routine checks of payroll, supplier and vendor lists by multiple people within the company. Seventy-seven percent of occupational fraud is committed by employees working in accounting, operations, sales, executive management, customer service, purchasing or finance. The final payroll list should be reviewed by someone other than the person distributing checks and preparing the payroll. Similarly, the list of vendors should periodically be checked for unrecognized names.

4.  Give more employees an understanding of financial reporting. Even if employees claim to not be “numbers” people, it’s important that all staff are aware of financial reporting and are making an effort to understand the business’ finances. To increase transparency and provide another level of security, outsource your financial reporting and ensure someone is monitoring for fraud.

5. Focus on ensuring clear expectations are established for all employees. Every employee — including family members — should understand protocols in a business from expectations to pay rates and benefits. Clear expectations help avoid a power struggle and will clearly define who is double-checking various aspects of the business.

Trust is not an internal control

When confronting fraud in a family business, family loyalties or dynamics must be set aside. Even in small businesses, the most common way fraud is detected is through anonymous tips. Organizations with fraud hotlines are more likely to detect fraud compared to those without, at a rate of 47.3% compared to just 28.2%.

Appropriate punishments should be considered in advance and decided upon by multiple employees. Then, companies must follow through on those punishments. The ACFE study found that 40.7% of companies choose not to involve law enforcement due to either fear of bad publicity or the desire to remain loyal to the perpetrator. Decision makers should maintain a zero-tolerance policy for uncovered fraudsters, as an effective deterrent against copycats.

Another measure a business can take to mitigate the damaging effects of fraud is to work with their insurance provider to ensure their plan includes coverage and protection from employee dishonesty. Outside investigative fees are difficult to estimate due to the amount of layers that could be in play in any investigation.

A business should explore purchasing an insurance rider to cover costs of fraud investigations and potential legal fees, as well as the cost of financial loss incurred by the fraudulent activity. In any case, fraud prevention is a much more cost-effective safeguard than reactive damage control.

Fraud can happen anywhere

The more you believe it can’t happen in your business, the more susceptible you become to it. Most fraud perpetrators are first-time offenders and are well-standing employees in the company, resulting in greater access to controls and the belief they won’t get caught. Family businesses’ increased susceptibility is an essential reason to defend against fraud with multiple internal controls and external resources.

For more tips and resources on defending your business against fraud, contact your local law enforcement agency or financial adviser.

Bill Kowalski (info@Rehmann.com) is a principal and director of operations for Rehmann Corporate Investigative Services.

For your business insurance needs: Scott Lynch Agency