Generous and again generous….
Insurance leaders are among the most giving of executives. It’s kind of a culture in the field, from local agents who engine local teams, runs, charities and give support to fire fighters and police, up to the C Suite professionals who send dollars and staff to the good causes that change the world for so many. The New York Times of Sunday March 22 carried a photo on the Society page of American Transit’s Ed McGettigan and a group of volunteers attending and contributing to the Kelly Cares Foundation. Among the individuals the Foundation honored was Steven Mc Donald, the policeman left quadriplegic after a shooting in the 1980s. Thanks for being part of this worthy endeavor, Ed. . . . Bob Benmosche will be remembered as a Titan in the insurance field and on the field of responsible action. He has been widely eulogized and hailed as a patriot and benefactor of the economy. He gave the world a management lesson and restored confidence in the system with his rescue – a rather daring one – of a runaway company that threatened to crash and take people and dollars with it. May he rest in peace. . . . The crackdown on fraud is steady across New York. Workers’ Compensation Fraud Inspector General Catherine Leahy Scott and Rockland County District Attorney Thomas P. Zugibe obtained a guilty plea from a Spring Valley contractor on one felony count of Insurance Fraud in the Third Degree and one felony count of Fraudulent Practices for work he provided on a New York City luxury condominium project. “Unscrupulous contractors who avoid payments into New York’s Workers’ Compensation system undermine the entire system, and place their workers, honest employers and New York State taxpayers at great risk,” said Inspector General Scott. “Contractors who commit this kind of fraud gain an unfair competitive advantage over honest businesses by deflating their overhead in an illegal fashion. My office will continue to find and hold accountable employers who cheat New York State’s Workers’ Compensation system.” She and Zugibe mean business and set a tone for peers. “Employers who scam the system by not providing workers’ compensation not only risk employee safety, but also contribute to higher premium costs, which makes our county and state a less attractive place to conduct, start, or open a business,” said District Attorney Zugibe. “Working on behalf of employers, employees and all New Yorkers, we take fraud seriously and will continue to prosecute it vigorously.” Inspector General Scott said Kujtim “Tim” Kukaj, 45, of Spring Valley, N.Y., and his company, RAR Renovations, Inc. pled guilty to the two felony counts. Sentencing is scheduled for June 23, 2015. Kukaj deployed as many as 25 workers for an American Development Group (ADG) luxury condominium project in New York City between 2009 and 2013, without providing required workers’ compensation coverage for the employees. Furthermore, on three separate occasions Kukaj provided false documentation to ADG, purportedly to certify he had the required coverage. Additionally, Kukaj lied to the Workers’ Compensation Board about the number of employees he had on payroll. ADG was unaware of the lack of workers’ compensation coverage by Kukaj and RAR Renovations, Inc. In fact, the Inspector General’s investigation commenced after ADG received a premium assessment of $47,000 to allow for coverage of the employees – coverage which should have been obtained by Kukaj and RAR Renovations, Inc. As a result of the fraud, two insurance companies, Travelers and The Hartford, experienced losses in the sum of $10,000 and $2,800 respectively. . . . A word of thanks to the many leaders who have been sending their ads to us for the 125th Anniversary issue of the IA.