Water Damage -The leading cause of loss across all commercial structures
November 24, 2021
Destruction of Water Damage -The leading causes of loss across all commercial structures

In June of 2021 the Champlain Towers South, a 12 story, 136 unit condominium complex near Miami collapsed in the middle of the night crushing sleeping residents, killing nearly 100 people in the building and making hundreds more homeless. The investigation into the cause of the collapse was suspected early on and the resounding engineering opinion was of a structural failure due to prolonged and persistent water leaks and years of exposure to corrosive salt to the concrete beams and slabs. The water damage had been noted as early as 1996 when engineering consultants warned the building owners that there was alarming evidence of major structural damage to the concrete slab below the pool deck, and the abundant cracking and crumbling of the columns, beams and walls of the parking garage under the building. Right before the building collapsed a cascade of water in the parking garage was filmed by a passerby.


The price tag of this tragedy to insurers includes claims of property damage, physical damage to the building itself as well as liability from several lawsuits being filed by residents of the condo. The $30,000,000 property policy and the $18,000,000 liability policy will not be adequate to satisfy all parties in this horrible tragedy begging the question, how much insurance is enough?


Although this may seem like an extreme example to use in an insurance scenario, there is good reason to worry. Water intrusion and liquid damage are among the leading causes of loss across all commercial structures, more so than fire, theft, vandalism, and all other insurable perils. According to one major insurance carrier, the leading cause of loss or claims by water damage is accidental discharge. More than half of the claims seen by the carrier were due to general discharge accidents. This may be from a washing machine, hot water heater, a refrigerator, or a dishwasher. The occupancies that tend to have this higher exposure are places such as hotels, condominiums, or other residential buildings with a large number of sinks, toilets, laundry facilities, hot water tanks and HVAC equipment. Other causes of loss by water damage include pipe freezes, sewer and drain backups and sprinkler leakage.


Prevention and action are key to avoiding water intrusion and ensuing liquid damage. Water leaks can go undetected for significant periods of time and can cause damage not visible on the outside. Once released into the building water can cause major issues to physical structures, contents, equipment, and financial loss due to lost rents, unforeseen repairs and even damage to the building owner’s reputation. A practical solution for preventing and reducing loss is to understand the exposure, take proactive measures to avoid the damage and be fully prepared to act in the event of water intrusion to help to drastically reduce the size and number of water damage losses. That means you need a water damage prevention plan that is routinely updated and executed when the need arises.


A good water damage plan is specific to the buildings’ characteristics including size, age, height location and any other unique characteristics such as landscaping or the shape and slope of roofs and eaves.


Here’s how to get started

Conduct a water intrusion vulnerability risk assessment. The three main areas of vulnerability for water intrusion in almost every building are:


1. The building envelope

Includes the roof, walls and floors. You should be checking the siding, foundation, windows, doors, vents, roof eaves, gutters and downspouts for vulnerabilities or poor design


2. Interiors Systems

Piping for interior water, fire sprinklers, wet areas such as bathrooms and laundry rooms, unheated attics, basements, crawlspaces as well as building mechanicals such as the A/C, hot water heater and all appliances.


3. Exterior Exposures

Sloping ground and landscaping, groundwater, irrigation and septic systems.


The Plan

  • Develop a log to track any history of leaks and damage
  • Document all potential sources of water intrusion and entry points
  • Maintain good housekeeping practices such as maintaining heat in all areas with plumbing and insulating pipes
  • Conduct regular inspections of equipment and appliances, and provide all appropriate maintenance
  • Create detailed plans or schematics of liquid piping systems and include the location of all shut off valves
  • Establish a valve shut off protocol and update key personnel regularly
  • Have a cleanup plan in place with the necessary supplies to minimize damage
  • Conduct an annual vulnerability assessment
  • Have trusted repair and remediation 


Be prepared with a cleanup strategy

  • Create a plan of activation of personnel and notification procedures
  • Establish staging areas where teams can meet and organize
  • Begin water mitigation activities              

o  Remove vulnerable materials

o  Remove or protect stocks and goods

o  Remove or protect critical equipment

o  Begin water removal and clean up


Create a water intrusion response kit

  • Flashlights and emergency lanterns
  • Plastic buckets with wet and dry mops
  • Wet and dry vacuums
  • Hoses with any required adaptors
  • Squeegees
  • Pipe wrench
  • Electrical extension cords 


Water damage losses are not always covered under all insurance policies and there are limitations in all policies that do offer coverage for water damage limiting the types of causes and losses that are covered. Furthermore, most policies contain an exclusion for water damage that is defined as a flood. A flood policy must be in place to provide coverage for surface water coming in from the outside and meeting the definition of a flood. Call SimcoHR for more information and ask how you can provide your building with protection from this liquid nuisance. 

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April 1, 2025
April Fools' Day is often the perfect opportunity for some lighthearted fun at the office. Whether it's a harmless prank, a funny email, or a playful desk setup, these moments of levity can help break up the monotony of the workday and bring smiles to your team. However, as many HR professionals know, it’s essential to strike a balance between fun and professionalism. While the intention behind pranks is typically harmless, they can sometimes cross boundaries and lead to uncomfortable situations, or worse, legal risks. Recently, an example came to light where one employee thought it would be funny to place a suggestive image on a coworker's desk. The issue arose when another employee saw the image and was offended, leading to a formal complaint. This scenario highlights the importance of knowing where to draw the line between lighthearted fun and inappropriate behavior. A Fine Line: When Fun Turns into Harassment Even if a prank isn't directly targeted at the offended person, it can still create a hostile work environment, especially if it makes someone uncomfortable. As an employer, it's crucial to ensure that your workplace remains respectful and free from harassment. If a prank results in a complaint, it's essential to follow your company's policies to investigate and address the situation. Proper documentation of your investigation and the actions taken is vital to demonstrate that you've fulfilled your obligations as an employer and to protect the organization in case of any future disputes. Setting Clear Expectations To avoid similar issues in the future, it's a good idea to review and clarify your company's stance on pranks and personal conduct in the workplace. Setting expectations starts with having a clear written policy that outlines what is and isn’t acceptable behavior, especially regarding pranks. Consider creating a set of guidelines that all employees can refer to, and be sure these expectations are communicated effectively to everyone. Here are a few tips to guide you: Establish a Formal Policy: Clearly define the boundaries of acceptable humor in your workplace. The policy should cover both pranks and jokes, specifying that while fun is encouraged, it should not come at the expense of respect, inclusion, or professionalism. Communicate Expectations Clearly: Include these guidelines in your employee handbooks or conduct policies, and ensure they’re reviewed during onboarding. Hold periodic team meetings to remind everyone about the importance of maintaining a respectful environment and reinforcing your stance on pranks. Set the Tone from Leadership: Managers and leaders should set an example when it comes to humor in the workplace. They should demonstrate the type of jokes or pranks that are acceptable and ensure their actions align with company policy. Employees are more likely to follow suit when they see their leaders taking these matters seriously. Encourage Open Communication: Foster a culture where employees feel comfortable speaking up if they feel a joke or prank crosses the line. Providing a safe outlet to discuss concerns without fear of retribution will help create an open, transparent environment where everyone feels heard. Categories of Pranks and Jokes That Cross the Line While there’s no one-size-fits-all approach, there are certain categories of pranks and jokes that should generally be off limits in the workplace . These pranks have the potential to cause harm, create discomfort, or violate company policies. By categorizing these behaviors, you can help employees better understand where to draw the line. Sexual or Gender-Based Humor : Avoid pranks with suggestive content, gestures, or language that can create a hostile work environment or be considered harassment. Discriminatory Jokes : Refrain from jokes targeting someone's race, religion, gender, sexual orientation, or other protected characteristics, as they can be harmful and illegal.  Invasive Pranks : Don’t tamper with personal belongings or invade others' personal space, as this undermines comfort and respect. Work Disruptions : Pranks that interfere with productivity or damage equipment should be avoided, as they can hurt overall efficiency. Aggressive or Harmful Pranks : Any prank that causes physical harm or emotional distress, including pranks involving physical touch or intimidation, is off-limits. Creating a Culture of Respect and Fun The key to managing pranks and other fun activities is to cultivate a workplace culture where employees feel comfortable, respected, and empowered. Rather than banning all pranks, focus on fostering a professional environment where employees understand the line between harmless fun and actions that could potentially harm or offend others. Encourage employees to engage in team-building activities and moments of levity that unite them in a positive and inclusive way, without crossing into territory that could lead to complaints or workplace tensions. As April Fools' Day passes, it’s important to remember that while pranks can provide a bit of comic relief, they should never come at the expense of respect or professionalism. By setting clear boundaries, encouraging open communication, and ensuring all employees understand your policies, you can create a workplace where everyone feels comfortable—whether they're laughing at a harmless joke or focusing on their next big project. Have fun in the workplace—but always ensure that a good laugh never comes at the expense of respect or professionalism!
March 24, 2025
The future of work is changing fast, and HR leaders are taking notice. More than half of companies are planning to switch their HCM platform this year—but not just for any solution. They’re looking for intelligent, scalable, and AI-driven technology that doesn’t just process payroll but actively enhances business operations. The days of rigid, outdated systems are over. Now, businesses need platforms that adapt, automate, and evolve alongside them. At Simco, we’re passionate about delivering the most advanced, transformative solutions to our clients. That’s why we’ve partnered with isolved, a recognized leader in the HCM space, to provide our clients with a powerful, AI-enabled platform that makes workforce management effortless. With a focus on automation, predictive analytics, and employee experience, isolved is changing the game for small and mid-sized businesses—and we’re here to help you make the most of it. Why isolved Stands Out in the HCM Market For the second consecutive year, Nucleus Research has named isolved a leader in its HCM Value Matrix for Small and Medium-Sized Businesses (SMBs). The firm’s analysis highlights isolved’s enterprise-grade functionality, designed specifically for SMBs looking to streamline operations, enhance compliance, and leverage AI to drive efficiency. isolved’s adaptability ensures it evolves alongside customer needs. Whether an organization’s HR function matures or its priorities shift, isolved is uniquely positioned to support its success through continuous innovation. In 2024, the company launched 480+ product enhancements directly driven by direct customer feedback. Nucleus Research’s report also highlights several key updates, including: isolved's Candidate Match Tool , an AI-powered feature that evaluates and ranks candidates, streamlining the hiring process. Enhanced Talent Acquisition Services , including recruitment process outsourcing (RPO), job placement assistance, and comprehensive hiring solutions for quick-service restaurants (QSRs). A Broadened Content Library, now with over 95,000 courses designed for employee training, compliance, and professional development. A Next-Gen Time Clock , featuring advanced facial recognition and remote access for secure and accurate time tracking. The Power of Partnership: Simco + isolved While technology is the foundation, the real value comes from how it’s applied. At Simco, we don’t just provide software—we offer a full-service HCM and advisory solution, ensuring that all aspects of workforce management integrate seamlessly. Our clients benefit from: A Dedicated Client Success Manager – Your go-to resource who oversees your relationship with Simco, ensuring that every service—HCM, HR advisory, benefits, insurance, and retirement—works together without gaps. A Fully Integrated HCM & Advisory Solution – No need to juggle multiple vendors for payroll, HR advisory, employee benefits, commercial insurance, and 401(k)/retirement plans. Simco is your one-stop shop for all workforce solutions. Strategic Guidance & Ongoing Optimization – We help businesses maximize their investment in HCM technology while aligning it with compliance, employee engagement, and long-term growth goals. As businesses evolve, so do their workforce management needs. By combining isolved’s leading-edge technology with Simco’s hands-on service and industry expertise, we help businesses stay ahead of change, improve efficiency, and create better employee experiences. Ready to explore the future of HCM? Contact us today to learn more about how we can transform your workforce operations!
March 3, 2025
Cybercriminals continue to evolve their tactics, making phishing attacks more sophisticated and harder to detect. Every day, countless phishing emails reach inboxes, often with the intent to steal sensitive information or spread malware. Unfortunately, many of these attacks succeed in just a matter of seconds— the median time for users to fall for phishing emails is less than 60 seconds according to the 2024 Verizon Data Breach Investigations Report . With stolen credentials being one of the most popular methods of attack, businesses face increasing risks as these types of cyber threats become more complex and dangerous. How Phishing and Spoofed Domains Work Phishing attacks aim to trick employees into revealing sensitive information, often through: Fraudulent Email Links – These emails appear to be from trusted sources but contain malicious links that install malware or steal login credentials. Look-Alike Domains – Hackers create fake websites that resemble real business portals, altering a single character in the domain (e.g., “micr0soft.com” instead of “microsoft.com”). Credential Theft – Once hackers obtain login credentials, they sell them on the dark web, leading to widespread data breaches. Red Flags: How to Identify a Phishing Email Unusual Sender Addresses – Cybercriminals often spoof email addresses to look like trusted sources. Carefully inspect the sender's domain name for typos, extra characters, or strange formatting. A genuine email from "paypal.com" could be faked as "paypall.com" or "paypal-support.com." Urgent or Threatening Language – Many phishing emails attempt to create a sense of urgency, claiming that an account will be suspended, a payment has failed, or legal action is imminent. If an email pressures you into immediate action, be suspicious. Unexpected Attachments or Links – Hover over hyperlinks before clicking to see the actual URL destination. If the web address looks unfamiliar or mismatched with the sender's identity, do not click. Similarly, attachments that appear out of context—especially ZIP files, PDFs, or Word documents—could contain malware. Requests for Sensitive Information – Legitimate organizations will never ask for passwords, Social Security numbers, or banking details via email. If an email requests confidential information, verify with the company directly using a trusted phone number. Generic Greetings or Poor Grammar – Emails that start with “Dear Customer” instead of your name, or those containing awkward phrasing and misspellings, often indicate phishing attempts. Many cybercriminals operate internationally and use machine translations, leading to unnatural wording. Best Practices to Protect Your Business Train Employees Regularly – Frequent security awareness training helps employees recognize phishing attempts. Past studies by Proofpoint show that companies with ongoing cybersecurity training reduce phishing-related breaches by up to 60%. Implement simulated phishing tests to reinforce learning. Enable Multi-Factor Authentication (MFA) – MFA significantly decreases the chances of an account being compromised, even if login credentials are stolen. Microsoft reports that MFA can block over 99% of automated cyberattacks . Ensure all employees activate MFA for business accounts. Verify Requests Independently – If an email asks for sensitive actions (e.g., wire transfers, login changes, or software downloads), confirm the request through a known and trusted contact method. Never use the phone number or link provided in the email —instead, visit the company's official website or call using a verified number. Monitor and Filter Emails – Implement robust email security tools that automatically flag suspicious messages. Advanced filtering systems, like those offered by Barracuda Networks, can block over 90% of phishing emails before they reach inboxes. Encourage a Report-First Culture – Employees should feel empowered to report suspicious emails even if they are unsure. IT teams can analyze these reports to strengthen cybersecurity measures. Early detection prevents widespread damage. Use a Password Manager – Employees often reuse passwords across multiple accounts, increasing security risks. Encourage the use of password managers like 1Password or LastPass to generate and store complex passwords securely. New Tactic: The Rise of QR Code Phishing ("Quishing") QR code phishing, or "quishing," is a new phishing tactic gaining momentum as attackers exploit the widespread use of QR codes. Unlike traditional phishing, which relies on malicious email links, quishing uses QR codes to redirect users to fake websites designed to steal login credentials. Several factors contribute to quishing's success: Ubiquity : QR codes are now commonly used for payments, tickets, and documents, reducing suspicion when they appear in emails. Minimal Text : Unlike traditional phishing emails, quishing messages often contain little text, making them harder for security systems to flag. Mobile Vulnerability : QR codes are scanned on personal devices, which typically lack the protection of corporate systems. According to Abnormal Security , 90% of quishing attacks involve credential phishing , where users are tricked into entering sensitive data. Another common tactic is using fraudulent MFA alerts, which account for 27% of attacks , while 21% involve fake document-signing requests . Final Thoughts At the end of the day, protecting your company from phishing and cyber threats requires more than just technology—it’s about the people behind it. By fostering a culture of awareness and encouraging open communication, you empower your employees to be the first line of defense. Together, with vigilance and the right tools in place, you can ensure the safety of your sensitive data and build a more secure future for your business.

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