KEN KIRSCHENBAUM, ESQ ALARM - SECURITY INDUSTRY LEGAL EMAIL NEWSLETTER / THE ALARM EXCHANGE You can read all of our articles on our website. Having trouble getting our emails? Change your spam controls and whitelist ken@kirschenbaumesq.com ****************************** subscriber without insurance May 25, 2026 *********************** subscriber without insurance *********************** Ken, Frankly, Ken, I don’t know how you ‘do it’ day-in and day-out trying to maneuver this legal minefield – for some reason, people still want to put us in the shoes of the insurance industry. I commend you with your ‘koich’ and fortitude! Joe Story: Mark’s Jewelry about late 1980’s, one of the 2-owners came up to me and asked ‘how good is the alarm you installed for us’ (they had been ‘hit’ and lost about $750K in diamonds and insurance company and now wanted a UL System). My response to him: I’ve installed the BEST system I can with Line Security and full motion detection. He then said: GOOD, THE INSURANCE IS TOO EXPENSIVE AND WE ARE CANCELLING THE POLICY TO SAVE $$$$. My response to him: Brad – the minute I realize the insurance is cancelled, I will present YOU with a CANCELLATION OF ALARM SERVICE NOTIFICATION!!! JADE ALARM IS NOT YOUR INSURANCE COMPANY! Ken, you can’t make this stuff up Joe Jade Alarm ************************ Response ************************ This reminds me of a story I often repeat when negotiating the contracts [which I do several times a day for Concierge Clients mostly]. A NJ jewelry store was suing the alarm company for a large loss. There was an alarm contract [don't know the version or vintage] and during the store owner's testimony the judge asked what about the insurance on the inventory. The response was that insurance was canceled as too expensive and the alarm system for $50 a month a lot cheaper. Case was promptly dismissed. Now I'm wondering if this is an old wives tale floating around the industry for decades. It makes the point however. Just today I told a customer that the alarm company wasn't an insurer, that the company did carry insurance but it wasn't for the subscriber's benefit and the subscriber could not be on that policy. I know that plenty of you get stuck going a different way, adding the subscriber as an additional insured and agreeing to all kinds of other things to expose you, but who's complaining, it helps keep me busy. Discussing insurance with the customer should be a short conversation. There was no reason to threaten the subscriber with termination of the alarm contract; the subscriber is entitled to self insure and assume the risks. The Standard Form Agreement does require that the subscriber have sufficient insurance to cover a loss which the alarm is intended to reduce the risk of loss, and that provision would have to be stricken or modified, in which event the Disclaimer Notice would be the perfect document to have the subscriber acknowledge that you warned him to carry insurance because you weren't going to be responsible for any loss. *********************** STANDARD FORMS Alarm / Security / Fire and related Agreements. click here: www.alarmcontracts.com *************************** CONCIERGE LAWYER SERVICE PROGRAM FOR THE ALARM INDUSTRY - You can check out the program and sign up here: https://www.kirschenbaumesq.com/page/concierge or contact our Program Coordinator Stacy Spector, Esq at 516 747 6700 x 304. *********************** ALARM ARTICLES: You can always read our Articles on our website at ww.kirschenbaumesq.com/page/alarm-articles updated daily ******************** THE ALARM EXCHANGE - the alarm industries leading classified and business exchange - updated daily ************************* Wondering how much your alarm company is worth? Click here: https://www.kirschenbaumesq.com/page/what-is-my-alarm-company-worth ****************************** Getting on our Email List / Email Articles archived: Many of you are forwarding these emails to friends or asking that others be added to the list. Sign up for our daily newsletter here: Sign Up. You can read articles and order alarm contracts on our web site www.alarmcontracts.com ************************** Ken Kirschenbaum,Esq Kirschenbaum & Kirschenbaum PC Attorneys at Law 200 Garden City Plaza Garden City, NY 11530 516 747 6700 x 301 ken@kirschenbaumesq.com www.KirschenbaumEsq.com
