Insurance Claim Secrets REVEALED!

Home Appliances Hazards: Ten Tips for Maximum Safety

2010-02-02T11:13:00.003-05:00

These days, we seem to own plenty of home appliances that are supposed to reduce our workloads and make life easier and simpler. But with those work-saving appliances come some hidden risks that could cause losses that cost us our homes, our contents, and our peace of mind.

Here is a list of home appliances and hazards that you can easily prevent:

1. Dishwasher: Has an average life expectancy of 9 years. Make sure the door seals work properly to prevent water leaks. If it won’t drain properly, check the garbage disposal to see if it’s clear. Water leaks from dishwashers regularly cause water damage in kitchens. If the leak is sudden, you’re probably covered. If the leak keeps happening over time, you probably won’t be covered for loss.

2. Clothes washer: Has an average life expectancy of 10 years. Replace the rubber hoses with flexible stainless steel braided hoses to prevent hose bursts and big water claims. If a hose bursts, the water could spray the laundry room until someone finds it, causing a big water loss.

3. Clothes dryer (gas or electric): Has an average life expectancy of 10 years. Lint build-up inside dryers causes nearly 4,000 fires each year. Make sure your dryer hose vents correctly. Replace plastic vent hoses with metal. Clean the lint filter after every dryer load. Disconnect the dryer and hose twice a year and sweep out the lint under and inside the dryer cabinet. You’ll be shocked at how much lint you’ll find.

4. Toaster/toaster oven: Has an average life expectancy of 5 years. All of these little toasters have a trap door so you can clean them out. Crumbs dry out and become very flammable. Clean out the crumbs to prevent a fire.

5. Microwave: Has an average life expectancy of 8 years. Never use metal inside a microwave. It will start a fire. It will also damage or destroy the magnetron that generates the waves.

6. Gas Stove/Oven: Has an average life expectancy of 15 years. Got electronic burner lighters? If you turn on the burner, and it doesn’t light immediately, turn off the burner. Even three seconds of gas...unlit...can explode when lit. Let the gas dissipate for about 30 seconds before trying again. If you have to, dismantle the burner eye and clean it out. Also, make sure you clean up spills inside the oven which can generate smoke and start a fire. You’ve got a lot of open flame with a gas stove. Watch out for sleeves, dish towels and pot holders.

7. Electric stove: Has an average life expectancy of 13 years. Have a burner or oven element that malfunctions or burns out? Replace it right away. Also, make sure you clean up spills inside the oven which can generate smoke and start a fire.

8. Refrigerator/freezer: Has an average life expectancy of 15 years. This appliance regularly has an icemaker, which has a plastic water line that feeds it. These water lines burst frequently, and they will pump water out onto the floor until someone discovers it. Replace the plastic icemaker line with a copper line.

9. Garbage disposal: Has an average life expectancy of 15 years. If it gets blocked, go to the fusebox and turn off the breaker or fuse before trying to clear it. Don’t ever stick your hand down inside a garbage disposal. Replace the rubber drain line with a braided line.

10. Electrical extension cords: Not an appliance, but cause thousands of fires each year. Don’t use a frayed cord. Look at the amperage rating on the cord, and don’t plug in stuff that exceeds the rating. If you have a cord that you can’t find a rating on, throw it away. Don’t place a cord under a rug, carpet or under a piece of furniture. Check ALL of the cords in your home to make sure that there is no furniture leg resting on a cord. Feel cords in use to see if they are warm or hot. If they are, throw them away and get a heavier cord. Using power strips is safer than cords.

I recommend that if any appliance repairs will cost more than half of the price of a new appliance, replace it.

If you will take care to do these simple tips, you will drastically lessen the chances of having a disastrous home fire. But if you do have a home fire, you will need an expert to help you submit your claim. Never allow the insurance adjuster to handle your claim on your behalf. Their job is to minimize your claim. Your job is to collect every penny you are entitled to collect. See the conflict?

Go to www.ClaimSecrets.com for valuable claim strategies that will put thousands in your pockets.

State Farm Reverses Course, Stays In Florida

2010-02-02T11:06:00.002-05:00

The Office of Insurance Regulation of the State of Florida released a statement about State Farm Insurance Company’s intent to leave the State of Florida. Commissioner Kevin McCarthy issued a consent order that ends the pending litigation between State Farm and the Insurance Commissioner’s office concerning State Farm’s plan to leave Florida’ property insurance market. State Farm will now continue writing business in Florida’s residential insurance market, and Citizens Property Insurance dodges a bullet that could have been fatal.

The Florida legislature established Citizens Property Insurance, the high risk pool, in 2002, in response to insurance companies that either went bankrupt, cancelled or pulled out of Florida because of repeated hurricanes. So, Citizens Property Insurance places the Florida taxpayers at risk for residential losses. Since 2002, storm after storm have struck Florida, nearly bankrupting Citizens. And Citizens is only one big storm away from ruin. So, when State Farm, the largest residential property insurer in Florida announced that they were leaving the state, the Insurance Commissioner’s office panicked.

This allowed State Farm to figuratively bend the Commissioner over the couch and have its way with him. Prior to State Farm’s announcement that they were leaving Florida, the company requested a rate increase of over 65% which was denied by the Commissioner. But rather than wave goodbye to Florida’s largest insurer, the Commissioner has granted the smaller...yet generous...rate increase of 14.8%. And, it is allowing State Farm to get rid of 125,000 policies that are arguably the highest risk policies they have on the books.

So, not only does State Farm get a rate increase on all policies, but it gets to keep its most profitable business and shove the riskier business off onto the taxpayers of the State of Florida. And for Citizens, 125,000 risky policies is better than 860,000.

You’ve got to admire that kind of moxy. State Farm, being the largest insurer in Florida, took full advantage of their market position and finally showed the State of Florida who is the boss. The regulators and the Florida legislature had little choice and no options but to give in to State Farm’s demands. The press release issued by the Commissioner’s office was a pitiful attempt to save face and spin the story to look like the Commish’s office was protecting Florida’s property owners.

Don’t you wonder if the terms of the consent order was what State Farm wanted all along?

Insurance Fraud: The Dumb Criminal Chronicles IV

2009-12-09T14:04:00.000-05:00

Insurance Fraud: The Dumb Criminal Chronicles III

2009-12-09T14:02:00.000-05:00

Insurance Fraud: The Dumb Criminal Chronicles II

2009-12-09T14:01:00.000-05:00

One of the greatest challenges insurance companies face is the ferreting out of insurance fraud. Wherever there is a chance that someone can get paid for submitting a fraudulent claim, there are also stupid people who are willing to give it a try.

Here are some recent examples:

1. Fire, Brimstone and the evil Church Music Director

KANSAS CITY,KANSAS: A church music director hatched an elaborate plan to torch the church where he worked.

Carva Lee White of Kansas City, Missouri, planned to convince the pastor to make an insurance claim, collect the money and then help White inflate repair bills and embezzle money from Church Mutual Insurance Company.

White actually set the fires inside the church on Halloween, 2008. The church, Missionary Baptist Church, received over $110,000 for the fire repairs. White is serving a 20-40 year sentence.

2. Conniving Contractor Bribes an Adjuster

SEATTLE,WA: Federal prosecutors filed fraud charges against Donald Chill, a disaster contractor, alleging insurance fraud of over $3.2 million.

Seems Chill bribed an adjuster to submit wildly inflated estimates for damages that Chill collected from Mutual of Enumclaw Insurance.

When challenged on prices, Chill created second estimates from nonexistent contractors and submitted them as “proof.”

The trail has not yet been completed.

3. With friends like this....

GARNER, NC: Kimberly J. Smithson was charged with larceny, breaking and entering, filing a false report and insurance fraud. Smithson stole jewelry worth over $14,000 from the home of a friend whose house she was watching. She also submitted a false claim to Assurant Insurance for electronics that she was paid for. Finally, she was found to have collected on a fire set at her home, which paid her over $9,000 for damages.

She awaits trial.

Insurance fraud is serious business, since claims paid on fraudulent claims cost ALL of us higher premiums. It’s no different than shoplifting at a retailer. Stores simply add the cost of their “shrinkage” to the cost of the goods you and I pay for.

Report any suspected insurance fraud to the police. And know that most of the time, criminals get caught.

Insurance Fraud: The Dumb Criminal Chronicles

2009-12-09T13:55:00.001-05:00

One of the greatest challenges insurance companies face is the ferreting out of insurance fraud. Wherever there is a chance that someone can get paid for submitting a fraudulent claim, there are also stupid people who are willing to give it a try.

Here are some recent examples:

1. Arson (I like this story because of the restaurant’s name.)

JACKSONVILLE BEACH, FL: Two men were arrested and charged with insurance fraud after a 2008 fire at Wakey, Wakey Eggs & Bakey.

The fire was set in the kitchen after the restaurant closed on May 5, 2008, and caused over $200,000 in damages.

One of the owners, Victor H. Jara, was arrested and charged with arson and filing false insurance claims. Matthew Thayer, a contractor, was also arrested on the same charge.

The building’s owners had just evicted the restaurant owners for defaulting on the rent.

2. Dumb Insurance Adjusters...there are a bunch of them.

BALTIMORE, MARYLAND: A Maryland woman pleaded guilty to writing company checks to herself and depositing the money into her own checking accounts while she was an insurance claims adjuster.

Shironda Jones pleaded guilty to one count of felony theft over $500. She was sentenced and ordered to pay back over $16,000 she had stolen from Nationwide Insurance Company between September 2006 and September 2007.

3. Hometown Insurance Fraud...I missed out on all the fun.

KENT COUNTY, MICHIGAN: Grand Rapids, Michigan is known as the Furniture City, and is getting a reputation as a hub for medical research. But now it’s become the Michigan Mecca for insurance fraud.

Three of the top Five insurance fraud cases in Michigan in 2009 were committed in Kent County.

The top case was Dr. Robert Stokes, a dermatologist who bilked Medicare and other health insurers for over $2 million. He is in prison serving a 10-year sentence for double billing and charge for work he did not perform.

Stokes’ Tudor mansion on Reeds Lake, which he tried to sell for $7.7 million, was recently auctioned off by the bank for $1.75 million.

Next case involved James Westra, age 80, who paid a former employee to torch his business so he could collect over $300,000.

Third is Isaac Chandler, of Alpine Township, who was sentenced in Augustto at least six years in prison for selling $40 counterfeit insurance policies to almost 500 people.

Insurance fraud is serious business, since claims paid on fraudulent claims cost ALL of us higher premiums. It’s no different than shoplifting at a retailer. Stores simply add the cost of their “shrinkage” to the cost of the goods you and I pay for.

Report any suspected insurance fraud to the police. And know that most of the time, criminals get caught.

Bribery: Also Known As Lobbying

2009-10-24T12:55:00.001-04:00

The health insurance companies of America are lining up at the doors of Congress to commit legalized bribery like never before. In this time in which Congress and the President are trying to craft some type of health care legislation, insurers want to make certain that their feet are firmly under the table.

America’s Health Insurance Plans, the national association representing nearly 1,300 member companies providing health insurance coverage, reports that it spent $2.4 million just from July through September.

The non-partisan group Center for Responsive Politics reports that some drug companies are also outdoing previous efforts at buying influence. Pfizer has spent $16.3 million lobbying so far in 2009, and Amgen spent $9.2 million so far this year. Those amounts far outpace their 2008 bribes.

So, let’s run a total:

$ 2,400,000
$16,300,000
$ 9,200,000
$27,900,000

That doesn’t count individual companies like US Healthcare, Aetna, Kaiser Permanente, Humana, United Healthcare or any others. That also doesn’t count October and November.

But remember...there are 435 members of Congress and 100 Senators, one president and one vice president who is also president of the Senate. That totals 537 people. Divide the bribery total above by 537 and you see that each elected official could potentially have received $51,955.00 in contributions just from these lobbyists.

Remember also that the bribery is not done. Remember also that the opponents to this health care bill are also lobbying and bribing.

Even the AARP has spent a mind-boggling $15.1 million in lobbying bribes this year, which is less than they spent in the first three quarters of 2008.

Don’t worry about the insurance companies, though. Their profits are secure, and Congress will NEVER leave them out.

Why?

The insurance companies have vast investment portfolios. A big part of their portfolios are government bonds and other government securities. If the insurance companies sold off even 1 or 2 % of their holdings at once, they could cause the bond markets to collapse overnight. Washington knows this and won’t allow it to happen. So, insurers will get pretty much anything they desire.

As the old saying goes...“when money talks, all the bullshi* walks.” Don’t believe ANY headlines that tell you the insurance companies are dithering and worried. They have NO WORRIES.

Best P&C Insurance Companies: How Do You Find The Best?

2009-10-14T15:09:00.002-04:00

In 2008, The Department of Insurance of the State of New York released a report showing the 40 P&C insurance companies that had the most complaints. We did an article about this previously. We showed the ten worst companies, the ones that got the most complaints. But we did not feature the ones that got the least number of complaints in New York, a tough insurance market.

Here is the list of New York’s best P&C insurance companies as determined by the least number of complaints, higher number of complaints as you go down the list:

1. Long Island Insurance
2. Infinity Property & Casualty
3. Interboro Mutual
4. Tri-State Consumer Ins. Group
5. American International Group (AIG)
6. Safeco Insurance Group
7. Countrywide Insurance
8. White Mountains Group, OneBeacon, Esurance, Auto One Ins.
9. State Wide Insurance
10. Hannover RE Group, Clarendon National (no longer writing business)

You may find that some of these companies are only local or regional and that you cannot do business with them where you live. But notice that AIG, Safeco, OneBeacon and Esurance are national companies that got fewer complaints.

It’s not as easy to list a Top Ten Best P&C Insurance companies for America. We would have to contact all 50 state Departments of Insurance and find out which insurers had the least complaints. The National Association of Insurance Commissioners presently does not have any such report. In addition, complaints are not the only criteria that should be used to evaluate an insurance company.

Think about this statement, my friends.

The only thing that truly matters about your insurance is what happens when you submit a claim. It doesn’t matter how good your agent is...or if the company sends you a calendar every year...or buys you dinner. It really doesn’t matter if you pay a low premium or a higher premium. Claims handling is EVERYTHING!! Claims are about KEEPING PROMISES. When the insurance companies don’t keep their promises, the complaints pile up!

Lowest premiums are not the only criterion you should use, either. Shopping for insurance is confusing and complicated. Determining if your quotes are “apples and apples” comparisons takes strict attention to detail.

You may need the help of a dedicated, experienced agent to determine your insurance needs and buy the right policy. Still, my recommendation is to shop widely for your insurance needs. Get quotes from captive agents (who only write for one company) and independent agents (who write for multiple companies).

Getting quotes on the internet makes shopping for insurance very easy these days. But look for an insurance quote service that can give you competitive quotes PLUS strategies on submitting insurance claims that will help you collect thousands of dollars more in your claim settlements.

So, which insurance company should you do business with?

1. Choose a company that has an A+ or A rating from the insurance rating services like A.M. Best.
2. Get multiple insurance quotes at least every two years, then choose the company whose policies give you the most coverage for the least money. Don’t worry about company loyalty. The companies don’t care and neither should you.

If you are one of the unfortunate people who experience a loss of any kind, you'll need to know how to handle your insurance claim so that you maximize your recovery. You will need to know how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement.

Go To: www.InsuranceQuoteHQ.com

You can win the insurance game if you have the right information. So go and win!

Flood Claims: Top Ten Tips On How To File Your Water Damage Insurance Claims

2009-09-21T16:28:00.001-04:00

By Russell D. Longcore

Northern Georgia has been inundated with heavy rains over the last week. This has caused localized flooding, toppling trees and flooded roadways.

What do you do if your automobile or vehicle has been damaged by flood waters? What do you do if your home has sustained flood damage? Now, you’ll begin the cleanup, recovery and repair process. Many of you will be submitting insurance claims for damage to your home, business or vehicle. Let me share a few strategies to help you add hundreds or even thousands more dollars to your claim settlement.

Vehicle Damage Claims

1. Remember that when flood waters damage your vehicle, it will be covered by the “Other Than Collision” or “Comprehensive” coverage, not your Collision coverage. Make sure you know what your OTC deductible is.
2. Take your damaged vehicle to the body shop of YOUR CHOICE, not the choice of the insurance company. It’s YOUR vehicle, not theirs.
3. Insist on Original Equipment Manufacturer (OEM) parts, not cheap aftermarket parts. The insurance company has a legal duty to return you car to its pre-loss condition. Cheap aftermarket parts are not as safe as OEM parts.
4. Perform a very careful inspection and test drive of your vehicle after repairs are completed. If you need to, have a qualified mechanic do the inspection for you. Document any uncompleted repairs, and make sure they get done right then.
5. If your vehicle is a total loss, get written appraisals from dealers of your choice to be sure that the insurance company pays you all that you are entitled to collect. Don’t just accept the first total loss offer from the insurance company...they ALWAYS try to “lowball” you.

Building Damage Claims

1. Mitigate your damages...board up and tarp the home or business if necessary. The costs are covered.
2. Call a restoration contractor, not just a remodeling contractor.
3. Get your chosen contractor to meet with the insurance adjuster and agree on the scope of damages. Don’t just accept an estimate written by the adjuster.
4. If your home is too damaged to live in, your policy may have Additional Living Expense coverage. Carefully document all your expenses over and above your normal expenses while you’re living in a hotel or apartment.
5. If you have heavy damage to your home or business, consider consulting with a Public Adjuster to help you with your claim. They are claims professionals, and can customarily help you maximize your settlement amount.
If you have experienced a property loss, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement.

For more information, go to: www.insurance-claim-secrets.com
© Copyright 2009 Russell D. Longcore. All rights reserved.
Russell Longcore is available for interviews about insurance claim strategies. These strategies will show your audience how to add hundreds or even thousands more dollars to their claim settlements.
Russ is available for interview on short notice by phone at 678-234-2923.

State Farm, Allstate and the McKinsey Report

2009-08-29T11:01:00.001-04:00

CNN anchor Anderson Cooper recently did a two-part series on the business practices of State Farm Mutual Insurance and Allstate Insurance. It was the culmination of an 18-month CNN investigation of low-impact, soft-tissue injury accidents around the country. The series was then broadcast on CNN. The links to the two segments are listed below.

Three major insurance companies joined together and hired the legendary business consulting firm McKinsey and Company. McKinsey, in their customary fashion, looked at the insurance companies’ business practices and made recommendations on how to increase profits in a report entitled “The Three Ds: Delay, Deny and Defend.”

In delaying a claim, insurance companies place significant financial pressure on a policyholder or claimant. That pressure can force a policyholder or claimant to accept a much smaller claim settlement amount.

By denying a claim, insurance companies force policyholders and claimants to seek legal representation. Many personal injury attorneys are reluctant to take on a client for a small loss, since attorneys often work on contingency fee schedules. So, in the absence of good legal representation, policyholders and claimants are once again forced to accept “lowball” settlement amounts from insurers.

In defending a claim, the insurance companies take the position of forcing the policyholder first into the Appraisal process found in most policies. This requires that each party choose a representative, and then the representatives choose and umpire. The agreement of any two of the three chosen constitutes the claim amount. But this will add months to any claim process. The next step for the policyholder or claimant is to file a lawsuit. This will add years to the eventual settlement...if they can find legal representation and pay for it.

Insurance companies have taken this position with the intent of making the legal process so costly for personal injury attorneys that they become even more reluctant to accept new clients for small cases.

So far, the “Delay, Deny and Defend” tactics have been wildly successful for any insurance company that has adopted the tactics. Industry profits have risen considerably over the past few years, despite significant catastrophic events such as Hurricane Katrina.

Here are the links to the CNN reports.

Part One

Part Two

There is also a tremendous book available about this topic, entitled “From Good Hands To Boxing Gloves: The Dark Side of Insurance,” by David Bernardinelli. Here is a link:

From Good Hands to Boxing Gloves: The Dark Side of Insurance

There are some things you can do as a policyholder or claimant to prove your claims. Visit the website at: ClaimSecrets.com for more information.

Verdict on Aftermarket Parts Costs Insurance Company $17 Million

2009-08-29T09:18:00.002-04:00

American Family Mutual Insurance Company was ordered to pay $17 million to settle part of a class action lawsuit over aftermarket parts in Missouri.

A jury in Jackson County, Missouri returned a decision that American Family had wrongly paid automobile damage claims based upon the use of aftermarket replacement parts.

Aftermarket auto parts are not held to the same testing and safety requirements as Original Equipment Manufacturer (OEM) parts. Consequently, they may fit on a car as a replacement part, but the use of an aftermarket part does not constitute repairing the car to the pre-loss condition. Insurers love aftermarket parts because they are considerably cheaper than OEM parts.

The jury verdict affects 315,000 Missouri policyholders who filed claims between May 1990 and December 2004.

Ted Pintar is one of the Plaintiff attorneys. “It (the verdict) sends a clear statement to insurance companies who continue to force inferior aftermarket parts on insureds as part of their claims practices.”

A spokesman for American Family Mutual Insurance Company said that the company would appeal the verdict.

Friends, don’t think for a minute that the insurance companies will just roll over and accept this verdict as a standard for the nation. Every state has its own Department of Insurance, and they will continue to conduct business as usual on a daily basis. So, if you have a car wreck, you must still insist IN WRITING that your vehicle be repaired with OEM parts.

First and foremost, your car will not be as safe as it was before the accident if aftermarket parts are used.

Second, there is the matter of Diminished Value. Every car loses value once it has been in a collision and has to be repaired. A vehicle repaired with OEM parts will lose less value than one repaired with aftermarket parts.

You must fight for your own safety and the value of your car. The insurance company does not care about either.

Fight and WIN!

Event Cancellation Insurance: Protecting Your Big Event

2009-08-08T10:48:00.000-04:00

The event was the COMDEX convention held at the Georgia World Congress Center in Atlanta. COMDEX was the annual global IT convention, featuring the newest computers, electronics and gadgets. This was the biggest convention held in Atlanta each year. 200,000 people would attend the convention over four days.

Two days before the convention opened, a category 3 tornado struck downtown Atlanta. The twister tore off 100,000 square feet of roof from the Convention Center and dumped hundreds of thousands of gallons of rainwater inside. Local news footage showed water cascading down a big stairway like a waterfall.

COMDEX was cancelled. The financial losses for the event planners fairly boggle the mind.*

What if the show can't go on? The consequences — particularly for a corporation staking big bucks on a marketing event or for an association that gains most of its revenue from an annual conference — can be dire. One safety net is event cancellation insurance, which can protect your event investment against catastrophes, strikes, earthquakes and snowstorms.

Event Cancellation Insurance has been around for decades, and has a long history of protecting special events from conventions, to trade shows, to exhibitions, entertainment or sporting events.

An insured may have incurred expenses all year long preparing for an event but can't afford for an unpredictable event to cause its cancellation. Think of the costs for travel, venue deposits, rescheduling costs, as well as other costs including planning.

Often the kinds of problems that can lead to postponement, cancellation or relocation of an event are out of the planner's control. Look to Event Cancellation Insurance for the kind of coverage needed to protect that financial exposure.

Whether planners should invest in cancellation insurance depends upon how important an event is to an association or corporation financially and what kind of risk it is assuming. If your group event is planned for 50 people, you’d probably not buy this policy. But if 500 or 5,000 people were expected to attend, event cancellation insurance could be crucial to your bottom line.

Sometimes, event planners don’t think about event cancellation insurance. They either are unaware that such coverage exists, or mistakenly rely on the insurance of the event venue...like a convention hall. The venue’s insurance will help them rebuild or repair. But it won’t help the event planners find another venue, or compensate them for the costs they incur or income they lose from cancellation.

Coverage and Cost

The rule of thumb is that cancellation insurance covers perils that are beyond the control of a planner, such as inclement weather, strikes, outbreaks of disease and so on. You can also purchase coverage for “Non-Appearance,” in case your event relies on the appearance of a person or group (speaker, performers, player, invited guest). The policy also covers things such as extra expenses for trucks and workers in case an exhibitor doesn’t break down his exhibits. What is not covered are lack of planning, low attendance from a lack of interest or poor marketing, or bankruptcy of the planner.

Coverage begins as soon as the premium is paid and usually extends for five days after the event. Coverage purchased well before an event can be a godsend if something happens to the facility where you’re booked, as the coverage would cover costs of relocation and notifying attendees.

The cost of this coverage is calculated on a policy-by-policy basis. Every event is different and each has unique risk exposures. The standard costs of this coverage run about fifty cents per $100 of coverage. However, variables like location (areas susceptible to hurricane or earthquake) or season (winter is higher than spring, summer or fall) can push the price up towards $1 per $100 of coverage. So, a $1 million policy might cost up to $10,000 or more.

When To Buy

Event cancellation insurance is usually less expensive if purchased far in advance. Insurers increase the premium rate, theorizing that the closer the event is, the more desperate the planner must be for coverage.

We recommend that you get at least two price quotes before making a buying decision. We also recommend that you review a sample copy of any policy before purchase to determine what is covered and what is excluded.

Then, have a super successful event!

*This catastrophe was entirely fictitious.

Contractors Alert: Your Liability Carrier May Start Playing Rough

2009-08-06T14:50:00.000-04:00

If you are a General Contractor (GC), you most assuredly carry Comprehensive General Liability insurance for your business. If you’ve spent any time reading your policy (fat chance), you may remember that the terms and conditions of the policy require you to protect yourself and your insurer.

Specifically, when you hire sub-contractors, you are supposed to require that the “sub” execute a Hold Harmless agreement as part of the contract, in which the sub agrees to protect the general contractor from liability for acts of which the sub is found legally liable. Further, the sub is supposed to name the general contactor as an Additional Named Insured, which provides a legal defense to the GC. At that point, the GC’s policy becomes excess over the sub’s coverage.

I used to be a General Contractor, and I know GCs pretty well. They, being a somewhat independent bunch, frequently do business with subs on little more than a handshake or a phone call. These subs are people they’ve used repeatedly, and a high level of trust is in place. The idea of getting all that contract paperwork executed before the first hammer is lifted or spade turned is just a pain in the backside. So, it regularly gets ignored.

Unfortunately for GCs, the insurance companies have been taking it in the wallet as they have absorbed liability for the GCs when they fail to get that Hold Harmless in place. So, the risk management efforts that the GCs are supposed to do aren’t getting done. And that has the affect of transferring the risk to the insurance companies.

They get to pay when the GC’s contract fails to contain a Hold Harmless Clause.

They get to pay when the GC doesn’t require his subs to maintain their own insurance.

They get to pay when the GC doesn’t get himself listed as an Additional Named Insured on the sub’s policy.

So, the insurance companies have begun to issue policy endorsements that deny coverage when there is a loss due to the sub’s operations and the GC did not get the Hold Harmless Clause into his contract and proof that the sub named the GC as an Additional Insured. The insurers are figuring that the only way to get the attention of the General Contractors is to put some of the GCs’ assets on the table.

On August 4, 2009, the California Court of Appeals issued the ruling in North American Capacity Ins. Co. v. Claremont Liability Insurance Company. The ruling upheld this Contractors Warranty Endorsement, and stated that the insurance company could take an excess position even if the subcontractor had no insurance, simply because it was their duty to have insurance. Therefore, the endorsement and coverage could proceed AS THOUGH the subcontractor had the coverage in place.

To quote the ruling:

“We find the “clear and explicit” meaning of the contractors warranty endorsements, as used in their “ordinary and popular sense” by a layperson establishes a precondition of coverage as to work done by subcontractors for whom (the GC) failed to secure both a written hold harmless agreement and a certificate of insurance. The trial court therefore did not err in finding the contractors warranty endorsement enforceable under the facts of this case.”

Now that the insurance companies have a favorable court decision in their back pockets, you should expect your insurance carrier to play for keeps. A potential liability claim denial will bring a new discipline to the business life of the General Contractor.

“Big Rig” Insurance: What To Look For In A Commercial Truck Insurance Policy

2009-07-18T15:22:00.002-04:00

“Big Rig” insurance is essential for the independent owner/operator. In today’s highly competitive commercial trucking industry, an owner/operator has to be a shrewd businessman, and get the best insurance for the lowest premium.

Are you a person that loves sun-drenched afternoons cruising on mountain roads or along the coastline? Can you close your eyes and see the highway stretch out before you all the way to the horizon?

Your big rig may be your family business. Do you hit the road with your wife as a driving team?

Are you a person who enjoys the freedom of being your own boss as an independent owner/operator? Or are you a leased operator?

Do you own more than just one truck?

No matter what your motivation is for owning and operating a commercial semi truck, you will need commercial truck insurance. But all commercial truck insurance policies are not the same.

Here are some features and coverages you should look for when shopping for commercial truck insurance:

• Only accept an A-rated insurance company so you’ll have peace of mind knowing that your insurance company has the financial strength to take care of you when covered losses occur.
• Comprehensive Coverage - protection for non-collision losses, such as fire, smoke, windstorm, theft, lightning, hail, animals, vandalism, even low branches and overhangs.
• Replacement Cost coverage - on your personal property that is stolen, damaged or destroyed.
• Physical Damage/Collision coverage - when your vehicle runs into something.
• Replacement Cost Coverage on the vehicle, which pays to replace your vehicle with a brand new one of like kind and quality. Most policies only pay the Actual Cash Value for a total loss.
• Liability limits - buy high liability limits, it’s inexpensive coverage. Skimp on other coverages but don’t skimp here. Personal injury attorneys love truck accidents and get big jury awards.
• Attached Accessories Coverage - includes running lights, antennas, chrome, custom wheels, custom paint, satellite dishes, and such. Many insurance policies don’t cover customizing equipment. Make sure yours does.
• Non-Trucking Liability, or“Bob-Tail” coverage - takes care of you when you’re using your rig at times you’re not under dispatch.
• Motor Truck Cargo Legal Liability - covers your load against damage from certain causes.
• Trailer Interchange coverage - if you have a trailer interchange agreement, you need this coverage to protect you while you're in possession of a container or trailer that you don't own.
• A trailer interchange agreement is a contract that arranges to transfer a trailer from one trucker to another in order to complete a shipment.
• Refrigeration Breakdown Endorsement - provides coverage up to a separate limit shown on the schedule for spoilage of perishable stock while the stock is in transit on a vehicle.
• Non-owned trailer - this is third party coverage for a trailer that you are hauling owned by another entity.
• Emergency Expenses Coverage - pays for lodging or travel back home if your unit is damaged or destroyed by a covered loss more than 50 miles from home.
• Towing and Roadside Assistance - first dollar coverage, no out-of-pocket costs for towing, flat tire changes, fuel delivery and locksmith services.
• Occupational Accident Coverage - pays your medical bills for certain covered accidents while you’re working. Crucial coverage if you do not carry health insurance for yourself.

We may need more information from you such as driver and equipment lists, MVR's and loss runs.

Commercial trucking insurers also offer a variety of discounts, such as:

• Multi-Unit
• Multi-Policy
• Safety Course
• Prior Insurance
• Renewal discount for maintaining continuous coverage

You will also find a wide choice of deductibles and payment plans available. Choosing higher deductibles will lower your premiums. Flexible payment plans will help you manage your budget.

By using these strategies, you’ll have the best chance at having fun cruising the roads in your “Big Rig!”

Get your best Big Rig commercial truck insurance quotes at: www.InsuranceQuoteHQ.com

Quotes are always free...you NEVER spend a penny for a quote. And, there is NEVER any obligation to buy.

SPECIAL OFFER: Give us your first name and email address, and we’ll send you TWO FREE SPECIAL REPORTS, each with a value of $9.97.

The first report is “Five Things To Avoid When Buying Car Insurance.”

The second report is “Five Things To Do When Buying Car Insurance.”

Use the strategies in these two reports, and save hundreds of dollars on your car insurance!

Send My Special Reports Today!

National Universal Health Care: Could It Work In The USA?

2009-06-30T15:53:00.001-04:00

The United States is the only nation in the industrialized world without a universal health care system. The oldest universal health care system is in Germany, which had its inception in 1883 under Chancellor Otto von Bismarck.

Let’s lay an important ground rule before we begin. Traditional insurance policies cover unexpected but predictable occurrences. For example, an auto policy covers an unexpected collision. But that policy does not cover maintenance costs which are a normal part of owning a vehicle. Health insurance has become maintenance insurance over the years, paying for everything from regular checkups and tooth cleaning to heart transplants. And, with some group insurance copays at $5 to $20, the concept of deductibles is becoming archaic.

So, in considering a single-payer cradle-to-grave government healthcare system, the old concepts of insurance and risk must be put aside. Single-payer healthcare is NOT INSURANCE in the strictest sense. It is a massive Social Security-type program, into which tax revenues flow and from which health care payments flow out to health care providers.

This article does not advocate a single-payer government-run healthcare system. But it does look at what a single-payer system might look like, and reasons why it will not work.

In December 2008 The McKinsey Global Institute issued an exhaustive 122-page report on health care costs in America, entitled “Accounting for the costs of US healthcare: A new look at why Americans spend more.” The best estimate of American healthcare costs is about $2.1 trillion annually.

Here is a summary list of its findings:

1. Administration costs in the US are much higher than in most countries around the world. This partly due to the privatization of some health care, resulting in profits for shareholders.
2. Pharmaceutical costs: Direct-To-Consumer Advertising encourages use of newer, more expensive drugs, a practice only allowed in the USA. Also, pharmaceutical lobbyists were successful in getting Congress to ban collective bargaining for Medicare Part D, resulting in the highest drug prices in the world. Also, the patent system for new drugs allows drug manufacturers to patent and charge more for non-novel medications.
3. The absence of a universal system that prevents risk-pooling, and the selective underwriting done by insurers. This leaves millions uninsured, and the uninsured avoid treatment until problems are more critical and more expensive.
4. Huge fees of specialist physicians for their procedural skills, rather than primary care that emphasizes preventive health care, early diagnosis and disease management.
5. Defensive medicine: Excess costs and duplication of health procedures in order to protect medical providers from malpractice lawsuits. Lawsuits and jury awards themselves don't cause a large amount of monetary damage, but the tort system creates a culture in which physicians are paranoid and make health care decisions with lawsuits in mind, rather than patient interests first.
6. ICU Care: The costs of care at the end of life are wildly inflated, many times eclipsing the health care costs incurred in an entire lifetime. This is partly due to heroic efforts of lifesaving, pain management, and poor records.
7. Electronic Medical Records (EMR) systems would be of great benefit in managing living wills, advanced care directives and previous treatment records. Without EMRs, doctors regularly order redundant tests and procedures because medical information management is so inefficient.

The McKinsey report doesn’t recommend a universal healthcare single-payer system. It simply tries to provide accurate information to those who will be making policy regarding healthcare in the USA.

Here is what a universal healthcare system might look like. This takes the best characteristics from healthcare systems around the world.

1. Funding through individual taxation for wage earners and self employed persons. Low income persons subsidized. Should tax be based upon age? Should the tax be calculated as a percentage of income, like in the IRS Tax Tables and FICA payments?

2. Medicare, Medicaid, the VA healthcare system and all other Federal healthcare systems would be rolled into the universal system. That would include the healthcare benefits for Federal workers and members of Congress.

3. No individual underwriting. All living persons of US citizenship are covered. Non-citizens with taxable earnings could be taxed and covered.

4. No deductibles. Copay for any doctor visit of $5-$20.

5. Prevention-based health care at the General Practitioner level. Compensation based upon health of the patients. Healthier patients, doctor makes more money.

6. Medical school 100% paid by government in exchange for 10 years service as a Federal employee. This would include additional training in medical specialties. Compensation levels could be set lower since there would be no school debt.

7. FedGov sets minimum standards for care. Insured persons are free to choose their own doctors. Patients can choose specialists without first seeing Primary Care Physician.

8. No insurance company precertifications necessary.

9. System includes mental health, nursing home and hospice care.

10. FedGov sets prices for pharmaceuticals, medical procedures and medical supplies. FedGov sets wages for all medical employees, including administrators, nurses, med techs and doctors.

11. Tort reform. If health care was universal from cradle to grave, torts would be limited since the patient would automatically be eligible for additional medical care required by malpractice, an unintended consequence of treatment or a medical complication. Doctors would still be liable for negligence, but awards would not need to compensate the individual plaintiff/patient for anticipated medical care into the future.

12. Electronic Medical Records, a database of all medical records for each patient, accessible by all medical providers. Would eliminate all duplication. Living wills and advance care directives would be part of every patient file. This has the potential to drastically reduce end-of life invasive care and duplication of procedures.

13. Individual health insurance policies would still be available for those that wanted a higher level of care, and would be excess insurance, like a Personal Umbrella policy.

14. Private medical providers, including doctors and hospitals, would still exist, offering custom care for those willing to pay extra for it.

I know this is a cursory look at universal healthcare. I know I’ve left out important features and benefits. But I’m trying to wrap my mind...and yours...around a concept that I fear is in our immediate future.

The big insurance companies have completely screwed up the health insurance marketplace in the United States. So, if they get left at the dock when this new ship sails, I won’t shed any tears. They get what they deserve.

Now, here is why I don’t think that the system outlined above will work.

1. The Federal Government is broke. They are already running trillion dollar annual deficits. In order to stave off governmental collapse, the Federal Reserve is printing paper money as fast as it can. Eventually, inflation will sink the ship of state. To absorb the healthcare system into the Federal Government which represents about one-seventh of the economy, is a bridge too far.

2. Funding this new healthcare system would require increasing taxes significantly. Insurance premiums would be turned into tax payments. There is presently an IRS business deduction for insurance premiums for corporations. The business lobbyists won’t want to give up this deduction and will fight it.

3. Pharmaceutical companies lobby Congress. They will fight any system that controls drug prices and threatens their profits.

4. Trial Lawyers have a powerful lobby in Congress. They will fight medical malpractice tort reform.

5. Medical providers, the American Medical Association and other medicine-related groups have powerful Congressional lobbyists. They will fight reforms, just like they do now.

6. Insurance companies will be forced out of business if the Federal Government takes over the healthcare system. Insurance companies hold trillions of dollars in US bonds and other municipal securities. They will threaten Congress with the collapse of the bond market if Congress passed a new system that leaves them out. All the insurance companies would have to do to crash the bond market and cause the collapse of the Federal Government is to sell off a small percentage of their bond holdings all at once.

In conclusion, I recommend looking at any Obama Administration proposal for universal healthcare in light of the competing groups in the medical field. Each group must be bought off for their cooperation, and in turn each one will buy off Congress to get what they want. Some things never change.

The single payer healthcare system that emerges from Capitol Hill, the system that will affect the healthcare of each American, should adopt as its logo the duckbilled platypus.

That’s the animal that looks like it was designed by a committee.

Automobile Accidents: Four Tips To Avoid Car Versus 18-Wheeler Accidents

2009-06-28T11:26:00.002-04:00

Automobile accidents between cars and big trucks favor the trucks. It’s just a matter of physics, really. Cars weigh 2-3 tons. Tractor-trailers have a weight limit of 80,000 pounds, which is 40 tons. An 80,000 pound truck, traveling at 55 miles per hour, generates 1 million foot-pounds of forward energy. Getting hit by a moving object that weighs 20 times as much as your vehicle is a recipe for death and destruction.

Here are four tips on avoiding accidents involving your vehicle and “Big Rigs:”

1. When you’re driving near a big rig, make sure that you can see his mirrors. If you can see his mirrors, then you know that he can also see you. Big rigs have enormous blind zones. If your car is in his blind zone, the trucker doesn’t know you are there.

2. Don’t stay next to a big rig while you drive. Either get behind him or move forward of him. Give him the chance to see you, and you’ll lower your chance of getting hit by his vehicle.

3. Trucks need long distances to stop. If you are in traffic, do not merge into the lane directly in front of a big rig unless you are going faster than the trucker. I’ve handled many accidents...some which were fatalities...in which a small car darted into the lane in front of a big rig and then slowed down suddenly. The trucker didn’t have any chance to slow down and avoid striking the vehicle directly in front of him.

4. Turn on your headlights while driving. “Running Lights,” as they are called, increase your visibility. Tests done on cars with running lights by the Society of Automotive Engineers showed a 38% reduction in collisions. Test results by Avis Rent-a-Car showed a 64% reduction in car damages, and a 69% decrease in repair costs for cars using running lights.

If you’ll follow these four tips, you’ll drastically lower the chance that you will have a traffic accident involving a big rig.

Drive Defensively! Watch out for the other guy!

Now, I'd like to offer you two special reports at no cost. One is "5 Things To Do When Shopping For Car Insurance," and the other is "5 Things To Avoid When Shopping For Car Insurance." Each one is a $9.95 value, but free to you when you sign up for my newsletter at the website address below.

P.S. WARNING!! Do Not Buy Insurance, or Submit an
Insurance Claim Without Visiting This Website!

check out: Get Special Reports

Get Insurance Quotes and Claim Strategies at: InsuranceQuoteHQ.com

New book, "Commercial Insurance Claim Secrets REVEALED!" coming soon!

Slip And Fall Accidents: What Should You Do When You Slip And Fall?

2009-06-26T14:03:00.001-04:00

Slip and fall accidents happen much more often that you might think. Today’s article will deal with what happens to individuals when they slip and fall, and what you should do if you are a victim.

Slip and fall accidents usually involve premises liability. A person can slip and fall anywhere...home, business, church, playground, sports facility...anywhere. What happens AFTER the fall is where the problems come up.

The injuries that come from falling can range from a sore backside to severe lacerations, broken bones, internal injuries and even death.

In a slip and fall insurance claim, the burden is on the injured party to prove that the premises owner knew there was a hazard and did not remedy that hazard, which contributed in some way to the injury. Simply the act of slipping and falling does not automatically constitute negligence on the part of the property owner.

Accident Avoidance

The first and most obvious statement is to make sure you are aware of your surroundings. Be sure of where you are stepping, and the condition of that surface. If the surface is wet, you must move with caution. If the surface has other debris on it, move with caution.

Watch what you are doing while you’re walking. If you are distracted by some other activity, you are not looking where your feet are going.

If you see an obvious hazard in your path, attempt to go around it.

Do not wear shoes that have slippery or smooth soles.

Slip and Fall Injuries

One of the businesses that can actually be dangerous to visit is the grocery store.

Grocery stores invite the public to walk around in their stores. However, because of the thousands of products they stock, there are hazards everywhere. Bottles and jars get dropped and contents spill onto the floor. Produce gets dropped onto the floors. Refrigeration units leak water onto the floors. Roofs leak and make puddles. And there can be hazards lying around on the parking lots. So, they have high incidences of premises liability claims.

I have investigated hundreds of slip and fall claims in my career as a claims adjuster. So, based on that experience, here are my recommendations for proving a slip and fall claim:

1. After you fall, examine yourself to see if you are injured. If you already know you’re injured, notify the owner or manager of the property where you fell. You may not be able to complete and submit an injury report at that time, but you will have placed the property owner on notice that an injury occurred.

2. Try to determine what caused your slip and fall.

3. If there is a witness to your fall, get that person’s contact information right away.

4. If you need to, seek medical treatment. Don’t be in a hurry to reject medical treatment. I’ve seen many incidents in which a person fell one day, and did not begin feeling pain until 1-3 days later.

5. Seek the advice of a personal injury attorney. If you do not, you may inadvertently give away your rights of financial recovery through your cooperation with the property owner’s insurance company.

6. Notify the property owner IN WRITING, CERTIFED MAIL, of your intention to file a claim. Note that I placed this action AFTER seeking legal counsel.

7. Notify your own insurance company, such as your homeowners or business owner’s carrier, about your loss. Failure to notify them might violate your policy terms, and make you ineligible for legal defense.

8. Don’t sign ANYTHING that the property owner’s insurance company gives you without having an attorney review it first.

9. Don’t give the adjuster a recorded statement unless your attorney is present, or at least involved on a three-way phone conversation.

10. Then, work with your medical provider, your personal injury attorney or a claims consultant to settle your claim.

All premises injury claims are not due to the negligence of the property owner. But, if you’ll follow these ten tips, you have a better chance of proving your claim.

Now, I'd like to offer you two special reports at no cost. One is "5 Things To Do When Shopping For Car Insurance," and the other is "5 Things To Avoid When Shopping For Car Insurance." Each one is a $9.95 value, but free to you when you sign up for my newsletter at the website address below.

P.S. WARNING!! Do Not Buy Insurance, or Submit an
Insurance Claim Without Visiting This Website!

check out: Get Special Reports

Get Insurance Quotes and Claim Strategies at: InsuranceQuoteHQ.com

New book, "Commercial Insurance Claim Secrets REVEALED!" coming soon!

Summer Parties: How To Avoid Lawsuits

2009-06-23T14:24:00.000-04:00

Summer Parties, Graduation Parties, Pool Parties, Cookouts, July 4th bashes, and Labor Day Parties are all good reasons to gather friends and families at your home and have fun. But behind the fun lurks the possibility of guest injuries that could ruin the party and ruin your finances.

So, here are some tips for making sure you are ready for the arrival of the guests.

• Read your homeowners, renters or condominium owners policy many days before the party. Discuss your liability coverage with your agent.

• Few people have liability limits that are high enough, and liability coverage is very inexpensive. Increase your limits to at least $500,000...$1 million is better. Consider buying a Liability Umbrella policy.

• Will you be serving alcoholic beverages at your party? Or, if not, will you allow guest to bring their own booze? Then, I suggest that you make guests hand over their car keys when they arrive.

• Never serve alcohol to a person under the legal drinking age. If you do, and you are sued, your insurance company will probably deny your claim or refuse to defend you.

• Serve lots of food, but not salty snacks. Bars serve free salty snacks because it makes people thirsty.

• Serve non-alcoholic beverages, like exotic punches. You can find no-booze cocktail recipes on line that taste just like the originals.

• Buy a breath alcohol analyzer. You can buy one for about $50 on the Internet. Then, when each person prepares to leave, make them blow in the analyzer. No blow, no keys. Alcohol level too high, no keys. No exceptions.

• Is your guest too drunk to drive home? Either drive them home, make up a cot for them, or call a cab.

• Be sure your home is safe. Fix broken walkways, handrails, etc. Clear away debris, such as leaves and grass clippings. If you have a deck, be sure that the surfaces are smooth and free of slivers. Walk around your home and look for tripping hazards.

• If you have ANY KIND of a backyard pool, be extra careful with who has access to the pool. Drowning is easier than you think. Having a lifeguard for the party is a pretty good idea.

Now that you’ve taken care of all of these tips, have a GREAT party!!

Swimming Pool Safety: Have a Fun and Safe Back Yard Pool

2009-06-23T14:21:00.001-04:00

Swimming pools are wonderful to own, but danger is built in.

The Consumer Product Safety Commission states that each year, over 300 American children under age 5 drown in swimming pools and spas. 2,000 more have near-drowning incidents. Additionally, hundreds more over age 5 drown each year.

Medical care costs for near-drowning victims are very high. Dealing with brain damage issues can cost hundreds of thousands of dollars. Then, if that person lives, there are brain damage issues and/or disability for the rest of their lives.

If you are found liable for the injuries or death, you’d better be sure your liability limits are as high as possible. A million-dollar jury verdict against you could ruin your financial life forever.

Don’t allow your home to be the location of a drowning. Take the following precautions to prevent a tragedy.

• Most building codes require a pool to be fenced in. Make sure yours has a fence around it that is at least four feet tall. If your house forms one side of the barrier for the pool, doors leading from the house to the pool should be protected with alarms that sound when the doors are unexpectedly opened.

• Make sure that all your gates are self-closing and self-latching. Latches should be high enough that small children cannot reach them.

• For above-ground pools, steps and ladders to the pool should be secured or removed when the pool is not in use.

• Consider installing a power safety cover, a motor-powered pool cover placed over the water area, to prevent access to the water.

• Have a professional regularly inspect your pool or spa for entrapment or
entanglement hazards. Plainly mark the location of the electrical
cut-off switch for the pool or spa pump.

• Instruct babysitters about potential pool hazards to young children and about the use of protective devices, such as door alarms and latches. Emphasize the need for constant supervision.

• Never leave a child unsupervised near a pool. During social gatherings at or near a pool, appoint a "designated watcher" to protect young children from pool accidents. Adults may take turns being the "watcher." When adults become preoccupied, children are at risk.

• NEVER, EVER, EVER, EVER SWIM ALONE.

• Learn Cardio-Pulmonary Resuscitation (CPR). Keep rescue equipment and a phone near the pool.

• If a child is missing, look in the pool FIRST! Seconds count when saving a life. 75% of drowning victims are missing for five minutes or less.

• Knowing how to swim doesn’t drown-proof anyone. Accidents can happen, and a small amount of water in the lungs can cause death.

Be safe FIRST, and then you can really enjoy your pool!

Insurance Quotes: Save Hundreds Of Dollars, Prevent Financial Disaster

2009-06-22T14:28:00.000-04:00

Insurance quotes are a terrific way to help lower your monthly expenditures. I used a quote service earlier this year and saved $590 on my homeowners and car insurance package.

In today’s economy millions of people have lost their jobs. Millions more will lose jobs as the economy worsens. Millions of unemployed persons have stopped looking for new jobs, which skews the national unemployment figures, and makes the unemployment rate appear smaller than it actually is.

Some people have had to accept pay cuts just to keep their jobs. Add to that the number of unemployed people who just closed an economy-sensitive business.

I have a good friend who is a home designer. She has been in business for over 25 years, and was a nationally-renowned designer. In 2008, her business stopped like turning off a water faucet. She has just gone out of business. Will her business ever come back? No one knows.

Colleges and universities across America just finished commencement ceremonies, where tens of thousands of young graduates got their degree and a handshake. However, job prospects look bleak for this graduating class. According to an ABC News story, last year over 51% of graduates had a job when they left school. This year, the number is only 20%. But they still live in homes and drive cars every day.

An increasing number of people are allowing their insurance policies to lapse, or they are cancelling them outright. They simply made a decision that they cannot pay the premiums anymore.

What a horrible and tragic decision! Cancel your cell phone...your cable TV...your internet connection...your gym membership...your electrical service. But don’t go without insurance!

“Cancel my home’s electrical service??” I hear you sputter. “Have you lost your mind?”

Listen to me. You could temporarily live without electrical service in your home and your life would not be destroyed. But just have ONE insurance loss without coverage, and your financial life could easily be destroyed for the rest of your life.

A fire could wipe out your home or business. An auto accident could destroy your vehicle. If the accident is your fault, the claimant could sue you for damages, which could run into the hundreds of thousands of dollars.

In every example shown above, those people have homes, cars and businesses. In the area of auto ownership, every state in the USA and every Canadian province requires auto insurance by law. So, if you cancel your auto insurance, not only are you without coverage, but you are also committing a misdemeanor in most jurisdictions.

In addition, if your home, business or vehicle is financed, your lender requires you keep Property coverage on the property at all times. If the lender finds out that you have cancelled your coverage, they likely have the right to declare you in default on your loan, and require payment of the balance. They could repossess your car, home or business. At the very least, they could purchase coverage on your car, home or business property for the loan balance and charge you for it. This is called “forced-placed coverage,” and is very expensive, inferior coverage.

Before you make a choice to cancel your insurance policy, stop and consider getting insurance quotes that could lower your insurance premiums.

The process of getting insurance quotes is simple and IT COSTS YOU NOTHING! All you have to do is go online and use the search term “Insurance Quotes.” You’ll find hundreds of quote websites, all eager to get that quote for you.

Simply fill out an easy information form, giving the quote services details about what you want to insure and submit the form. Within minutes, you’ll begin receiving contacts from agents and insurance companies who want to compete for your business. Make sure that the coverage quoted are the same, and choose which vendor offers the best deal. Most times, the agent will do all the paperwork for you if you are switching from one company to another. Then, choose your new insurance company and breath easier with YOUR SAVINGS!!

My Insurance Quote website will get you great insurance quotes and also give you valuable claim strategies if you have a loss. You have nothing to lose and everything to gain. Think like a claims adjuster! No other insurance quote website can give you great rates AND claim strategies that WORK EVERY TIME!!

Get Insurance Quotes and Claim Strategies at: http://www.InsuranceQuoteHQ.com

Directors and Officers Liability: Bleak Days For Directors and Officers

2009-06-22T09:22:00.000-04:00

These are bleak days for corporate directors and officers.

In a June 18th webinar sponsored by Zurich Financial Services in London, a forum was held to discuss Director and Officer Liability exposures.

In 2008 there were over 150,000 insolvencies in Western Europe alone. In the first quarter of 2009, the United States had over 5,000 corporate insolvencies. Mario Vitale, CEO of Zurich's Global Corporate Division, predicts over 62,000 American corporate insolvencies for 2009, an increase of over 56% from the previous year. And the bankruptcies are not limited to the financial sector. They are widely spread over every type of business.

Vitale asserts that there is a direct relationship between corporate insolvencies and lawsuits filed against corporate directors and officers. In one American court jurisdiction alone, considering all the public company bankruptcies filed in 2008, 77% had a class action lawsuit filed against them.

One of the other daunting challenges to today's corporate officer or director is the massive change that has occurred in securities law. The Securities and Exchange Commission is holding officers criminally responsible for what they say regarding the financial health of their companies, including the information in their annual reports, financial statements and 10Ks.

Today's economic uncertainties are dangerous for corporations. They must consider:

-whether their line of credit is secure now and in the future
-whether their bank, who issues the line of credit, is financially healthy
-the financial health of the companies in their supply chain
-the financial health of their customers. Can they pay their invoices?

So, for public corporations seeking investors, what can they tell prospective investors about the financial health of their company when the future cannot be accurately forecasted in any substantive way?

What you can be absolutely certain about is when there is a corporate insolvency, the shareholders, hedge funds and the "vulture funds" will be picking the bones of the company's financial documents to find the slightest half-truth for their basis for lawsuits.

Francis Kean, attorney at partner at the UK firm Barlow Lyde & Gilbert, boldly stated that the worst event "by a country mile" that could happen to a director or officer is the insolvency of the company upon whose board they serve. A director's responsibility is to the company he serves and helps to control. However, in a bankruptcy, the Court takes control. It must not only settle financial claims against the company, but analyze the reasons for the insolvency, including whether or not directors can be found liable.

The other wild card is that the potential claim can be "sold" to the highest litigating bidder because the claim can be perceived as an asset against the directors.

German corporate securities law stipulates that once a company's directors decide that the company should be liquidated, the directors only have 21 calendar days to place the company into insolvency. Failure to meet this deadline can result in criminal charges against the directors with a maximum jail term of three years.

Anything like that here in the United States? Are you sure?

Why would anyone choose to be a corporate director in this sort of business and regulatory climate?

So, how do directors and officers of corporations protect their own assets in this hostile business environment? The corporate director or officer cannot be certain that the company they serve will be there to defend and indemnify them in case of insolvency and subsequent legal challenges.

Can the director simply resign from the board? Not really. The director must eventually prove that he did everything humanly possible to minimize the losses for the creditors. Anything short of that effort could be considered a claim against the director.

The director must plan ahead, and prepare for the worst.

First, know your liabilities. Know who might be a plaintiff and the reasons they might file a lawsuit against you.

Second, buy a Directors and Officers (D&O) Liability insurance policy at the time you are either a director or officer. But buy the coverage while your company is still solvent. Buy from an insurance company that also has a strong balance sheet, and is going to be there when you need the protection.

Here is a new complication for directors, though. Some insurers are coming out with Insolvency Exclusions. Some are broadly worded, some narrowly worded. Be very careful of the wording of your policy.

Also be aware that most of these policies are "Claims Made" policies, which means that the trigger event must have happened within the policy period. But, is the bankruptcy the triggering event, or is the claim date the trigger? The claim may be made months after the bankruptcy filing and by that time, the policy may have expired. This question will be determined in the courts.

I recommend carrying your D&O policy for a couple years after you leave the Board of any company. I also recommend high policy limits.

Protect your assets with Directors and Officers Liability insurance.

Department of Insurance Complaints: How To File A DOI Complaint

2009-06-20T13:03:00.000-04:00

State Departments of Insurance report that dissatisfaction with claim settlements is the top reason consumers file complaints with them. Sometimes it is the fault of the insurer, and sometimes it is the policyholders’ fault for not having the right coverage.

Today, I’m going to walk you through the process of filing an insurance claim complaint. I’m going to use the process here in the state of Georgia, where I live. The process in your home state will be very similar, and can be found at the website of any state’s Department of Insurance. Or, you can phone your Department of Insurance and they will likely either tell you how, or send you printed information on the complaint process.

You may file a complaint with the Department of Insurance if you cannot resolve your dispute directly with your company. You can even file your complaint if you haven't been through the appraisal process (found in your policy).

The Consumer Services Division of the Department of Insurance provides consumer information and investigates complaints about companies and producers. They handle most insurance problems involving home, business, auto, health, HMO, life, credit, dental, etc. Those problems may include coverage issues, claim disputes, premium problems, sales misrepresentations, policy cancellations, and refunds, just to name a few. They will also investigate a complaint against a Public Adjuster.

The Consumer Services Division will not:

• Give you legal advice or act as your attorney;
• Recommend an insurance company, agent or policy;
• Resolve a dispute when the only evidence is your word against the word of the adjuster, producer or company;
• Make determinations related to the facts of a case. For example, they will not conclude who is at fault in an accident or determine the disputed value of damaged or stolen property;
• Resolve complaints against service providers, like body shops and restoration contractors unless the complaints involve the action of the insurance company. For example, they could resolve complaints against a restoration contractor that the insurance company required you to use;
• Make medical judgments.

The Department of Insurance recommends:

• Read your policy carefully. It is important to know what your policy covers prior to having a loss. If you have questions on the coverages you have purchased have your Agent provide you an explanation.

• Keep copies of all correspondence between you and the insurance company. When communicating with your insurance carrier keep track of the phone numbers you called, the date and time of the call and the name and title of the individual you spoke with. After the call keep notes on what was discussed.

• Ask the company for the specific language in the policy related to your claim. Determine whether the disagreement is because you and the insurance company interpret your policy differently. If there is a disagreement on the language in the policy you can seek assistance through the Consumer Services Division by filing a complaint and providing the documentation which will include the policy language in dispute.

• If at all possible take pictures or videos of your contents in your home and do this periodically which will help in the event of a loss. Keep the pictures or video in a safe deposit box or somewhere other than the home.

AVOIDING AUTO AND HOMEOWNER CLAIMS

• Keep all receipts for repairs you make to your property after damage. Auto and homeowners policies may require you to make reasonable and necessary repairs to protect your property from further damage. Your policy covers the cost of these repairs. Keep the damaged property for the claims adjuster to inspect. If possible, take photos or videos of the damage before making temporary repairs.
• Don't make permanent repairs until the adjuster has inspected the damage.
• Ask the adjuster for an itemized explanation of the claim settlement offer. For homeowners claims, this should include sales tax, depreciation, and holdback depreciation for policies with replacement cost coverage. Holdback depreciation is an amount of money withheld from your claim settlement until repairs are finished or the items are replaced. Ask how the adjuster determined the estimate amount.
• Be prepared to discuss your claim if there is a disagreement on the settlement offer. The more documentation you have on items owned will make the process easier.

If you do have a claim dispute, contact your insurance company first.

When contacting your insurance company have your policy number ready. Ask where your written dispute needs to be sent. State your complaint and how you expect the company to resolve it. Sending the dispute in writing encourages a written response.

Document your phone calls by noting the phone number you called, the name of the person with whom you spoke, the date of the call and a brief summary of the conversation. Keep copies of all written communications.

In addition to the written complaint, send copies (not originals) of letters, notes, invoices, canceled checks, advertising materials, or other documents that support your complaint.

The DOI Complaint Form

The DOI Complaint Form is a document that can be completed, printed and submitted with copies of documents that support your complaint. Obtain this form at the DOI website or phone them and request a copy be sent to you by mail. This will enable them to set up a case and eliminate the need for them to request documents, and reduce the delay in providing a response. Always keep your original documents for your records.

To help ensure that the Department of Insurance receives all necessary information to investigate your complaint, include the following information with your complaint:

* your name, address, daytime telephone number and email address
* the exact name of the insurance company
* the full name of any agent or adjuster who may be involved
* your policy number
* your claim number and the date of your loss, if applicable
* a copy of both sides of your insurance card
* a concise description of your problem
* copies of all supporting documentation, including invoices, canceled checks, advertising materials, and any letters between you and the company or agent.

What will the Department of Insurance do to resolve your complaint?

* Send a copy of your complaint to the entity you complained against and request a detailed written response.
* Determine if your issue was handled appropriately under the terms of the policy or certificate of coverage.
* Review your file to determine if the insurance company, insurance agent, or adjuster violated state insurance laws.
* Take enforcement action when laws are violated.

Even though they may not always be able to help you resolve your complaint, your complaints and inquiries help the DOI to assist other policyholders by identifying issues of concern and may help identify potential problems with insurance companies, agents, or adjusters. Their involvement can also cause insurance entities to look more closely at your concerns.

What happens after you file a complaint with the Department of Insurance?

* You will receive an acknowledgment letter, advising who the investigator is and their contact information. Your Case Number shown on the letter is for the issue submitted to the Department. The case number should be used to send additional information to the Department on your case.
* If you have future complaints you will get a new case number, acknowledgement letter and the new investigators name and contact information.
* The DOI will notify the company of your complaint and ask for a detailed response. They will send you a copy of the company's response, with their formal letter regarding the completion of our investigation. The review will result in one of the following actions:

o If the complaint has been resolved, they will send you a letter explaining the resolution.
o If an insurance law has been violated, they will request corrective action by the company.
o If the company is not abiding by the policy, they will request corrective action.
o If the insurer or producer has not responded to all questions or has not investigated the complaint thoroughly, they will require them to do so.

What happens if you are not satisfied with Department of Insurance results?

If you disagree with the Department’s response to your complaint, contact the Consumer Services Division and ask to speak with a Supervisor.

You may wish to consult an attorney to discuss your concerns. You may also request alternative dispute resolution (ADR) to settle disputes with your insurance company on property claims. ADR uses techniques such as mediation with a neutral third party to help settle a dispute outside a formal court of law. Please consult your telephone book for listings for attorneys and mediation services.

Now you have a basic knowledge of the complaint process. Remember, the Departments of Insurance exist to regulate insurance companies and protect consumers. Don’t be shy about enlisting their help. That’s why they exist.

Forensic Accountants: How To Choose The Right Forensic Accountant

2009-06-20T13:02:00.000-04:00

Forensic Accountants are accounting professionals that specialize in calculating insurance claims. Customarily, they work on the side of insurance companies. When the insurance company retains them, their task is to calculate the claim with an eye toward minimizing the claim amount. After all, who is paying their fees?

You may be a business that has suffered a disaster or significant insured loss. In these types of losses, business owners typically have Business Interruption and Extra Expense coverage in their Business Owners Policy. This covers the loss of income and extra expense incurred by the business when their business operations are interrupted by a covered loss.

The biggest challenge for a business owner after a loss is keeping the business operation alive and moving forward. The disruption of operations makes that job very difficult. Then, when you add on the responsibility of preparing, documenting and submitting an insurance claim, it can be overwhelming for the business owner. Remember that your job as claimant is to submit a very accurate claim that maximizes your recovery.

So, my recommendation is to make your life easier by surrounding yourself with claims experts that are working for YOU, not working for the insurance company. And that team of experts should include a forensic accountant.

I do not recommend using your in-house accountants or your everyday business accountant to calculate your claim. Although they will likely assist a forensic accountant with your financial data, they do not know the methods of calculating an insurance loss. That could cost you hundreds of thousands of dollars.

To find a competent forensic accountant in your area;

1. Use your computer and search for “Forensic Accountant” and your city or zip code.
2. Contact some of the larger accounting firms in your area and ask them if they do forensic accounting. If they do not, ask for a referral to firms that do.
3. Contact the Certified Public Accountant Society in your area for a referral.

Once you’ve found forensic accountants in your area, call them and interview them with the following questions:

1. How many years have they done forensic accounting?
2. Ask for a list of satisfied customer with phone numbers for verification.
3. Ask about their fee schedule.
4. Ask to meet them to see if your personalities are a good fit.
5. Do you have any conflict of interest with my insurance company?

The fees incurred for a forensic accountant are usually considered covered expenses for claim preparation.

With this information, you should be able to retain the best accountant possible to calculate your business loss.

Public Adjusters: How To Choose the Right Public Adjuster

2009-06-20T13:00:00.000-04:00

Public Adjusters (PAs) are licensed claims adjusting professionals that represent the policyholder in the calculation, preparation and submission of a claim. They do not work for the insurance company. They work for YOU, the person or business who suffered the loss.

Public Adjusters only work on property claims, such as homeowners, apartment complexes, and businesses. They do not represent clients in auto or liability claims.

The biggest challenge for a policyholder who has had an insured loss is the calculation, preparation and submission of his claim. Most people do not have the expertise to submit an insurance claim, and they end up leaving hundreds or even thousands of dollars “on the table” that they are entitled to collect...but don’t collect. A PA will maximize your claim settlement.

I strongly recommend that you contact a PA any time you have a property claim. A consultation will customarily cost you nothing, but their representation could collect thousands more for you.

When it’s time to find a Public Adjuster, do the following:

1. Use your computer search engine and search for “Public Adjuster” along with your city or zip code.
2. Look in the Yellow Pages under “Public Adjusters.”
3. Go to: www.napia.com which is the website for the National Association of Public Insurance Adjusters and get referrals in your area.

Contact at least two PAs in your area and interview them with these questions:

1. Are you licensed in your state?
2. How many years have you been a PA?
3. Do you have a specialty?
4. Can you provide a list of at least ten satisfied customers with phone numbers?
5. Do you have documentation of your success in insurance settlements?
6. Have you ever had a complaint filed against you with the Department of Insurance?
7. Please explain your fees and how you are paid.
8. Please provide a copy of your retainer contract.

Based upon the information you receive from each PA, and how you get along with them, make your choice which PA will be on your team. Then work together to collect every dollar that you are entitled to collect.

Property Damage Attorneys: How To Choose The Right Property Damage Attorney

2009-06-20T12:42:00.001-04:00

Property Damage Attorneys are lawyers that assist policyholders in their property claims. Customarily, they are not Personal Injury attorneys, who represent policyholders and claimants who are seeking recovery from damages or injury.

In my hot-selling book, “Insurance Claim Secrets REVEALED!” I have a chapter entitled “Should I Get A Lawyer?” I recommend that anyone who is preparing a claim should consult an attorney.

When I say “consult an attorney,” I don’t necessarily mean retain an attorney. But you should consult an attorney at every step of the claims process. You do not want to give up any of your rights just because you are unfamiliar with the law. Such an incident could bar you from recovery of your full claim.

You should have your attorney present, or on a conference call, when the adjuster asks for a recorded statement. You should also have your attorney review every document that the insurance company requests that you sign, such as a Sworn Statement in Proof of Loss or a Release Form.

So, here is how to choose the right property damage attorney:

1. Using your computer’s search engine, look for “Property Damage Law” and your zip code or name of your state. That search should give you names of attorneys in your area.
2. Contact at least two Personal Injury attorneys in your area and ask them for referrals to attorneys practicing Property Damage Law.

Once you’ve found Property Damage Attorneys in your area, interview them with the following questions:

1. Are you licensed in your state?
2. How many years have you been a Property Damage Attorney?
3. Do you have a specialty?
4. Can you provide a list of at least ten satisfied customers with phone numbers?
5. Do you have documentation of your success in insurance settlements?
6. Have you ever had a complaint filed against you with the Department of Insurance or the State Bar Association?
7. Please explain your fees and how you are paid.
8. Please provide a copy of your retainer contract.

Based upon the information you glean from your interviews, you can make a choice of the best Property Damage Attorney to consult.

Personal Injury Attorneys: How To Choose The Right Personal Injury Attorney

2009-06-20T12:41:00.000-04:00

Personal Injury Attorneys are lawyers that provide legal representation for individuals who claim to have been injured as a result of the negligence of another person, commercial or government entity. As such, personal injury attorneys specialize in “tort law,” which is the area of law dealing with civil legal actions. This could include economic damages to a person’s body, their property, civil rights or reputation.

In any incident in which you have been injured due to the negligence of any other person or entity, I recommend that you consult with a Personal Injury attorney. I further recommend that you consult the attorney before you notify your own insurance company of your loss.

Failure to gain competent legal counsel can result in complications in your claim, or restrict your full recovery in a negligence incident. You could find that you have unknowingly given away important rights you did not know you had.

Do not trust your financial future to a General Practice attorney. Choose a personal injury specialist to protect yourself.

Here’s how to choose the right Personal Injury Attorney:

1. Using your computer search engine, look for “Personal Injury Attorney” and your zip code or state.
2. Note which personal injury law firms in your area are advertising on TV and radio in your area. A big advertiser is usually having some success.
3. Ask friends and business associates for a referral to a PI attorney.

Once you have located two or three PI attorneys in your area, interview them with these questions:

1. How many years have you been a Personal Injury Attorney?
2. Do you have a specialty?
3. Can you provide a list of at least ten satisfied customers with phone numbers?
4. Do you have documentation of your success in insurance settlements?
5. Have you ever had a complaint filed against you with the Department of Insurance or the State Bar Association?
6. Please explain your fees and how you are paid.
7. Please provide a copy of your retainer contract.

Based upon the information you glean from your interviews, you can make a choice of the best Personal Injury Attorney to consult.

Body Shops: How To Choose the Right Body Shop

2009-06-20T12:40:00.000-04:00

Automotive Body Shops are everywhere. Most auto dealers have one, as well as most commercial vehicle dealers. Then there are the shade-tree body shop guys that repair cars in their garages in their spare time. Finally, you’ll find many independent body shops sprinkled throughout your area.

So, how does a person who is not an expert in automobile repairs determine what body shop to choose?

In the insurance claims field, the choice is even more complicated. Many insurance companies have relationships with certain body shops that they call “preferred vendors.” The insurers will try hard to steer you toward their favorite repair facility. Customarily, these preferred vendors have made a deal with the insurance company to repair vehicles at a discounted labor rate. They will also agree to use aftermarket auto parts in the repairs.

But remember...you own your car. The insurance company does not own your car. It is YOUR responsibility to make sure your vehicle is repaired correctly.

I recommend three important strategies in dealing with body shops.

1. Take your damaged vehicle to YOUR chosen body shop, not necessarily the preferred vendor of the insurance company.
2. Insist that the body shop write an estimate using Original Equipment Manufactured (OEM) Parts. Aftermarket parts, favored by the insurers, are characteristically inferior parts that do not go through the same inspection and screening that OEM parts undergo. So, while they may FIT your car, they can compromise your safety as well as the value of your car.
3. The insurance companies are required to return your vehicle to pre-loss condition. That is impossible using cheap aftermarket parts.

So here’s how to choose a body shop.

1. Seriously consider getting at least one estimate from a dealer of your make of vehicle. For example, if you have a Toyota, get a Toyota dealer body shop estimate.
2. Ask your friends, neighbors and business associates for referrals to body shops they’ve used in the past.
3. Use your computer search engine to find body shops in your city or zip code.

When you narrow it down to about three shops, interview them asking these questions:

1. Are you licensed in your state?
2. How many years have you been an Auto Body Repair specialist?
3. Do you have a specialty?
4. Can you provide a list of at least ten satisfied customers with phone numbers?
5. Do you have documentation of your success in insurance settlements?
6. Have you ever had a complaint filed against you with the Better Business Bureau or State Office of Consumer Affairs?

Once you get two or three estimates, negotiate with the insurance company based upon the HIGHEST estimate.

Based upon the information you glean from your interviews, you can make a choice of the best auto body shop to use.

Restoration Contractors: How To Choose The Right Restoration Contractor

2009-06-20T12:01:00.001-04:00

Restoration Contractors are specialists in the repair of buildings damaged by perils such as fire, windstorm, flood, water damage, hurricane and tornadoes. They are also specialists in the repair and cleaning of personal property from homes and businesses.

These kinds of cleaning processes and repairs require specialized equipment and knowledge that a normal General Contractor will not have. In addition, the restoration contractor uses estimating software that is acceptable to the insurance companies in the calculation of the repair estimate.

Many times, a claims adjuster who represents the insurance company will bring his favorite contractor with him when he inspects your damages. This is not necessarily bad, but can easily become a conflict of interest for the contractor.

I recommend that you, the policyholder and owner of the property, find a restoration contractor of your own to write your damage repair estimate. Customarily, the contractor will write this estimate at no charge, hoping that he will get the repair job. But even if it cost you a couple hundred dollars for the estimate, it could mean the difference in thousands of dollars of repairs.

But, how does a policyholder with damages locate a reputable restoration contractor?

1. Using your computer search engine, look for “Restoration Contractor” or “Disaster Repair” and your zip code or state.
2. Note which contractors in your area are advertising on TV and radio in your area. A big advertiser is usually having some success. Some national companies, like Servpro, advertise heavily and will have offices nearby.
3. Ask friends and business associates for a referral.

Once you have located two or three contractors in your area, interview them with these questions:

1. How many years have you been a Restoration Contractor?
2. Do you have a specialty, like homes or commercial losses?
3. Can you provide a list of at least ten satisfied customers with phone numbers?
4. Do you have documentation of your success in insurance settlements?
5. Have you ever had a complaint filed against you with the Department of Insurance or the state Office of Consumer Affairs?
6. Please explain your fees and how you are paid.
7. Please provide a copy of your repair contract.

Based upon the information you glean from your interviews, you can make a choice of the best Personal Injury Attorney to consult.

Property Insurance Claims: Take Photos

2009-06-18T17:19:00.000-04:00

I just handled a burglary loss for a very nice woman in Atlanta. She decided to go to the market at about 8:30 pm on a Wednesday evening in late May. She began to drive toward the market and noticed four teenaged boys standing in a park very near her home. She hesitated for a moment, then continued to the market.

When she returned at 8:55 pm, she found that someone had broken through her back door and stole jewelry, cash, a TV, a laptop and some expensive handbags. Her claim totaled over $20,000. Only $1,500 of that were for repairs to the back door.

I provided a Contents Inventory Worksheet so she could list all the items stolen. She submitted the worksheet quickly. Unfortunately, she had no receipts or any other kind of documents to prove that she actually owned the stolen items. Even photos of her stuff would have helped to prove she owned it. But no photos either.

The insurance company wanted to pay some of the claim, but insisted that she provide some documentation. She could not. The insurance company denied the Contents portion of the loss, and paid her only $500 after assessing her $1,000 deductible.

Gentle readers, this is not an isolated incident in the claims process for property claims. Insurance companies are serious about holding down their claims cost. And it is YOUR responsibility to prove your claim.

You have a legal contract with the insurance company. Part of that legal contract requires you to provide proof of ownership of your contents. The insurance companies give a lot of latitude in these matters, but remember that they don’t have to.

Most people are not going to create a master file of all their receipts for the stuff they buy, and then keep that file in a fireproof box or off-site. So, most people who have a fire, flood, burglary, hurricane or water loss are going to be faced with proving ownership of their personal property.

So, remember this: The NUMBER ONE most important thing that you can do to prove ownership of your personal property is to PHOTOGRAPH IT.

Get a camcorder, or digital camera, or even disposable cameras. Go through your home or business and capture your personal property “on film.” Do it once a year, and then remember to update after every major purchase...like a new computer or flat-screen TV. Don’t leave anything out. Even photo inside drawers and closets.

Take the photos or video and place them off-site. I recommend a safe deposit box.

Then, in case of a disaster, you have some visual proof of your loss. You could review the video or photos and compile your inventory list. You could submit a copy of the photos or video as proof of ownership.

The photo/video process takes me an hour when I do it. And that’s filming in average sized home.

Don’t take a chance by being unprepared. It could cost you tens of thousands of dollars at claim time.

Dog Bite Attacks: Six Warning Signs of a Dog Attack

2009-06-18T10:13:00.001-04:00

Any person who owns a dog is potentially liable for damages if their dog bites another person. Your homeowners liability or business owners liability insurance will defend you from lawsuits attributable to dog bites in some cases.

If you have a dog that has already bitten or injured another person or animal, your insurance company may exclude coverage for subsequent incidents. I’ve even seen insurers cancel or refuse to renew policyholders with dangerous dogs.

This follows the old “First-Bite Rule.” That means that if your dog has never caused injury before, you as the owner are not deemed to be the owner of a dangerous dog. However, after the first bite, you can’t say that anymore.

But what if you don’t own a dog? You must know the common sense issues about dogs and how they behave. That is crucial whether you own a dog or not.

So let me share with you six danger signs that should warn you that a dog attack may be about to occur. If you commit these to memory, you will have a better chance of protecting yourself and your children.

1. A new dog in the house. New adult dogs can be dangerous for the first 60 days or so. In the same manner, a person who is new to a household where a dog lives is in danger of attack for about the first 60 days. Statistics show that 20% of fatal dog attacks involved a new person or a new dog in the same household for two months or less. (new husband, new wife, new step-kids, new girlfriend/boyfriend, new baby)

2. Gender of the dog. Un-neutered male dogs are the most dangerous of all. But any male dog is far more dangerous than a female dog.

3. Breed. The Pit Bull, Chow, Akita and Rottweiler breeds are the most dangerous. Pitt Bulls have the most fatal attacks of any breed.

4. The Pack. The more dogs in the pack, the greater the danger of attack. Dogs that are normally calm and docile can become violent when they are in a pack. The pack mentality is strong in dogs. Statistics show that 39% of the dog attacks in 2008 were by multiple dogs.

5. Dog is his own yard, with no owner present. Dogs are protective and territorial. Don’t go in his yard. Warn your children of the danger of going into a yard where a dog...or multiple dogs...are alone.

6. Dog on a tether or chain. Chaining up a dog is cruelty, and over time, it changes the dog’s personality. Chained dogs committed 9% of fatal attacks in 2008.

Any one of these factors alone is a danger signal. The more factors that exist at the same time, the higher the danger of a dog attack. All of the factors should be avoided at all costs.

Restoration Contractors: Liability Issues That Can Affect YOU!

2009-06-16T18:29:00.000-04:00

If you are the victim of an insured loss, such as a fire, flood, tornado or hurricane, you will likely have to hire a restoration contractor to complete repairs on your home. However, here is an issue that most property owners never consider...until it’s too late.

That issue is the liability insurance of the restoration contractor. No matter if you are the owner of residential or commercial property, you could have major liability issues in the process of the restoration.

Restoration contractors are customarily general contractors. That means that they manage the work of sub-contractors. They may hire plumbers, framing crews, roofers, electricians, drywall crews, painters and other artisans to complete the work on your property. Many times, the restoration contractor has a crew of workers on his payroll. But, there are some restoration contractors that only act as construction managers.

There’s nothing wrong with that arrangement if the job gets done on time and on budget.

You’ll be entering into a contract with the contractor you choose. In addition, you will be granting authority for your contractor to work on your premises, as well as his sub-contractors. Here is where you must take care to protect yourself.

In the pre-contract process of verifying your chosen contractor’s credentials, you will have required the contractor to provide you with a current copy of his insurance certificate. Take a few minutes and phone the insurance company and confirm that the coverage is in effect, and that the policy dates are correct.

You must insist that the restoration contractor carry General Liability, Completed Operations and Workers Compensation insurance (if he has employees). In addition, you must insist that each sub-contractor furnish the same insurance certificates. The only exception would be a contractor who worked alone and had no employees. That fellow would not need Workers Compensation insurance.

Another very important strategy is to insist that ALL the contractors place you on their insurance policies as an “Additional Named Insured.” That way, if anything were to happen in the course of repairs, such as a worker injury or some other liability issue for which they are liable, THEIR insurance policy would defend and indemnify on your behalf.

This one strategy could save you hundreds of thousands of dollars in a lawsuit award, and thousands in legal fees defending the suit.

Don’t leave yourself vulnerable to liability and lawsuits. Use this strategy!

Insurance Jokes: You May As Well Laugh

2009-06-12T09:23:00.000-04:00

Here are some insurance jokes to help you keep some perspective while you are dealing with insurance agents and insurance adjusters.

Q: What’s wrong with Claims Adjuster jokes?
A: Claims Adjusters don’t think they’re funny, and nobody else thinks they’re jokes.
----------------
Q: What do claims adjusters use for birth control?
A: Their personalities.
---------
Q: What is the difference between a dead skunk lying in the road and a dead claims adjuster lying in the road?
A: There are skid marks in front of the skunk.
-----------------
A man died and was taken to his place of eternal torment by the devil.

As he passed sulfurous pits and shrieking sinners, he saw a man he recognized as a claims adjuster making love to a beautiful woman.

"That's not fair," he complained. "I face torment for all eternity, and that adjuster gets to spend it making love to a beautiful woman."

"Shut up!" barked the devil, jabbing the man with his pitchfork. "Who are you to question her punishment?"
-----------------
A lawyer and an engineer were fishing in the Caribbean. The lawyer said, “I'm
here because my house burned down, and everything I owned was destroyed by the fire. The insurance company paid for everything.”

“That's quite a coincidence,” said the engineer. “I'm here because my house and
all my belongings were destroyed by a flood, and my insurance company also paid for everything.”

The lawyer looked somewhat confused. “How do you start a flood?”" he asked.
-----------------
A woman was in the hospital after feeling very ill. The doctor says to her, "I have some bad news for you. You only have three months to live."

"Oh that's terrible," the woman sighs, "what am I going do?"

The doctor replies, "Marry an insurance agent."

"Will I live longer?" asks the woman. "

"No," replies the doctor, "but it will SEEM longer."
------------------
A drunk wanders into the bar of a hotel where an insurance convention is being held. He yells, "I think all insurance agents are crooks, and if anyone doesn't like it, come up and do something about it."

Immediately, a man runs up to the drunk and says, "You take that back!"

The drunk sneers and replies, "Why, are you an agent?"

"No," the man replies, "I'm a crook."
------------------
An insurance agent, a lawyer and a used car salesman are traveling in the countryside. Weary, they stop at a small country inn. "I only have two rooms, so one of you will have to sleep in the barn," the innkeeper says.

The used car salesman volunteers to sleep in the barn, goes outside, and the others go to bed.

In a short time they're awakened by a knock. It's the used car salesman, who says, "There's a cow in that barn. I'm a Hindu, and it would offend my beliefs to sleep next to a sacred animal."

The lawyer says that he'll sleep in the barn.

The others go back to bed, but soon are awakened by another knock.

It's the lawyer who says, "There's a pig in the barn. I'm Jewish, and cannot sleep next to an unclean animal."

So the insurance agent is sent to the barn.

It's getting late, and the others soon fall asleep.

But they're awakened by an even louder knocking. They open the door and are surprised by what they see: It's the cow and the pig!
---------------------------
Last night as I lay sleeping, I died or so it seemed,
Then I went to heaven, but only in my dream.

Up there St. Peter met me, standing at the pearly gates,
He said "I must check your record, please stand here and wait."

He turned and said "Your record is covered with terrible flaws,
On earth I see you rallied for every losing cause.

I see that you drank alcohol and smoked and used drugs too,
Fact is, you've done everything a good person should never do.

We can't have people like you up here, your life was full of sin,"
Then he read the last of my record, took my hand and said "Come in."

He lead me up to the Big Boss and said "Take him in and treat him well,
He used to work in Insurance, he's done his time in hell."
-----------------
The seven-year old girl told her mom, "A boy in my class asked me to play doctor."

"Oh, dear," the mother nervously sighed. "What happened, honey?"

"Nothing, he made me wait 45 minutes and then double-billed the insurance company."
---------------
An insurance agent said to a customer, "Thank you, Mr. Smith, for your patronage. I wish I had twenty customers like you."

"Gosh, it's nice to hear that, but I'm kind of surprised," admitted Mr. Smith. "You know that I file many claims and always pay premium late."

The insurance agent said, "I'd still like twenty customers like you. The problem is, I have two hundred like you."
---------------
The applicant for life insurance was finding it difficult to fill out the application. The agent asked what the trouble was, and the man said that he couldn't answer the question about the cause of death of his father.

The agent wanted to know why. After some embarrassment the client explained that his father had been hanged.

The agent pondered for a moment. "Just write: 'Father was taking part in a public function when the platform gave way.'"
---------------
Two insurance claims managers are discussing business one day. One manager asked "How many adjusters do you have working for you?"

The other manager replied "About half of them."
----------------
An insurance adjuster was teaching his 16-year-old daughter to drive when the brakes suddenly failed on a steep, downhill grade.

"I can't stop!" she shrieked. "What should I do?"

"Brace yourself," advised her Dad, "and try to hit something cheap."
---------------
The other day my house caught fire. The insurance agent said, "Shouldn't be a problem. What kind of coverage do you have?"

I said, "Fire and theft."

Insurance agent frowned. "Uh oh. Wrong kind. Should be fire OR theft."

Apparently, the only way I can make a claim with this coverage is if the house is robbed WHILE it's burning down.
----------------
Two insurance agents were driving down a country road at high speed and passed a pickup truck with an old couple inside. "Look at those fools, Pa! Must be a couple of insurance agents and they will surely meet their maker soon, I tell you."

Well, sure enough, a little while later the couple comes across a bad accident involving the two insurance agents. "Well Maw, we got to do what any good folk would do and give'm a decent burial."

So the couple dug a hole and buried the insurance agents. Just as they were putting their tools away, a cop drives up. "You folks see this accident?"

"No sir, but we knew them dang fools were going to have it when they passed us doing a hunnert miles an hour. Well, we finally come across the accident and gave them insurance agents a decent burial"

"You were sure that they were dead??"
--------------------
"Well, they said they weren't, but you know how those insurance agents exaggerate!"
----------------
Two women are playing golf when one of them asks the other, "Do you and your husband have mutual climax?"

The other woman replies, "No, I think we have Allstate."
----------------
A traveler wandering on an island inhabited entirely by cannibals comes upon a butcher shop. The shop specialized in human brains differentiated according to source. The sign in the shop read:

Laywer Brains ... $9/lb

Doctor Brains ... $12/lb

Engineer Brains ... $15/lb

Claims Adjusters' Brains ... $1,000/ounce

Upon reading the sign, the traveler noted, "My, those claims adjuster's brains must be something."

To which the butcher replied, "Are you kidding! Do you have any idea how many of them you have to kill to get an ounce of brains?!"
----------------
What do you get when you cross a monkey with a claims adjuster?
Nothing. There are some things even a monkey won’t do.
----------------
Q: Do you know the difference between a claims adjuster and a whole life insurance policy?
A: A whole life insurance policy eventually matures.
---------------

There! Now, go finish your insurance claim!

Personal Property Claims: The Depreciation Trap

2009-06-10T01:21:00.000-04:00

Personal property claims can be some of the most frustrating claims in the insurance claims process. The deck is stacked against you if you have any kind of insurance policy that insures your personal property. This is true for property owned by homeowners and renters as well as the personal property owned by businesses and other commercial entities.

Personal property, also commonly known as “Contents,” is usually described as any property in or on the insured premises not permanently attached to the building. Naturally, your policy will give you a definition that is more exact that this one, and will also have exclusions about some property that is not covered.

Many property insurance policies have the Replacement Cost (RC) Endorsement on the policy that covers the contents. The claims process for your Contents is the trap laid by the insurance companies. Don’t think that your insurer wouldn’t do that to you...they ALL do it.

Here’s the method of settlement found in all policies with the Replacement Cost Endorsement.

You submit your contents claim inventory. On that inventory you will have listed all of your contents, item by item, and the replacement cost. The insurance company will apply depreciation to each item of your contents, based upon its age and condition. Subtracting the depreciation amount from the replacement cost gives you the Actual Cash Value (ACV) of your property, whether business or personal.

The insurance company settles RC claims by issuing two separate checks. The first check will be for the ACV amount. According to the Loss Conditions in the policy, the insurer only pays you the RC of your contents once the replacement has been made.

For example, if you had an item with an RC value of $1000, and the depreciation amount was 30%, or $300, you would receive the first payment of $700. But, $700 does not replace the item. In order to receive the RC amount you will have to use $300 of your own money plus the $700 paid by the insurance company to make the replacement purchase. Then you are eligible for the second check, the $300 reimbursement.

Now...think about the same example if your entire contents claim is $100,000.

The insurance company “holds back” $30,000. In order for you to make the replacement purchases, you will have to find $30,000 of your own money, make the purchases, and then get reimbursed by the insurance company.

Where are you going to get that $30,000? Savings? Credit Card? Get a loan? Or perhaps you’re like many people that don’t have those cash resources available to them. They cannot make the replacements at all.

Do you see the trap?

Here is a strategy of three things you can do to minimize the effects of the Depreciation Trap.

1. Demand that the insurance company provide you a copy of the Depreciation Tables that they used to calculate your loss.

2. Compare each item, line by line, to be certain that the proper amount of depreciation was assessed by the adjuster.

3. Challenge any and all incorrect depreciation amounts.

By using this three-step strategy, you will maximize your Contents claim amount.

There is another Contents strategy that you MUST use when documenting your Personal Property claim. It relates to the personal property you won’t be replacing.

I knew a family that had a major fire loss. The wife was an attorney for many years. Then, when she had her first child, she decided to leave the business world and be a full-time mom. She had a closet full of expensive business suits, blouses, shoes and accessories. She was not going to replace them, since she was not using them any more for work clothing. So, we worked hard at establishing the highest possible value on her wardrobe. The ACV money that the family was paid for her wardrobe was used to make RC purchases of other items that did need replacing.

You can use this strategy in your Contents claim. Your home, condo, apartment or business is full of personal property that you’ve purchased over the years that (a) is obsolete or (b) you’re not using anymore. A business could have inventory items or office equipment that is unsold or obsolete. In each case, you have every right to be paid the correctly calculated ACV for those items. Then, you can use those dollars to offset the “holdback” amount when you are making your replacement purchases.

Don’t be a pushover! Don’t allow the insurance company to depreciate your Contents without a fight!

Fight back and WIN!

Hurricane Preparedness: Prune Your Losses

2009-06-08T09:55:00.000-04:00

Hurricane preparedness goes beyond making sure your insurance policies are up to date. There are some practical things you can do around your property, whether home or business, that can lower the risk of storm damage.

The National Climactic Data Center published statistics for 2007 that showed property damage from storms at over $7.4 billion. 2008 totals were higher with the Texas hurricanes. I imagine that you do not want to be part of the 2009 storm statistics.

Let’s concentrate on the simplest remedies. When storms arise, the exterior of your home can be damaged by those high winds and heavy rain. So, roofs, siding and windows are the first line of defense in a storm scenario.

Here are some tips for lowering your risk exposure:

• Make sure that your roofing is in good repair. Well-installed roofs are less susceptible to damage.
• Make sure that your siding is tightly attached to the building.
• If a storm is heading your way, consider boarding up your windows to protect them from being broken by flying debris.
• Caulk windows and doors to prevent wind-driven rain from entering around the openings.
• Cut down unhealthy trees on your property.
• Prune tree limbs that overhang your home or power lines, or overhang your neighbor’s property.
• Clean out roof gutters so rain doesn’t back up and cause interior water damage.
• Move your outside furniture and other personal property into inside storage so it is not blown against your building or a neighbor’s building.

With these tips accomplished, your property has much less exposure to damage from wind and rain. Of course, if your area is struck by a Category 4 or 5 hurricane, missing shingles and siding will be the least of your worries.

At that point, you’ll be glad you updated your insurance policy.

You DID update your policy, didn’t you?

Automobile Blind Zones: Checking Your Mirrors Is Not Enough

2009-06-07T13:43:00.000-04:00

Every month or so, I see a story on the Atlanta area news in which a driver backs up and runs over a child. Usually, the child is killed.

I have a friend who is an insurance agent in Michigan. Back in the mid-80s, he was leaving the home of a client and backed over the client’s toddler, killing him. That incident, although a tragic accident, changed my friend for life. Can you imagine the weight of guilt a driver must feel after such an incident?

According to the auto safety advocacy group “Kids and Cars,” in 2008:

• There were 687 incidents in the US involving an unattended child and a motor vehicle
• 954 children were involved
• 204 died as a result of their injuries
• 44% of those fatalities were due to children being backed over by a vehicle
• Most backover incidents occur in home driveways and parking lots

Many drivers are unaware of the size of the blind zone behind their vehicle. Generally speaking, the wider, longer and taller the vehicle, the bigger the blind zone behind it. In addition, short drivers have a bigger blind zone. Blind zones can be eight feet wide and up to 50 feet long, and that’s just in passenger vehicles.

Sport Utility Vehicles (SUVs) are very safe for the occupants, as they are heavier, taller and stronger. But those very characteristics create a big rearward blind zone.

There is a new law on the Federal books, signed by George Bush, that mandates automakers compliance with rearward visibility. The automakers will use a mix of larger rear and side mirrors, larger rear windows, backup cameras and sensors. The law allows automakers until 2015 to comply, but compliance will likely occur sooner, since consumers want the upgrades today.

Here are 5 tips to help prevent backover incidents:

1. Before getting into your vehicle, walk all the way around it.
2. Know where the children are, and back out slowly. Parents or a close relative account for over 70% of backovers.
3. Trim landscaping and shrubbery so you and pedestrians have a clear view of your driveway.
4. Teach your own children that parked vehicles might move, and the driver might not see them.
5. Install rearview cameras, collision sensors or additional mirrors to your vehicle.

Don’t be like my Michigan friend. Take extra precautions and save lives.

Electrical Fires: 10 Ways to Prevent Electrical Fires At Home

2009-06-07T12:52:00.001-04:00

Electrical fires occur in American homes with great regularity. According to the US Fire Administration:
• Over 28,300 residential electrical fires occur annually, causing nearly 350 deaths, 1,000 injuries and over $995 million in damage
• Fifteen percent of residential fires start in bedrooms
• Nearly half (47%) of the residential electrical fires where equipment was involved were caused by the building’s wiring
• Twenty-two percent of residential electrical fires occur in December and January. (Christmas lighting and decorations)
• Extension cord abuse accounts for a large percentage of losses

Electricity is like water. You’d have a hard time living without it, but it can also kill you if you abuse it. So, here are 10 tips on how to prevent electrical fires, prevent insurance claims, and save lives.

1. When you buy extension cords, only buy cords approved by Underwriters Laboratories. You will find the “UL Approved” label on the cord.
2. Be sure the extension cord’s capacity matches the appliance or device you plug into it.
3. Don’t use extension cords that are frayed or cracked or coiled up.
4. Don’t run extension cords under rugs or carpets.
5. Feel the extension cord while it’s in use. If it is warm or hot, replace it with a cord of greater capacity.
6. Don’t overload extension cords. The wattage of all devices plugged into the cord should not exceed its rated wattage. Usually the rated wattage is printed on the cord or attached by a tag.
7. Install light bulbs with wattages that are equal to or below any fixture’s maximum wattage. For example, a light fixture tag may say “do not exceed 75 watts.”
8. Dispose of or repair appliances or devices that blow fuses or trip circuit breakers.
9. Don’t leave a pan cooking on an electric stove unattended.
10. Homes built before the 1970s are more prone to electrical wiring fires. With the modern use of more powerful appliances and electronics, your system may require an upgrade. Call a licensed electrician for an evaluation. An upgrade may get you a discount on your homeowners insurance.

You can eliminate most electrical risks by following these ten tips.

Live better, live more safely!

Hurricane Season 2009: Seven Tips To Be Ready

2009-06-01T14:57:00.001-04:00

Today marks the beginning of the Atlantic hurricane season, and early predictions by NOAA suggest that this will be an average season with as many as four to seven hurricanes.

The National Hurricane Center says there is a 70 percent chance of having 9 to 14 named storms, of which 4 to 7 could become hurricanes, including one to three major hurricanes (Category 3, 4 or 5).

Hurricane season runs from June 1st through November. Tropical systems all get names, and the first one will be named “Ana” when it reaches sustained winds of at least 39 mph. Tropical storms become hurricanes when winds reach 74 mph, and become major hurricanes when winds increase to 111 mph.

Here are seven tips on getting ready for hurricanes or tropical storms:

1. If you have property in a hurricane-prone area, seriously consider buying flood insurance from the National Flood Insurance Program. Buy the coverage now, not when storm clouds gather. Go to www.floodsmart.gov for more details.
2. Dig out your property insurance policy and read it. If there is anything you do not understand, call your agent and get your questions answered.
3. Make sure that you are insured 100% to replacement value. In this economy, market value has dropped, but replacement value is still high. A good average for replacement value is $80.00 per square foot.
4. Make sure that you have the replacement cost endorsement on the building and the contents.
5. Be sure what your deductible is. In many hurricane-prone areas, the insurance companies assess a deductible which is a percentage of the building policy limit, such as 2%, 3% or 5%.
6. Contact a Public Adjuster (PA). Have a conversation about the services a PA can perform for you when you have a major loss. Knowledge is power, but knowledge can also get you a lot more money at claim time.
7. Remember that if a civil authority issues an evacuation order, your homeowners policy will cover your Additional Living Expense while you’re out of your home. Read the policy for the details.

Let’s hope that this hurricane season will pass without even one storm striking land!

Restoration Contractor Strategies: Getting The Best Value In Your Claim

2009-05-30T13:18:00.000-04:00

I’ve written before about how to hire restoration contractors, and things to watch for. Now, here are a few tips on how to get the best prices for the restoration work you need to have completed.

• Make sure that the scope of damages is correct. You can usually get a copy of the scope of damages from your adjuster. The scope of damages lists the necessary work to be performed, not the prices.

• Make sure you get at least three estimates from three separate contractors. Inform the contractors that they are competing against other contractors.

• If any contractor finds needed repairs that are not listed on the scope of damage, insist that these repairs be listed on a supplemental estimate separate from the main estimate.

• Make sure that the general contractor bids include Overhead and Profit.

• Negotiate your claim with the insurance adjuster using the highest contractor bid. Many times, adjusters will use estimating software that has unit pricing far below market pricing. This is especially true after a major disaster such as a widespread hailstorm, tornado or hurricane.

• Once you have successfully negotiated the claim amount, go back to the three contractors and suggest that his contractors or suppliers offer better pricing. Economic times what they are today, some companies will drastically shave profits just to have the work.

• Ask your contractors to offer their professional input on ways to get the job done at reduced prices. He might recommend different floor covering, or different cabinets, or different countertops or light fixtures.

• Make a discounted offer to a contractor. Then shut your mouth. The first one who speaks loses.

• Tell the winning contractor that you prefer paying subcontractors and suppliers directly. This can be a win-win situation, since the contractor won’t have to front the money for materials. You can pay for materials out of the insurance proceeds. You can win because you won’t have to pay his overhead or profit for just paying bills.

• Don’t forget to have all vendors sign a Lien Waiver before receiving payment. No signature, no payment.

These strategies can save you thousands of dollars if you’re careful.

Seven Myths About Flood Insurance

2009-05-28T17:08:00.002-04:00

Floods happen with great regularity in the United States. In recent years, we have witnessed entire cities underwater in the spring floods along the Mississippi River. However, floods can happen in unexpected areas and for unexpected reasons. Congress created the National Flood Insurance Program (NFIP) to provide insurance protection for the hazard of flood.

The standard homeowner policy (HO-3) defines flood as follows:

“...A general and temporary condition of partial or complete inundation of normally dry land areas due to:
1. The overflow of inland or tidal waters;
2. The unusual or rapid accumulation or runoff of surface waters from any source; or
3. Mudslides.

Remember Hurricane Katrina? The hurricane winds blew flood waters into areas that had never had floods before. The insurance industry denied thousands of claims, attributing the damages to flood. Thousands of property owners who were nowhere near a flood plain had their claims denied because they did not have flood insurance.

So, here are seven common myths about Flood Insurance.

Myth #1: Homeowners, renters, and business property insurance policies cover flood damage.

No, homeowners, renters, and business property insurance policies do not cover floods. The NFIP policy is a separate policy that does cover flood damage to a home or business. Contents coverage can also be added to the flood policy. Policies are available to property owners as well as property renters, whether home or business.

Myth #2: Only homeowners and business owners can buy flood insurance.

Fact is that most homeowners, renters, condo owners, and businesses in NFIP participating communities can buy flood insurance. Policy limits are:

• Home and Condo Owners - $250,000 in structural coverage, $100,000 in contents coverage
• Renters - $100,000 in contents coverage
• Business owners and renters - $500,000 in structural coverage, $500,000 in contents coverage

Myth #3: You can’t buy flood insurance if you are in a high-risk zone.

Fact is that you can buy NFIP coverage no matter where you live, as long as your community participates in the NFIP.

Myth #4: You can’t buy flood insurance if you’ve been flooded before.

Fact is that as long as your community participates in NFIP, you can buy flood insurance.

Myth #5: You can’t buy flood insurance immediately before or during a flood.

Fact is that you can buy NFIP flood insurance any time. There is usually a 30-day waiting period before the effective date of the policy. Also, the policy does not cover a loss in progress, which is defined in the policy as a loss occurring at midnight on the date your policy goes into effect. So, the new policy won’t cover past or current losses, only losses after the policy goes into effect.

Myth #6: If you live in an area that is not a flood zone, you don’t need flood insurance.

Fact is that floods occur regularly in places that are not mapped flood zones. 25% of NFIP’s claims come from low-to-medium risk zones. On the other hand, if you live in a flood zone, you likely cannot finance a home loan without buying flood insurance.

Myth #7: FEMA disaster assistance will pay for flood damage.

Fact is that unless your area is declared a disaster area, there is no FEMA assistance. Fewer than 50% of floods are declared a disaster area. And, if you don’t have flood insurance when the flood occurs, you will have to buy and keep flood coverage to be eligible for future benefits.

Don’t allow your property to be damaged by flood without having the proper insurance coverage. Get the coverage you need, and don’t wait any longer.

For all the details about Flood Insurance, go to: www.floodsmart.gov

Home Security: Are Your Home’s Doors Break-in Proof?

2009-05-26T14:36:00.001-04:00

Home security is fast becoming an important topic of concern here in America. As the economy worsens, the crime rate for burglaries and robberies is rising. The local news has stories almost daily of break-ins at homes and business in which the predominant method of entry is kicking in one of the exterior doors.

Over the years I have spent as an insurance adjuster, I’ve been to at least a hundred homes to investigate burglaries and help the homeowners prepare their insurance claim. Seldom have I found incidents where the burglar came in through a window. Burglars nearly always make their entry through a door.

Most people use deadbolt locks and their first line of defense. Nothing wrong with that. I’ve never seen a deadbolt lock fail. The deadbolt is not the weakest link in the chain when it comes to securing an exterior door.

The weak link is the door jamb.

For you that are unfamiliar with the term “jamb,” it is the frame to which the door is mounted by hinges. When you turn the key the deadbolt lock throws a steel bolt into a latch on the jamb.

For tens of millions of homes, apartments and businesses, the exterior door jamb is made of wood. In residential applications, the door jamb usually has a thickness of ¾”. Sometimes exterior door jambs can have a 1 ½” thickness.

The screws that mount the latchplate onto the jamb are usually ¾” wood screws, and are usually about 1” away from the edge of the jamb. So, when a bad guy kicks your door, there is only about 1” of wood in the jamb offering any resistance. One inch of pine wood, or even oak, does not give you much protection.

In almost every burglary claim I’ve handled where the burglar came in through a door, it was the wood door jamb that failed...usually on about the second kick. And the cost of replacing a damaged door and jamb can easily run $750 - $1,000.

The best solution to securing your exterior doors against break-in would be to install steel jambs and steel doors. However, that can be very expensive.

Sliding glass doors are also an easy entry point for thieves. Placing a dowel, bar or stick in the track does not prevent your door from being lifted out of the track.

There is another solution that is cost effective and works great!

Armor Concepts is a company based in Saddle Brook, NJ that has created three products that solve this security problem. They are:

• Door Jamb Armor - A patented door security and repair solution that will help stop home invasions before they begin. Door Jamb Armor can also be used to repair a previously damaged jamb and can be installed in under an hour by the average do-it-yourselfer. All pieces are made of galvanized steel and are powder coated so they will stand up to harsh weather and can be painted to match your door. You will barely notice the steel door armor once it's installed. Door Jamb Armor will allow you to turn any door into a security door that's attractive and economical.

• FIX-A-JAMB - A cheap, quick and attractive door frame repair solution

• Armor Latch - An effective and economical sliding glass door security solution. Prevents sliding glass doors from being lifted out the track.

You can see some dramatic product testing video at the company’s website at: http://www.djarmor.com One video shows use of a police battering ram. The jamb holds rock solid.

These products can be found at big box home improvement retailers like Lowe’s.

If you do not protect your doors and jambs, it will be cheaper for you if you’ll just go ahead and leave the doors unlocked. At least the thieves will only steal your belongings, not destroy your door and then steal your stuff.

Travel Security: Proper Planning Prevents Travel Nightmares

2009-05-18T17:45:00.000-04:00

Travel security is a topic that needs some discussion. I talked about Vacation Security in my last article, which dealt with leaving your home secure when you go on vacation. Today, let’s discuss the security issues you need to deal with while you’re traveling.

This article will not address the repressive governmental strictures on travel in the USA. You can get that from another source.

Domestic Travel

If you’re on a driving vacation, here are some tips.

• Get the car checked over before you begin driving. Make sure the tires are good and properly inflated. Make sure the engine is running correctly. If your car is old and unreliable, seriously consider renting a car for the trip. Nothing can ruin a trip more quickly than a car breakdown.

• Prepare an emergency box for the trunk. Put in flares, a can of tire inflator/sealant, jumper cables, a gallon of premixed engine coolant, a toolbox, a flashlight with extra batteries, a blanket and duct tape. Add more if you can think of stuff you want.

• Make sure that your auto insurance premiums are paid and your coverage is current. If you don’t have Emergency Road Service on your policy, either have it added or buy it from someone like AAA.

Follow the tips you’ll find below. They are as useful when traveling domestically as they are internationally.

International Travel

Most places you will likely travel are tourist areas that will have relatively good safety. However, some like to travel to out-of-the-way places. Just realize that there are risks you take whenever you travel. The greatest risk you take while traveling is being naive and trusting. So, here are some tips. Each one could be an article all by itself.

• Pack light...then pack even lighter. Don’t take big suitcases. Try to get by on the smallest luggage you can. A rucksack or backpack would be best. You’d be better served to take extra cash and buy clothing at your destination. Leave it there when you come home, or buy a suitcase over there and bring the stuff home. Don’t you need mementos of the trip?
• Carry-on bags: Keep your bag under your seat or between your legs. If you are going to place it in the overhead compartment, try to place it ahead of your seat location, so you can see whoever reaches into the compartment.
• Rucksack/backpack rules: line the bottom with a towel or jacket. Bad guys like to slit the bottom of backpacks with a razor and then follow you until your stuff falls out. Bring with you or buy a daypack, a smaller version of the backpack just for day trips. Same rules apply.
• Don't look wealthy; don't flaunt your valuables. Don’t even take valuables with you.
• Never leave a computer, PDA or other electronics in your hotel room. Put it in the hotel safe or take it with you. You do realize that even the finest hotels can have employees that steal, even from the hotel safe, don’t you?
• Keep both hands free. Carrying stuff makes you vulnerable to getting your pocket picked.
• Make copies of your passport photo page, vaccination certificate, travelers check receipts, airline ticket, driver's license, student card, YHA card, etc. Leave one set of the copies at home. Carry a couple of copies in various places in your luggage. Take a certified copy of your birth certificate to help you get a new passport. Keep a list in your trip address book of the numbers of your insurance policies, bank accounts, social security or national identity number and credit card numbers,.
• If you buy new travelers checks, train or airline tickets along the way, not only save the receipts (separate from the checks), but keep a separate note of all the check numbers and when you spend them. Having exact information will help in getting them replaced if lost or stolen.
• Keep your passport, credit cards and cash next to your skin. Keep them in front of you, not in your back pocket or a fanny pack on your fanny. Sleep with them. The best solution is a “passport bag” that you hang around your neck, inside your clothing.
• Keep a small billfold with your “day money” in your front pocket.
• If you buy enough stuff that you need another suitcase to carry it home, seriously consider boxing it and shipping it home.
• Stay in physical contact with your bags unless they are locked in your room or stowed safely on the vehicle of transport.
• Every time you stand up, glance back to see what you left behind.
• YOU carry your luggage onto the bus, train, truck, or taxi with you. Don’t allow a porter or stranger to take your bag for you. You might not ever see it again.
• When you buy a ticket, be sure you actually receive a ticket.
• Don't rent a hotel room that is not secure; lock your room every time you leave it.
• Rinse out your own laundry in the room, and hang it up inside the room. It will usually dry overnight. But sending out your laundry invites theft.
• Be aware of your surroundings everywhere you go. Don’t be so absorbed in sightseeing that you become blind to what’s happening next to you.
• Don’t agree to carry ANTHING home for ANYONE, no matter how bad their sob story or who it is. If they want it badly enough, they can ship it. If you get caught with contraband in your bags, it’s your backside that will go to jail.
• Always count your change after you make a purchase.
• If you are in a bar or restaurant, NEVER EVER leave your drink or meal unattended. Drugs can be squirted into a drink in a millisecond. Don’t accept free drinks from anyone.

If you will simply be highly aware of your surroundings at all times, you will likely be pretty safe as you travel.

Vacation Security: Think Like A Burglar and a Risk Manager

2009-05-18T11:49:00.002-04:00

Vacation security is commonly the last thing on the minds of vacationers. But that lack of focus can make for a sour experience when they arrive home.

This is the time of year when families firm up their plans for summer vacations. While you’re finishing up your plans, do not forget your security plans.

Today’s article will deal with hearth and home, not security while you’re on vacation. That will be the subject of the next article.

To protect your home, think like a burglar. Criminals are constantly on the prowl for targets that look unoccupied. But also think like a Risk Manager. They are “on the prowl” to prevent losses. So, here are some tips to make your house less inviting to a burglar, and some ideas to prevent some home losses.

General Security

1. Do you have a home security system? If you do, do you have an exterior horn that blasts when the system is triggered? Get one.

2. Are your plants and shrubs grown up and obscuring the windows or doors? Trim them down below the windows and away from doors.

3. Install deadbolts on every exterior door. Don’t go cheap, but install high quality hardware.

4. Buy programmable timers and plug in lights, TV and radios to mimic your normal routine.

5. Never store ladders and tools out in the open. Place them inside a locked shed or in the garage.

6. Install blinds on your windows and doors so you can prevent criminals from peering inside your house.

7. Get the lawn mowed regularly. An overgrown lawn is one of the first visual signs a burglar sees and tells him that perhaps someone is not home.

8. Install motion-sensor-triggered lights at door openings. Lights scare burglars.

9. Read your insurance policy and be certain that your coverage is up to date.

Just Before You Leave On Vacation

1. If you are on social networking sites like Facebook or Twitter, resist the temptation to announce to the world when you’re going on vacation. Criminals read social networking sites, too...and, trust me, you’re not that hard to find. If you tell everyone you’ll be gone the last two weeks in June, guess what might happen?

4. Can you afford a housesitter? That is someone who actually stays at your home while you’re gone. Housesitters can be the perfect solution if you’re going to be gone on vacation. They can water the plants, receive the mail and newspapers and take care of the pets. Many times, the cost of a housesitter is less than just the cost to board pets. But look at all the value you’d get for the cost.

Sometimes you can get a trusted friend to take care of the house without actually staying in it. They can feed the pets, collect the mail and do the other regular things around the house.

If you cannot afford a housesitter, or do not have a person to keep an eye on the house, then do the following below.

3. Suspend newspaper deliveries.

4. Notify the post office and ask them to hold your mail while you’re gone. Many people have mail slots at home, but why risk some type of post office mistake? A substitute carrier might not notice your schedule and deliver your mail.

5. Secure your important documents and valuables. Move financial and legal documents, expensive jewelry, family photos and such to a more secure location, like a large safe deposit box at a bank. If you’re leaving your computers at home, back them up onto a disk and put the disk in the safe deposit box.

6. Call the police and inform them of your vacation schedule.

7. If you have a monitored security company, call them and inform them of your schedule. Tell them who has authority to be inside your home while you’re gone.

8. Tell your neighbors you’ll be gone. Leave a key with a trusted neighbor. Ask them to watch your property. Tell them who is supposed to be there (housesitter, lawn service, etc.) Give them your contact information. Ask them to phone police if they hear your alarm system going off or see suspicious activity at your house.

9. Lower and close the blinds on ALL windows and doors. Lock all doors and windows. If you have a sliding door, place a door-width dowel in the door track to prevent the door from opening.

10. Park a car in the driveway, or ask a neighbor to park in your driveway. If it’s your car parked, give a key to a neighbor and ask them to move the car every couple days to give the illusion that you’re home. Don’t leave the garage door opener inside the car. And speaking of garage doors...

11. Unplug the garage door openers before you leave. Criminals can get descramblers that open garage doors. Then, they could open your garage door, drive into the garage, and close it behind them.

12. Forward your land line phone calls to your cell phone.

13. If it’s cooling season, leave the A/C unit running. Just set the thermostat at a higher temperature setting. An exterior compressor than never turns on would be a good sign to a burglar that nobody’s home.

14. Shut off the main water supply to your home. This will prevent refrigerator icemaker lines, water heaters, and other water-fed appliances from leaking while you’re gone. What could be worse than coming home to a flooded house? You’d be shocked at how often this happens.

15. Set the alarm system. Make sure the person taking care of the home has the security code and knows how to use it. Then, when you arrive home after the vacation, change the alarm code.

16. Print out this article and use it as a vacation security checklist.

Then, have a terrific vacation!

Your Free Copy of My Book Is Only A Click Away!

2009-05-16T14:36:00.003-04:00

Insider Blows the Whistle and Reveals All!

Former insurance adjuster shares valuable strategies so you don't get ripped off by your insurance company!

For a limited time, get your copy of his book at no cost or obligation!

FROM: Russell D. Longcore

Dear Friends-

Frankly, I am exhausted.

Selling books is hard work. I think that giving books away might be easier.

Wouldn’t you agree?

From now until midnight ET, June 30, 2009, I’m going to give you a free copy of my hot-selling 220-page book “Insurance Claim Secrets REVEALED!” No strings attached...no cost...no obligation. This is a $29.97 value, given to you at no cost whatsoever.

I’ll also give a copy of the book to anyone on planet Earth that you tell about the offer.

Pay It Forward, folks. Pay It Forward. Do good for others and it will return to you.

I accept 100% of the risk. You have 0% risk and you do not spend even one cent.

So please keep reading for all the details!

After many years as an insurance claims adjuster, I had seen insurance companies delay, defend and deny insurance claims. I wanted to help policyholders maximize their insurance claims, not stand by and watch the insurance companies cheat their own policyholders. The more I wrote, the more the book became an insider’s “tell-all” expose´that benefits anyone with an insurance policy.

I knew that the insurance companies will NEVER reveal the TRUE claims process. Why would they? If they tell you ways that you can collect more money in your claim, they make less profit. And, if you have questions about the claims process, who are you going to ask? Most people will ask the insurance company, who controls the claims process. It’s great for the insurance company, but terrible for you.

Most people I’ve ever talked to don’t know the first thing about how to handle an insurance claim. That puts them...YOU...entirely at the mercy of the insurance company and the insurance adjuster.

Many times, people who have had a loss are on the raw edge of emotion. Isn’t is natural to be fearful in a situation where you don’t feel you’re in control…where you don’t know what will happen next, and you’re scared you’ll be “ripped off?” Most everyone has heard a story from a relative or friend about an insurance claim that went badly.

People like that need solid advice and a strategy on what to do to get their claim paid IN FULL.

They need to understand the claims process completely so that they are not at the mercy of the insurance company, the claims adjuster and the claims examiner.

They need to be paid every dollar that they are entitled to collect.

They need to have peace of mind knowing that their claim was handled correctly.

So I wrote a book. I guess I struck a responsive chord with policyholders.

I wrote the book “Insurance Claim Secrets REVEALED!” (ICSR) and released it in June of 2007. By October of 2007, the book had rocketed to NUMBER ONE in two search categories at Amazon.com, the world’s largest bookseller. The book has STAYED NUMBER ONE continuously ever since!

Even if you enter the most general keyword possible, “insurance,” into the Search box, Amazon will show you over 350,000 books. ICSR is ALWAYS in the top 100, and its highest daily ranking was #21 back in April 2009.

ICSR has sold all over the world at $29.97. I’ve sold it on every continent. Policyholders from America to England to Ireland to Singapore to Thailand have bought this book and used my strategies to collect more money in their insurance claims.

In this book, you will learn:
• The games and scams insurance companies use to cut costs and keep claim payments at the lowest amounts possible
• When it's the right time to use an attorney
• How you can take control of your claim, and not allow the insurance company or claims adjuster to control YOU
• What a Public Adjuster is, and the valuable help you can get from them
• That the insurance adjuster is NOT there to help you
• How to handle insurance adjusters and get paid all you are entitled to collect
• and much more

You will learn:
• What to do when you have a car accident...BEFORE you open the car door or talk to anyone. This one strategy could save you hundreds of thousands of $$$
• How much MORE money I collected (thousands!) in the two little claims I had while writing this book, and how you can do the same things I did
• About Diminished Value on automobiles, and how it can cost you THOUSANDS if you don't fight
• About cheap aftermarket auto parts that insurance companies LOVE, but leave you less safe
• How insurance companies use depreciation to cheat their policyholders, and how to fight back and WIN
• What you MUST do after a loss like a hurricane, flood or fire
• And so much more

Get this book before something bad happens to you!

Get this book after something bad happens to you to keep it from getting worse!

Here is what our readers have said about this book!

“Thanks for writing your book. It explains things so the rest of us can understand.”
Dawn A., Houston, TX

* * * *

“I was really glad when I came across your book. I wish we had come across it sooner. Thank you for writing a book and making yourself available for questions.”
Marie R., Warren, NJ

* * * *

“Hey Russ,
Great book! I am sure I will give your books away as gifts too...”
Andy S., Westminster, MA

* * * *

“I heard the DJ on the local radio station talking about Russell's book, so I immediately downloaded it when I got to work. It has been a great help to me. Not only does it talk about vehicle accidents but property damage and more, as well. I would recommend anyone dealing with an insurance company to buy this book. Well worth the knowledge you gain to determine if the insurance company is treating you fairly. Knowledge is power when dealing with insurance companies.”
Lisa W., Winston, GA

* * * *

“Russell D. Longcore deals with this head-on, and in terms that you and I can easily understand. His honest, direct, straight-forward approach is excellent.

It's not a question of "if" you're going to need to know and understand the facts about which Longcore writes in this book - but "when." Longcore addresses those things which the insurance industry would just as soon you never knew, and certainly won't tell you, until after-the-fact. Based on personal experience, I hope it's not too late for you.

If you're considering the purchase of a new policy, or are about to renew a policy - regardless of the type - READ THIS BOOK FIRST.

INSURANCE CLAIM SECRETS REVEALED! is a book deserving of a FIVE STAR rating, because it will guide you in your thought process, and protect you in ways that you've never suspected, nor imagined. Pass it up at your own peril.”
Sanders H., Atlanta, GA

* * * *

“At the end of Feb. 2008 a tornado went through our neighborhood. Fortunately the damage we sustained was inconvenient damage. We had several trees down, one unfortunately hit the back of our car, and lots of debris, and the top of our neighbor's pine tree was dropped onto our roof. We called our insurance agent to report and started the clean-up. The weekend after the storm I was listening to the radio and heard Russell Longcore being interview by Ilyce Glink. I was so impressed, I immediately got online to his website and bought the E-book. It downloaded right away and I started to read. Fortunately our house is now back together and we are only out of pocket the amount of our deductible. There is so much information in this book and it's easy to read and understand. No one should be without it.”
Dee K, Atlanta, GA
* * * * * * * *

Bookselling is tough.

I published this book myself instead of going begging for a publisher. I’m OK with that, but when you self-publish, you also assume the role of Marketing Director.

Don’t believe the hype that you can write a popular book and the money just rolls in. Hundreds of thousands of book titles are published each year. Most authors who write a book, no matter what kind of book, never sell 1,000 copies...EVER! The big mega-selling books are so scarce it’s ridiculous. No wonder publishers are going out of business at record numbers.

Selling books is exhilarating, though. You can’t imagine how rewarding it is to have readers tell stories of how my strategies have helped them collect all the money they were entitled to collect! I’ve been blessed to change lives the world over!

But What’s In It For YOU?

Simple. I want to give YOU a copy of my book as a marketing experiment to jump-start my other business.

I’ve found that another very effective use for ICSR is to give them as a business introduction gift. I use the books to introduce my business to others. I give such a large amount of value UP FRONT to prospective customers that they will do business with ME, rather than my competitors. Everybody wins.

My other business is “Insurance Quote HQ.” The website address is: www.InsuranceQuoteHQ.com

This is the best website on the Internet for getting no-cost insurance quotes for any kind of insurance imaginable.

How can I say that?

Simple. No one else in the insurance quote business can do for you what I can do.

To receive your Ebook copy of my hot-selling 220-page book, click on “Insurance Claim Secrets REVEALED!” and leave your name and email address. We will instantly send you an email reply confirming your request, and a page with your link where you can download your copy of the Ebook.

What’s in it for Russ Longcore?

When you give me your email address, I will send you a confirmation email to make absolutely certain that you have requested the book. Once you confirm the email, we send you a link where you can download the book. We do not send spam to anyone. And, when you are a part of my email membership, you may unsubscribe at any time for any reason or for no reason at all. We never share our email list with anyone, ever.

As a member of my email list, you will receive emails from me that will offer you terrific information, a regular newsletter about insurance and money, interesting offers and terrific value. My strategies can save you thousands of dollars!

When you use my insurance quote service, I earn a commission, even though you have not spent one single cent. How does that work?

Most successful insurance agents are using some type of prospecting service, in which special companies provide the agents with lists of people (prospects) that have requested rate quotes. These prospects are called “leads.”

Whenever a person goes to my website, completes the easy quote request form and submits it, the lead company pays me a small commission. Then the agents of top companies compete for your business.

You, the “prospect,” pay nothing. Quotes are free. It’s the agent or insurance company that are paying for the leads and paying my commission.

So, the more leads I send them, the more commission I earn. Simple as that.

Don’t Be Misled By Internet Ad Copy

The Internet has made it very easy to get the most competitive rate quotes for all kinds of insurance. And, naturally, it makes sense to shop for the best rates combined with the best coverage, which makes the best insurance value.

There are hundreds of websites where you can get insurance quotes. Some of them are good, some not so good. I have visited scores of these websites, and I noticed a common flaw.

They don’t think like a claims adjuster. They think like sales people.

The other quote websites seem to be all about the lowest cost insurance quotes. Now, don’t get me wrong. I like low prices as much as the next guy.

But, isn’t there usually a difference between lowest price and best value?

Insurance is a service, not really a product. So, great customer service should be near the top of your list of benefits for buying insurance.

But don’t be fixated on great customer service when you’re BUYING your policy. That will only give you a false sense of security.

You should be MOSTLY concerned with the service you get when you have a loss. After all, insurance is all about keeping promises.

You see, friends, it’s not good enough just to get a great low premium on your insurance policy. When you buy an insurance policy, all you have is a bunch of pages stapled together with writing on them.

Your policy ONLY comes to life when you have a loss and submit a claim.

You enter into a contract with the insurance company. You promise certain things, like paying your premium. They promise to pay your claim if your loss is covered.

Every insurance policy will have a section that tells you what you must do when you have a loss and want to file a claim. But, the policy NEVER tells you about the “claims process.”

The “devil is in the details” of the claims process. The insurance companies all rely on the fact that their policyholders don’t know the claims process. That lack of knowledge helps the insurance companies hold down claim settlement amounts. That increases their profits...but at your expense.

So, What Can You Do To Win?

You MUST become more “claims-conscious” than price-conscious.

Saving a few hundred dollars in premiums is great, but it won’t change your life. However, your life could be permanently altered if you have a big claim and don’t collect every dollar you are entitled to collect. Or, not having enough insurance could ruin your finances forever if you are sued in a liability issue.

So FIRST, let me help you become claims-conscious! When you read my book, you’ll become familiar with the claims process and the super-valuable strategies that help YOU take control of your insurance claims.

Then go ahead and confidently get the best insurance quote and lowest price on your insurance...at NO COST TO YOU!

I recommend a four-step strategy:

1. Get a free copy of my book at “Insurance Claim Secrets REVEALED!” to get the strategies you’ll need to add hundreds or even thousands more dollars to your claim settlements. You’ll also learn crucial things you should do to protect yourself BEFORE you have a claim.

2. While you are reading the book, go to: www.InsuranceQuoteHQ.com and fill out the simple form so that we can get you the quotes you need. This service is also without cost or obligation. Not a penny do you spend!

3. Compare the insurance quotes carefully and make sure that the quotes have the same coverage.

4. Buy the coverage you need at the most competitive rates.

CHECK OUT THIS AMAZING LIMITED-TIME SPECIAL OFFER!!

Between today and midnight ET, June 30, 2009, I’m going to make the book “Insurance Claim Secrets REVEALED!” available to anyone and everyone with a valid email address and an Internet connection. I’m giving a FREE Ebook copy of the NUMBER ONE BOOK IN THE WORLD about insurance claims to anyone who gives me their valid email address!

Then, if you agree with me that shopping for the best rate on the insurance you need makes total good sense, go to www.InsuranceQuoteHQ.com and click through and get a FREE QUOTE! But if you don’t agree with me, and don’t use my website to get your insurance quotes, you still get the f*ree copy of my Ebook...a $29.97 value!

Just LOOK at the vast array of insurance policies we quote:

• Auto
• Home
• Renters
• Term Life
• Pet Insurance
• Health
• Disability
• Long Term Care (LTC)
• Cancer
• Burial
• Annuity
• Business
• General Liability
• Commercial Auto
• Commercial Property
• Professional Liability (E&O)
• Business Owners Package Policy (BOP)
• Workers Compensation
• Commercial Crime
• Group Health Insurance
• Group Life Insurance
• 401K/Retirement Plans
• Supplemental Plans/AFLAC
• Keyman Life Insurance
• Keyman Disability Insurance
• Deferred Compensation
• UK and European Quotes Coming Very Soon
• And the list just keeps growing every week!

Your quotes will come from the top insurers in America today. And when you make a quote request, you’ll get quotes from multiple companies so you can truly compare rates and find your best deal.

SAVINGS ALERT!!

I used this exact quote service in April, and got quotes from eight different companies. I switched insurance companies for my Auto and Homeowners policies and saved $590.00 per year! I was shocked at that kind of savings, since I watch my premiums very closely from year to year. My new policies also have better coverage than I had before.

Could YOU get that kind of savings? You’ll never know until you get the quotes!

By making this stunning book offer, I am showing my trust in you. I am sowing good seeds in good ground, and I expect a good harvest. I’m betting that the majority of people who receive a free copy of the book will use my insurance quote service to get the best insurance rates possible. It only makes common sense.

So, I’m not giving you a gift AFTER you make an insurance quote request. That is an “incentive”offer in which you are forced to make a quote request to get the book.

I’m not playing that game.

I’m giving you a no-obligation gift of my book. I’m confident that you’ll see the value that I’m giving you. I’m also confident that, because of that value, you will trust me to get you the best insurance quotes available. But you get the gift whether you make a quote request or not.

To receive your Ebook copy of my hot-selling 220-page book, click on “Insurance Claim Secrets REVEALED!” and leave your email address. We will instantly send you an email reply to confirm your request, and a page with your link where you can download your copy of the Ebook.

Friends Don’t Let Friends Get
Ripped Off By Insurance Companies

When you get your copy of the book, why not tell everyone you know how to get a free copy? There’s no downside, only upside. They will get a book that could help them collect thousands more dollars (or Euros, or Pounds, or Pesos, or Bhats, or Yen, or Rupees) in their claims settlements. Your friends will thank you for referring them to this free book offer. They will especially thank you if they ever have an insurance claim!! Then, if they save some money on their insurance premiums, they will REALLY be glad you are their friend!

If you have an email list for your business, send this offer to your list.

Pay It Forward, folks. Pay It Forward. Do good for others and it will return to you.

Send this amazing offer to everyone in your Address book. Don’t leave anyone out. Put this offer on your Facebook page. Twitter a link to this page.

No other insurance quote website in the world can offer you this winning formula for maximizing your insurance claim settlements AND getting the best insurance rates! No matter if your claim is a homeowners, renters, auto, business, etc...THESE STRATEGIES WORK EVERY TIME!

Don’t wait another day! Click Here NOW for your free book!

Thanks for your business!

Russell D. Longcore, Author and owner
www.InsuranceQuoteHQ.com
www.InsuranceSecrets.com
www.WebMarketingHQ.com
www.SuperArticleDirectory.com

P.S. I just completed the manuscript for another book. This one is dedicated to claims strategies for businesses and commercial entities. The book’s title is “Commercial Insurance Claim Secrets REVEALED!” . This new book will be available by September 1, 2009 worldwide at $49.97. Watch for it...I might give this book away, too!

2009-04-27T14:35:00.000-04:00

Medical Tourism: Could Medical Tourism Save Your Life?

A growing number of people worldwide are seriously considering a new phenomenon called “Medical Tourism” as an answer to high cost and/or unavailable health care. Others who have already used medical tourism are praising it as a terrific solution to an ongoing problem.

If you don’t live in the US, you may still have some interest in medical tourism–perhaps your health care provider doesn’t cover a procedure you want, or maybe the wait for the procedure is too long. For those people worldwide without health insurance, and with limited access to the health care system, going to another country for a medical procedure could literally save your life.

The cost of medical care here in the United States is high and going higher. However, the World Health Organization ranks the US healthcare system as #37 in the world. We are behind nearly all Europeans nations, Saudi Arabia, Chile, Colombia and Costa Rica.

So, you might survive your medical condition and treatment. But will you survive financially when the medical bills arrive at your door?

For a growing list of reasons, Medical Tourism is an idea whose time has come.

There are two prominent resources for Medical Tourism listed below:

PlanetHospital.com

PlanetHospital began in 2002 as a coordinator of overseas healthcare for the uninsured desiring to travel abroad because they could not obtain or could not afford healthcare in the US or their respective country. Over time, as news of medical tourism spread, carriers, employers and self-insured groups began to ask PlanetHospital to explore ways that would allow PlanetHospital to solve their skyrocketing healthcare cost problem. Consequently, while maintaining their commitment to individual self payers, they expanded into healthcare solutions. As a result, over the past two years, PlanetHospital has developed several products for the marketplace. Most of their products center around four critical needs:

1. Self insured companies and their related partners (such as Stop Loss agencies, TPAs, and MGUs)
2. Uninsured and underinsured individuals
3. Healthcare plans that need to control expenses
4. Immigrants and guest workers who need affordable healthcare while working in the US.

I strongly urge you to spend some time touring their website at: www.planethospital.com

HealthCare Tourism International

HealthCare Trip, a 501 (c) (3) non-profit service of HealthCare Tourism International, was started on April 1, 2006 as a portal and service that connects all people interested in healthcare abroad with safe and effective information and accreditation. In addition, they do not have any financial partnerships or arrangements with for-profit healthcare tourism operators, hospitals, or providers, so that they may maintain a non-partisan approach to safe healthcare services abroad. HCTI is the world's first 501 (c) (3) non-profit organization specifically for health travel safety.

Visit their website at: www.healthcaretrip.org

Medical Tourism includes many of the following specialties in Medicine.

Alternative Medicine

There are many treatment procedures with long histories of success that are not approved and available in the US. For example, German cancer specialists have alternative treatments that are much more successful than traditional American procedures. Other alternative medicine is found in heart disease, for example.

Nursing Home/Long Term Care

In order for Medicare to pay for nursing home care, one must be basically broke (under $2500 in assets). If you do not have Long Term Care insurance, the monthly costs can easily run between $3,000 and $5,000. In other countries, high quality nursing care can be found for less than $50 a day.

Dental

Some of the most popular and widely-used medical procedures are dental procedures. With only half the US population covered by dental insurance, Americans are streaming overseas for high quality, low cost dental care. Medicare does not cover dental work, and elderly people have elderly teeth that require more care than the young.

In certain areas of Prague, Budapest, Bangkok and Tijuana, streets are lined with dental clinics. The savings the patients realize can more than compensate for their travel costs. Teeth caps that range from $750 to $1,000 in the U.S. cost $150 in Mexico. In Budapest, a top-quality crown costs $780, compared with $1,200 to $2,000 in the United States. In Great Britain the average cost of an implant is $3,500, but in Budapest you can get it done for $1,000.

What about the quality of the work? According to the non-profit group Healthcare Tourism International, their surveys of patients found high levels of satisfaction. But that should come as no surprise. A spokesman from the New York University College of Dentistry states that they bring in over 100 dentists a year from 33 countries, train them in advanced procedures, and send them home.

In March 2008, FOX News reporter Lori Lundin blogged about her husband’s dental excursion to El Salvador. The quote they got in the US for the dental work he need was $60,000. They had the work done in a world-class Salvadoran facility for about $19,000. He had the procedures done and experienced no pain, plus they had a tropical vacation while they were there. Lundin figured that the total cost including travel expenses and lodging was $30,000.

Cosmetic Surgery

Tummy tuck, Breast Augmentation/Reduction, facial, liposuction, butt/thigh lifts and other cosmetic procedures can be done through Medical Tourism.

Conventional Treatment

Medical procedures include:

• Fertility
• Orthopedic Surgery
• Heart Surgery
• Bariatric
• Cancer/Radiation
• Eye and vision
• Gynecological
• Lung procedures
• ...and many others

Pharmaceutical purchases

Pharmaceuticals outside the US cost a small fraction of US prices. For the most part, the manufacturer is the same as you would find in an American pharmacy. Countries like India, Brazil and Thailand have huge generic pharmaceutical industries, and many of their companies are importing product into the US. Patients can save hundreds per year by buying drugs outside the US.

Travel benefits

One of the other benefits to medical tourism is that, depending on how long you stay for your medical procedures, you may be able to take in the sights while you are being treated. Imagine yourself on a Costa Rican beach while you wait for your dental work to be completed! Picture yourself attending the Prague Symphony while you are in the city for your medical treatment. Wonderful!

Caveat Emptor

As with any major purchase, you should do extensive research before you spend your money. Do not trust ANYONE just because the letters “MD” are tacked onto his name, or because he’s wearing a white lab coat. Spend the time necessary to thoroughly investigate any medical provider. Then, make an informed decision.

Medical Tourism can be a tremendous money saver for you, and can provide you with world class medical treatment and a memorable vacation. Good luck and good health!

Auto Insurance: Is “Pay-As-You-Drive” The Next Big Thing?

2009-04-24T11:16:00.000-04:00

Do you own a car and drive very little? Perhaps your situation is like this:

• You are elderly and only drive to and from the market.
• You live and work in a small town, or work close to your home.
• You travel a lot, and your car is parked at home for days or weeks at a time.
• You are in the military, and deployed outside the US for many months at a time.
• You own a pickup truck that you only use on weekends to run errands. (that’s me)

“Pay-As-You-Drive” (PAYD) is the concept of linking the amount you pay for auto insurance to the number of miles you drive each year. The more you drive, the more you pay. The less you drive, the less you would pay.

Drivers would gain the most savings from Liability and Collision coverage. If a person carried Comprehensive insurance (fire, theft, glass breakage, etc.) on their vehicle, that likely would not change much. A car doesn’t have to be moving for there to be damages under Comprehensive coverage.

There are various ways that insurers would verify mileage under a PAYD program. Some would use GPS tracking systems that automatically tabulate and report mileage. Some use odometer checks or maintenance records.

The concept is becoming more popular in many states. Some insurers are already offering PAYD discount programs in most states. For example, Progressive Insurance and GMAC Insurance presently offer PAYD policies. Progressive ties mileage verification to GPS, and GMAC uses the OnStar system built into many GM automobiles.

PAYD has gained a strong foothold in Europe, with insurers from the UK to Italy offering the program.

Giving people a financial reward for driving less is good ecological and social policy. As with any new program, the devil is in the details, but it is very clear that the “pros” far outweigh the “cons.”

Issues relating to the “Pay-As-You-Drive” concept include:
1. Insurers must give appropriate discounts
2. Discounts must be high enough to motivate people to drive less
3. Miles driven must be monitored without violating people’s privacy

The Brookings Institute issued a report in July 2008 that estimates that the universal adoption of pay-as-you-drive plans would lead to a savings of $270 per vehicle for two-thirds of American households.

Would an annual savings of $270 be a sufficient incentive for the average American to switch to PAYD insurance? The jury is still out.

Check with your insurance company to see if they presently offer PAYD coverage. Or, check with your insurance agent to see if he writes PAYD coverage. You could save some bucks!

Texas Windstorm Insurance: Insanity in the Texas Legislature

2009-04-22T16:00:00.000-04:00

Representative John Smithee, (R) Amarillo, has introduced HB911, which would, if passed and signed by the governor, cause the price of windstorm insurance - required of all coastal property owners - to soar by as much as 60 percent. Additionally, it wouldn’t cover nearly as much and for certain properties, it would not be available at all.

Smithee is the Chairman of the House Committee on Insurance. He cites a need to replenish the Texas Windstorm Insurance Association, the state risk pool, after the onslaught of Hurricanes Katrina and Rita in 2005, and Ike in 2008. The Association became the only insurer available for millions of coastal Texans after many insurers pulled out of windstorm coverage after the hurricanes.

The Texas Windstorm Insurance Association currently carries 215,537 policies totaling $58.6 billion in exposure. According to a December 2008 Texas Windstorm Insurance Association status statement, 43,079 of those policies are in Nueces County, with a total exposure of $11.4 billion.

House Bill 911 would, among other things:*
• Assess windstorm insurance rates based on geographical location, meaning coastal residents would pay more than inland residents. Rates could go up 60 percent for current coastal policy holders.
• Require coastal homeowners to purchase federal flood coverage.
• Cap windstorm insurance coverage at $250,000 per residence (homestead), well below the current $1.7 million cap, leaving thousands of homes uninsurable to their current value.
• Exclude coverage for rent houses, second homes, condominiums, apartments or other multi-family units.
• Decrease the maximum coverage for commercial buildings from $4.1 million to $1 million.
• Decrease the maximum coverage for government structures, such as schools and courthouses, from $4.1 million to $2.1 million, meaning those entities would have to use tax dollars to purchase more expensive, private insurance, if it’s available, to make up the difference.
• Create a 60-day waiting period before losses could be sought, as opposed to current policy, which prevents new coverage once a hurricane is in the Gulf of Mexico.
*Source: House Bill 911 and an analysis from the Galveston Windstorm Action Committee Inc.

I have no problem with higher premiums for coastal policyholders. That is simply accurate underwriting. Happens in all types of insurance. But don’t be fooled. If rates go up at the coastal states, they will rise state-wide. Texas is a windy state.

But that’s where my agreements end. The rest of this bill is trash.

Here are the elements of the bill I oppose:

Caps on windstorm coverage - Don’t cap coverage, charge the proper premium amount for the risk.

Requiring coastal property owners to buy Federal Flood insurance - it’s tyranny to force a property owner to insure for flood. If the owners want to remain uninsured, it is their right. That doesn’t mean a lienholder could not require flood insurance as a requirement for a mortgage. But that is a collateral protection issue. The federal government does not have a security position in a homeowner’s property without some mortgage in place (Freddie Mac, Fannie Mae, VA loans, etc.) To require flood insurance is a violation of property rights.

Excluding coverage for non-homestead dwellings, rental homes, apartments and condos - what kind of idiocy is this? There are millions of second homes, rental houses, condos and apartment buildings in the 14 coastal Texas counties. How would making them uninsurable help the situation?

The 60-day “deductible.” Texas law now states that, once a hurricane or named storm enters the Gulf of Mexico, new coverage cannot be purchased. But those storms usually make landfall, if at all, within a few days. In addition, in the peak of the hurricane season, storms are seldom 60 days apart. Look at Katrina and Rita, about 30 days apart. This proposal hurts Texans.

Smithee is from Amarillo, a city over 650 miles from the Texas Gulf Coast. That’s a distance equal to the distance from New York to Charlotte, North Carolina. I know that’s somewhat obscure, but this nut case is a long way from the water. It illustrates just how far out of touch with reality he is.

So, if a bunch of insurers have stopped writing windstorm coverage in Texas, and the Texas Windstorm Insurance Association is the insurer of last resort for many Texans, where are they supposed to go to get insured to value?

This kind of legislative nonsense could bring the Coastal economies to a screeching halt. Lenders would stop lending on properties that could not be insured to value. Insureds with losses could lose everything.

Texans, both inland and coastal, need to bombard their elected representatives with their opinions on this very bad bill and demand that it be rejected.

In the film industry, there is the widely known name of Alan Smithee. It is an official pseudonym used by film directors who wish to disown a project because they were so disgusted with the final product. I can only hope that someone paints the name “Alan Smithee” on this horrid bill.

UK Vehicle Breakdown Coverage: Europeans Have The Advantage

2009-04-20T17:33:00.000-04:00

You’re all familiar with insurance policies on your auto or commercial vehicle. Those policies exclude mechanical breakdown.

You’re all familiar with Road Service memberships, or Towing and Car Rental Endorsements that you place on your auto policies.

Well, European insurers have bridged the gap between those coverages with a product called “Breakdown Cover.” Breakdown Cover is a full Europe-wide rescue and recovery service for both breakdown and accident. It is not available in the USA..but should be.

Imagine going out for the day with the family to spend time together and your car breaks down on the way. This will ruin your plans and leave you by the road for hours until you can get the car fixed, not to mention costing a fortune. By adding Breakdown Cover to your auto policy, you can ensure that if your vehicle breaks down, you will be back on the road in the shortest amount of time. If your car cannot be fixed at the side of the road, you will be taken back home or to the garage where it will be fixed while you wait.

With Breakdown Cover, no matter what happens, help is less than an hour away.

If your vehicle is immobilized as a result of mechanical breakdown, fire, theft or attempted theft, Breakdown Cover will arrange and pay for:

• roadside repair (including one hour of labor) or recovery to a suitable repairer or your home
• up to one hour of assistance to try to repair the vehicle
• if the vehicle cannot be repaired at the scene, to arrange for it to be taken, with the driver and passengers, to a suitable garage for repair at your cost
• if the vehicle cannot be repaired the same day, it will arrange for:
- the vehicle, transport of the driver and up to six passengers to be taken home or to your destination and, at your request, the vehicle will be taken to a garage of your choice within 15 miles, or alternatively;
- we can provide one nights hotel accommodation for the driver and passengers, or
- a replacement hire vehicle for up to 24 hours
• chauffeur to your home if the sole driver is injured or ill and is unable to drive
• a message service, informing up to two people of your breakdown
• repatriation of driver, car and up to six passengers to your country, following an accident abroad, where the car cannot be repaired in time for your return home.

Don’t Be Misled! This Is More Than Towing Coverage

The main reason people do not add this inexpensive coverage to their Auto policy is that they think it’s just roadside assistance or towing service. But you can see here that Breakdown Cover is much more than towing coverage.

Strategy for Breakdown Cover for European Motorists

1. Call your insurance agent and add this valuable cover to your auto policy.

2. Go to any insurance quote service online and you’ll likely find Breakdown Cover. Simply fill out the online form to get a quote. Once you find the combination of best coverage and best price, purchase the Cover.

3. Once you receive your Breakdown Cover policy, take the time to read it carefully. It’s always best to know your coverage before you need to use it.

Health Insurance: Top Five Strategies to Lower Your Medical Bills By Thousands

2009-04-16T13:05:00.000-04:00

It’s a typical health insurance scenario. You or a family member has some medical procedure done. It usually involves a hospital stay. Within a few days or weeks, all of the bills come to you from the doctors, the hospital, the anesthesiologist, the labs, the radiology department, the surgeon...everyone who had a part of your health care event.

If you have health insurance through your employer, you’re usually only concerned about the amount of the bills not covered by the insurance. That would be your deductible amount and any co-pays you might have.

But what if some medical procedures are denied? What if some are underpaid? How do you challenge the determinations of the insurance company examiners?

Those bills can be in the thousands of dollars. For more serious illness and treatment, the bills can be in the hundreds of thousands of dollars.

Unfortunately, many of the bills are incorrect...sometimes wildly incorrect. Billing miscommunication happens daily on all levels. Doctor to patient, doctor to coding staff or billing service, billing service to insurance company, and insurance company to patient. Many miscommunications are due to poor interpretation of the facts. The right hand doesn't know what the left hand is doing.

The patient is caught in the middle, doesn't know who to believe, and being the ultimate bearer of the financial obligation, many times just pays the bill out of frustration. There is no average case, all situations are different, and no two problems are the same.

But, what can be done? How can a regular person...an average American faced with giant medical bills...determine the correct medical charges and get correct medical bills?

Strategy #1: Remain calm.

When calling the insurance company to dispute a payment amount or challenge a denial, insist on obtaining the full name of the person you’re speaking to. If they refuse, ask for a supervisor. I also strongly recommend recording every call. When you call into the insurance company, you’ll regularly hear that “this call may be monitored or recorded for quality purposes.” Don’t you believe it. They are covering their butt in case the claim goes into litigation. Get a recording of your own. Make sure you know the law on recording conversations in your state. You can find that information at: www.insurance-claim-secrets.com/support-files/phonerecordinglaw.pdf

Strategy #2: Become aware of “hot spots” in the health insurance billing process that are the source of many errors.

A major source of errors is the “superbill” filled out by your doctor. It is a long form with row after row of medical procedures, types of tests, diagnoses, types of treatment and codes. If the doctor checks the wrong box it can lead to a claim denial. For instance, a woman may be covered for a mammogram for a typical “wellness checkup doctor visit.” But if the doctor checks a different reason for the visit, the insurer might not cover the mammogram.

If the insurance company denies the claim in that instance, you need to get the doctor’s office visit file notes to see just what the doctor wrote in your file. Send the notes to the insurance company along with the explanation of the doctor visit. This one strategy could turn a claim denial into a claim paid.

Strategy #3: Ask for Credentials

Insurance companies use the term “not medically necessary” frequently in denial letters. This is another way of saying a claims processor is questioning your doctor’s judgment. If you get this denial message, call the insurance company and ask for the name and medical credentials of the person doing the second-guessing. Be cordial and polite, and take good notes. Record the conversation. If you find that the credentials of the claim processor are less than your doctor’s credentials, then send a letter to the insurance company, Certified Mail, requesting a medical review by a doctor with appropriate qualifications. For example, if you have a thyroid problem, ask for review by an endocrinologist, not just the insurance company’s medical director, who may have a completely different medical specialty.

Strategy #4: Separate Multiple Services

Multiple medical services that occur on the same day can also lead to a claim denial, especially if the doctor sends the insurance company two separate bills. So a bill from the doctor for reading an X-ray can get confused with the X-ray procedure that happened on the same day. The insurer may see them as duplicate bills and denies one of them...probably the larger of the two. So, get copies of the bills, highlight the separate charges, include a letter of explanation and send it all into the insurer. You might turn a denial into a payment.

Strategy #5: Retain a Patient Advocate

A Patient Advocate is a person or company that

• Organizes the endless bills, statements and claims forms
• Appeals denials of claims and incorrect payments
• Negotiates settlements with medical providers

The Patient Advocate gathers all the medical bills for a patient, analyzes them for accuracy, works with the insurer and medical provider to get the bills corrected, and negotiates settlement of the bills. They can cut thousands out of incorrect bills.

Finally, remember that everything about a medical bill is negotiable. Medical providers constantly accept negotiated amounts as payment in full. Don’t be the guy that “pays retail”...NEGOTIATE!

You can find out more about Patient Advocates at: www.insurancenightmare.com

Health Care Costs: Patient Advocates Can Save You Thousands

2009-04-16T13:03:00.000-04:00

You or a family member may have recently had some health care event, such as a hospitalization. Now, over the coming days, the medical bills will arrive at your home. Every medical provider who contributed to your treatment is going to send a bill, and you are the person who bears the financial obligation for payment. If you have health insurance, the insurer may pay a large percentage of your medical bills.

However, an alarmingly large and growing segment of the American population lives each day without health insurance. Insurance experts estimate that over 48 million Americans are living without health insurance. And that number of uninsured persons is expected to increase quickly as the economy worsens and unemployed workers lose their insurance coverage.

When those bills show up after a health care event, a serious financial crisis happens. That patient, or the patient’s family, has to figure out a way to pay those medical bills. Those bills can be in the thousands of dollars. For more serious illness and treatment, the bills can be in the hundreds of thousands of dollars.

If you make mistakes while taking care of these medical bills, you could put yourself in a financial situation from which you could never recover.

Think for a moment how ridiculous the system is for providing medical services. You go to your medical provider for a visit. No one gives you a price list of services. You are not told how much ANYTHING costs while you’re being treated. Usually you find out the cost of your medical services when they present the bill to you.

Would you agree to buy groceries like that? Would you get your car repaired with that kind of billing arrangement? Of course not! You wouldn’t even bury your dead cat without knowing what it would cost!

But, in medical services, ignorance about billing is the accepted method among most consumers.

Sadly, many of the medical bills are incorrect...sometimes monstrously incorrect. Billing errors happen daily on all levels...Doctor to patient, doctor to coding staff or billing service, billing service to patient.

So, what can be done? How can a regular person...an average American faced with giant medical bills...determine the correct medical charges and get correct medical bills?

Retain a Patient Advocate.

Hardly anyone knows about Patient Advocates. You can be sure that the medical providers and insurance companies will NEVER tell you about them.

Why?

Think about it from an insurance company’s viewpoint. If the patient hires a Patient Advocate, and the Advocate does his job, the chances are good that the insurance company will pay more on the patient’s claim.

Think about it from the medical provider’s viewpoint. If the patient hires a Patient Advocate and the Advocate does his job, the chances are good that the medical provider is going to receive substantially less money for his services.

A Patient Advocate is a person or company that

• Will collect all your bills, claim forms and statements, even if they’re in a “shoebox”
• Analyzes the bills
• Submits appeals for incorrect charges
• Negotiates settlements with medical providers

The Patient Advocate can cut hundreds or thousands of dollars out of incorrect bills.

EVERYTHING in a medical bill is negotiable. Don’t be the sucker that pays the bills without making sure they are accurate. Medical providers negotiate their bills with insurance companies EVERY DAY. Why should you pay more?

NEGOTIATE!!

You can find out more about Patient Advocates at: www.insurancenightmare.com

Chinese Drywall: Are Your Building Damages And Health Symptoms Covered?

2009-04-12T16:25:00.000-04:00

During the recent housing boom of the early 2000s, the Chinese imported over 250,000 tons of drywall to America. Chinese drywall was abundant and cheaper than American drywall, and builders willingly used it in residential and commercial construction. Experts estimate the Chinese product was used in over 100,000 homes and businesses in America.

Much of the importing occurred between 2004 and 2008, as a drywall shortage occurred due to the multiple hurricanes that struck the Gulf Coast states. Consequently, most of the product complaints are coming from building owners in the Southeast and Gulf Coast states.

American drywall is made of gypsum, a mineral mined throughout the world for millennia. It is water soluble and used for drywall and plaster as well as other uses. Chinese drywall is made of fly ash, a waste by-product of burning coal.

Recently, homeowners are reporting that the Chinese wallboard gives off fumes that corrodes copper pipes, blackens silver jewelry and causes health problems for people living near it.

The source of the reactions has not been nailed down (pardon the pun). It could be the fumigants sprayed on the drywall in the manufacturing process. It could be a chemical reaction with the fly ash, its base ingredient. But homeowners complain that the drywall gives off noxious sulfur-smelling fumes that are damaging the homes and causing sickness for their families.

Homeowners and businesses are lining up to file lawsuits against manufacturers, suppliers and builders, claiming damages for both property damage and bodily injury.

Builders are also filing lawsuits against manufacturers and suppliers, stating that they did not know that the building material was inherently defective.

So, the property damages occur when property owners have to remove the Chinese drywall and repair or replace other property damaged by the fumes. Losses also occur when people are unable to continue living in a contaminated dwelling. Bodily injury losses occur when people are sickened and seek medical treatment.

But are the damages covered by property insurance?

No, they are not. A homeowners policy specifically excludes coverage for “faulty, inadequate or defective...materials used in repair, construction, renovation or remodeling.” In a commercial policy, coverage is excluded for “latent defect or a quality in property that causes it to damage or destroy itself.”

Those exclusions are for “first party” coverage, meaning you insuring property you own. But manufacturers, suppliers and builders are wide open for claims on their Products & Completed Operations Liability coverages.

Your strategy is to check to see if the drywall you used is Chinese drywall. Then, carefully document your damages for property damage and bodily injury damage. Then, contact a Personal Injury attorney to explore your options for recovery.

Health Insurance With A Warranty?

2009-04-12T16:24:00.000-04:00

The health insurance system in America is terminally ill. Americans have the highest health care costs on the planet. You’d think that expenditures like that would result in the healthiest population on the planet.

That is not the case.

For all our costs, the general health of Americans doesn’t stack up well against other Western nations. America has an intolerably high infant mortality rate, as well as a growing list of chronic diseases, including heart disease, diabetes and cancer.

To compound the problem, the economy is crashing, leaving millions more without health insurance. An estimated 48 million Americans are without health insurance. As businesses downsize and close, more Americans lose coverage. This crisis will give Congress and the Obama Administration the political cover to finally nationalize health care in the United States.

But is that the best way to solve the problem?

Some health care providers are innovating in a quest to provide higher quality care while controlling costs. One shining example is the Geisinger Health System in Pennsylvania.

Geisinger Health System serves 43 counties across Pennsylvania, accounting for over 2.6 million patients who are served by over 750 doctors.

Geisinger is perfecting a new method of health care that rewards doctors for taking better care of their patients, rather than the traditional way of paying them for the sheer number of patients they can see and the special treatments they get. So far, Geisinger is finding that quality improvement may actually reduce overall costs.

W. Edwards Deming, the father of Total Quality Improvement, would be proud.

Geisinger has developed a system that incorporates important strategies such as:

• Coordinated primary care - a team of doctors, nurses, technicians and a case manager coordinate all care for each patient, especially those with chronic conditions like heart disease, pulmonary disease or diabetes. They do what is best for the patient, not what is most convenient for the provider.
• Surgery with a warranty - typically, if you have to return for complications from surgery, you incur new health care costs. Not at Geisinger. Starting with cardiac surgery, they began offering a 90-day warranty at the same time they instituted checklists of best practices for surgical procedures. It has lowered readmission rates by44%.
• Electronic health records - the new records system allows doctors and patients to all access the same patient information with a mouse click. Patients and doctors can email each other, schedule appointments and patients can monitor their own progress.
• Patient involvement - encourages preventative health care, such as lifestyle changes.

These are the kinds of innovation that will always be found in the free enterprise system. Geisinger Health System is a for-profit company with revenues over $3 Billion per year. The profit motive is notably absent in all government activity, innovation and efficiency are seldom found there.

I don’t believe that government control of the health care of the nation is a good solution to the myriad problems. For the best example of government-run health care, look at the failures of the Veterans Administration. The Federal government has botched a system that affects only a few million people. We can only dread the day when Washington takes over health care for the entire nation.

Insurance Claims: Hire The Right Restoration Contractor

2009-04-07T17:11:00.000-04:00

This article is Chapter Nineteen of my new book, "Commercial Insurance Claim Secrets REVEALED!" The book is presently in manuscript form, and we anticipate a publishing date of June 1, 2009.

* * * *

A restoration contractor is very different than a general contractor. Most general contractors who do remodeling or new construction do not have the skills and knowledge that a restoration contractor has.

For one thing, the restoration contractor is very familiar with the insurance claims process, and how insurance companies pay for repairs. The restoration contractors use similar estimating software to that used by the adjusters and insurance companies. A general contractor who submits an estimate in an unacceptable form to the insurance company or adjuster just annoys them, and slows down your claim.

Another reason to find restoration contractor is that they are usually full service contractors. They will be able to do temporary or emergency cleanup and board up. They will own the equipment for drying and water damage remediation. They are familiar with the kinds of damage that fires, wind and water do to commercial building. Finally, they are experts at writing accurate estimates for these specific kinds of damages.

General contractors who do not make their living in insurance restoration do not have this kind of equipment and experience. Period.

Do a search online for restoration contractors in your area. You can also look in your local Yellow Pages under “Disaster Restoration,” or “Fire Restoration,” or “Water Damage Restoration.” Look for logos in the ads that say “DKI,” or “RIA” These are professional organizations for restoration contractors. You can also go to the following websites to identify restoration contractors in your area.

DKI - Disaster Kleen-up International. Headquartered in Chicago, IL, is a network of the leading independent property damage restoration contractors across North America. You can ask for a referral at 888-735-0800, and also find them at: www.disasterkleenup.com

RIA - The Restoration Industry Association is the leading trade association for cleaning and restoration professionals worldwide, and the foremost authority, trainer and educator in the industry. You can ask for a referral in your area at 800-272-7012, or the website: www.restorationindustry.org

Call at least two restoration contractors, if possible. Ask them to meet you at your business location to inspect the damage within 24 hours of the loss.

Remember this important point…there is NOTHING in your policy that requires you to get two or three estimates. Meeting two contractors is just a smart way to find one that you like best and want to work with. Interview them about their experience and expertise. Check out their references, and ask them for a list of satisfied customer that you can call by phone. Get a copy of their insurance certificate to be sure they have liability and Workers Compensation coverage. Call the insurance companies to confirm coverage. ONLY AFTER THE CONTRACTOR CHECKS OUT should you hire him.

You might see many restoration contractors drop by after a loss to see if they can help you with temporary repairs, like tarps on roofs, board-up, and contents removal. Don’t be annoyed...they are trying to get some new business. Appreciate their effort for what it is. Get written estimates from them BEFORE you sign ANYTHING. They will sometimes tell you that they were sent by the insurance company (maybe true, maybe not), and that it is your responsibility to protect your property from further damage (which is true). They may tell you that they will “direct bill” the insurance company (which they may do).

WARNING!!

Be very careful on contents removal, sometimes known as “pack out.” The more contents they clean, the more money they make. The cost to clean something is usually a fraction of the cost to replace it. However, I have seen restoration contractors charge more to clean an item than it costs to replace it. So, when the restoration contractors are involved, the claim value may be reduced, which benefits the insurance company. That is why many adjusters will bring a restoration contractor with them to the loss location. Remember that many policies pay REPLACEMENT COST, and following major fires, large windstorm and water losses, your damaged possessions could be replaced instead of being cleaned. Every penny that goes for cleaning your contents comes from the contents limit of liability shown on your policy declarations page. So, theoretically, a substantial amount of your insurance money to replace your items could go to the restoration company to only clean the items!! If the restoration contractor cleans a bunch of your property, and you reject it as unusable, there will be less money for replacement of your property.

So, if the adjuster and restoration contractor are all gung-ho to pack-out your property, that’s probably a good idea. Getting your property off the loss site will at least prevent it from further damage. But you should be the person that controls which contractor packs out your property. You should also bet the person that controls what gets cleaned and what gets thrown away. This may take you a significant amount of time to sort through, but that time investment will mean a much larger settlement amount.

Under no circumstances allow the adjuster or restoration contractor to make the determination about what business personal property is repairable or replaceable. The adjuster will typically want to clean items and give them back to you. You own the property...it’s your call. Fight hard about this issue!

ANOTHER WARNING!!

Sometimes, adjusters and insurance companies will tell you that you must use their “approved contractor.” Unless you can find that requirement written into the terms and conditions of your insurance policy, don’t believe it. It’s your property. YOU be the person that makes the decision on which contractor or other vendor to use.

The contract for cleaning and restoration of your property will be between you and the contractor...not the contractor and the insurance company. MAKE SURE YOU ARE IN CONTROL!!

Workers Compensation Insurance: Is The System Stacked Against Workers?

2009-04-07T17:09:00.000-04:00

Perhaps someday I will write an entire book just about Workers Compensation (WC) Insurance. Many experts before me have already done so, and I’m reluctant to plow that ground again. But I do have some comments about WC that you should know.

Workers Compensation Insurance is a very flawed system in every state of the United States. It began with the lofty intentions of politicians in each state who enacted laws to protect injured workers and get them medical benefits and treatment for their injuries. But, like most laws enacted by politicians, there are unintended consequences. Further, business lobbies, insurance companies, trial lawyers and medical lobbyists contribute huge amounts of money to the politicians at both state and Federal levels. Injured workers are individuals for the most part, and don’t have lobbyists.

Would it be too difficult for you to guess which side gets the political favors in Workers Compensation legislation?

Here’s an example of a system stacked against the injured worker. In most states, injured workers are barred from filing lawsuits against employers for their injuries. The injured worker has only the Workers Compensation system in which to receive benefits.

There are two narrow exceptions where the Workers Compensation preemption might not apply, and an employer might be subject to lawsuit:

• The employer intentionally causes injury to an employee. This exception for intentional acts is very narrow. It is not ordinarily enough that an employer creates conditions where there is a very high probability that an employee will be injured. Customarily, the employer must have committed a specific negligent act intended to cause injury to the employee.

• The employer is required to carry Workers Compensation coverage but fails to do so.

In my opinion, the Workers Compensation laws that prohibit lawsuits against employers violates the 7th Amendment, which guarantees citizens a jury trial in civil cases.

The deck may be stacked against injured workers in another way, which is that the injured worker may only seek medical treatment from a list of doctors approved by the employer or his Workers Compensation carrier.

Most injured workers receive medical treatment for their injuries and recover quickly. But whether your injuries are minor or major, the process of filing for benefits and receiving benefits can be complicated and frustrating. Most employees have no real awareness about how the system works, and only become familiar with it once they are sucked into the system by an injury.

If you are an employee who has sustained an injury, you would be well served to consult with a personal injury attorney soon after the injury. Workers Compensation is usually simpler than regular litigation since it takes place in an administrative setting and may have relaxed evidentiary rules. Also, attorney fees are often limited by state statute.

Injured workers typically need to seek legal counsel when they are refused benefits, or are told that they can return to work before they are medically able to work, or are denied disability in spite of disabling injury.

If your employer sends you to a doctor that declares you fit to return to work, even if you do not believe that you are yet able to work again, I recommend consulting a WC attorney before returning to work.

One of the tactics used occasionally by employers is to bring the recovered worker back to a position specially created for that employee to accommodate their injury. Then two or three weeks later, the employer eliminates that position and lays off the employee, ending his eligibility for workers compensation. Presto...no WC claim.

Another tactic is to refer the injured worker to doctors who are more motivated by a long-term business relationship with the WC carrier than accurately diagnosing and treating employees. In that scenario, if the doctor declares too many injured workers to have continuing disability, the carrier will terminate the business relationship and send workers to another doctor who will play the game.

A personal injury attorney specializing in WC can help protect your rights. If you seek counsel from a WC specialist, he or she will typically know the local administrative judges or hearings officers who preside over WC hearings. He will likely also know the doctors and insurance defense attorneys who are trying to block or diminish your claim. An attorney who is plugged in to the WC system in your area is your best resource to help you collect the benefits that you are due.

Insurance Claims: You Must Spend Money to Collect Money

2009-03-31T17:51:00.000-04:00

Insurance claims are getting more and more complicated. Insurance companies are on a mission to increase their profits. That may mean that your insurance company will deny claims, delay claims and defend claims to beef up their bottom line.

The fabled management consulting firm of McKinsey and Company was retained a short time ago by three of the largest Property/Casualty companies in the world. That would be Allstate, Liberty Mutual and State Farm. McKinsey’s mission...as always...is to show companies how to earn more profits. Their final report recommended “The Three Ds”...defend claims, deny claims and delay claims.

All three companies have used this strategy aggressively to boost profits for their shareholders. Concurrently, all three have experienced higher than ever complaints of claims handling. Other companies have noticed the higher profits, and will likely follow suit.

I’m leading with that part of the story to show you that the claims experience you may look forward to...or have had...or are experiencing right now...is not a mistake, or an isolated incident.

So, what can you do when you have a claim?

First: understand that you cannot just trust the insurance company to take care of your claim for you. They are protecting THEIR money. The moment you file a claim, you become their adversary. If you allow the insurance company to handle your claim for you, you are a fool. They will cut corners and pay the absolute LOWEST amount possible to get you to sign a Full Release and close the claim. You will leave hundreds or even thousands of dollars on the table that you could have collected.

Second: just because you have a deductible on your insurance policy doesn’t mean that the deductible amount is all you’re going to have to spend. You need to realize that you might have to spend some extra money to collect the money you’re entitled to collect.

Like what?

- $50-$200 to have your attorney review ALL the documents the insurance company asks you to sign.

- $50-$200 to get an independent appraisal of your car if it’s been damaged.

- $50-$200 to get an independent restoration contractor’s estimate of your real estate property if it has been damaged. Many restoration contractors will do an estimate for free, but be prepared to pay for it.

- $50-$200 to have your attorney supervise your recorded statement with the adjuster.

- $50-$200 for an Independent Medical Examination if you are injured in an accident that was not your fault.

These are just a few of the claims expenses you should EXPECT to pay on your own behalf. Your policy states that it is YOUR RESPONSIBILITY to prove your claim.

But cheer up!! Spending a small amount of money to prove your claim will usually result in you collecting hundreds or even thousands more dollars in your claim settlement.

America’s Health Insurers: Bullies Meet a Bigger Bully

2009-03-25T08:34:00.000-04:00

Think about the depression that we’re entering in America. Millions of people are losing their jobs, and thousands of companies are either laying off workers, closing their doors or dropping employee benefits. Many of those now-unemployed people are also losing their health insurance. There are presently about 48 million uninsured people in the US. This gives Congress the political cover to do what they’ve wanted to do since the Clintons were in the White House...nationalize health care.

I just read an Associated Press report about the health insurance industry. The insurance companies are terrified of the future, which looks like it’s going to include some kind of Federal takeover of health insurance.

America’s Health Insurance Plans and the Blue Cross/Blue Shield Association (BCBS), two giant health industry interest groups, issued a letter to key senators on March 24th. In the letter, they stated that their member insurance companies were willing for the first time to curb the controversial practice of charging higher premiums to people with a history of medical problems.

Although the proposal left open certain loopholes, it’s a pretty big change of the old policy of “risk rating.” In today’s insurance market, insurers charge higher premiums to people with previous medical problems and who are trying to purchase individual coverage. If such a person even gets an offer of coverage from an insurer, many times they cannot afford the premium. However, in group coverage through employers, past medical history is not usually considered.

Last year, the insurance companies offered to forego the practice of denying coverage to sick people.

The conciliatory offers did not extend to small businesses, though. Small businesses with even one sick worker can see their premiums jump up significantly year to year.

It’s somewhat comical to see what the insurance companies will do to save their own skin. For decades, they have been sticking it to individuals on health insurance premiums. But now that it looks like Washington is going to set up national health care that will either be in direct competition with them, or might just put them out of business, they have had a “come to Jesus” experience.

Please don’t misunderstand the tenor of this article. I believe that the free market should dictate health care policy, not government. I believe that nationalizing health care is an unconstitutional usurpation of power. I’m just amused to observe that the bullies in the health insurance industry have met a bigger bully, and instead of fighting, they’re cowering.

If the insurance companies wanted to play hardball with Washington, they could win. All they would have to do is to begin systematically selling off their government securities, such as Treasury Bills and other Federal debt instruments. A small sell-off would shake the very foundations of the Federal Government and threaten to crash the entire financial system.

That would put Congress and the President on the defensive, and stop health care nationalization.

Insurance Appraisers: Property Appraisals and Estimates

2009-03-24T00:22:00.000-04:00

In this article, we’re going to look at how the value of a property claim is determined. This could relate to your real estate property or your personal property, such as your automobile or the contents of your home.

Before we go any further…remember this statement:

THERE IS NOTHING IN YOUR POLICY THAT REQUIRES YOU TO GET MORE THAN ONE ESTIMATE.

Many times, you’ll hear an adjuster recommend that you get three estimates. That’s just not necessary, and wastes your time and money. That procedure had everything to do with price, but has almost nothing to do with quality and value. Your home or your property is not a commodity…a mere rubber stamp of every other piece of property. It should not be treated like a commodity. Don’t let an adjuster get away with this.

Here’s another statement to remember:

AN ESTIMATE IS AN APPROXIMATE COST OF REPAIR OR REPLACEMENT OF PROPERTY. IT IS NOT ETCHED IN STONE. IT IS NOT A CONTRACT TO REPAIR OR REPLACE PROPERTY.

Automobile Damage Appraisals

If your loss is an automobile loss, and your vehicle is damaged, YOU seize the initiative and take your vehicle to the body shop of YOUR CHOICE. It would be best to have your vehicle inspected by the insurance company appraiser and your chosen body shop appraiser at the same time. That way, they can agree on the scope of damages before they start calculating the repair costs.

Read your policy. Some insurance companies actually specify in their policy that you must take your vehicle for repairs to the insurance companies “Approved Vendor.” But most policies do not. However, most insurance companies will try hard to direct you to their “Approved Body Shop Vendor.”

Just remember this. Is the “Approved Vendor” on your side or on the insurance company’s side? Did that body shop make a special deal with you to repair your vehicle? NO! So, just who do you think that “Approved Vendor” is going to be loyal to?

The insurance companies make deals with body shops so the repairs will get done at a reduced price. That usually means cutting corners on quality and using inferior aftermarket parts. You do understand that a car can look great from the outside after repairs, and not be the same car you had before the accident?

In Chapter 23 of my book, “Insurance Claim Secrets Revealed!”, I talk about my experience recently in an auto accident. One of the things I write about is insisting that your body shop appraiser write an estimate using Original Equipment Manufacturer (OEM) parts instead of aftermarket parts. Don’t give in on this point, or you’ll be compromising your safety in that vehicle after it’s repaired.

Once you have an OEM estimate from your chosen body shop, you’ll compare it with the insurance company appraiser’s estimate. You’ll likely find that your estimate is higher in price than the insurer’s estimate. Negotiate from YOUR ESTIMATE, not the insurer’s estimate. Once you’ve gotten agreement on the scope of damages and the amount of repairs, you’re ready to settle that part of the loss.

Don’t sign off on the release until the repairs are completed and you have done and extensive test drive and inspection of the repairs. Once you’re satisfied, then you can consider signing off. Have your attorney review the form before you sign it.

Homeowners and Renters Appraisals

In a homeowners insurance loss, in which the dwelling itself is damaged, the claims adjuster will inspect the dwelling for damage. He will photograph the damage and take measurements. He will make notes of all of the damaged items, and note the quality of the building materials. He will note the cause of the damage, if it can be readily determined. All of that information is commonly referred to as the “Scope of Damages.”

You must get a restoration contractor of your own to inspect the damages and write an estimate. Don’t just accept the estimate of the claims adjuster.

It would be a good idea to have your contractor meet you and the adjuster at your home at the time of the inspection. That way, you can all look over the damage, and you, the adjuster and the contractor can agree on the scope.

There should be an agreement between you, the policyholder, the contractor, and the adjuster on the scope of damages. Likely, you won’t have a chance to accept the adjuster’s scope until he takes the information from his inspection back to the office and enters that information into his estimating software in his computer. Most adjusters will be able to print a copy of the scope and send it to you. You should insist on a written scope of damages from the adjuster.
Don’t sign anything without having your attorney review it FIRST.

Adjusters are human and sometimes miss damages. So do contractors. That’s why there should be an agreement on the scope of damages…before you ever begin discussing the cost of repairs.

Think about it another way. Let’s say you are going to build a new house. Your architect would have to make drawings and specifications of all of the materials that were going to be used to build that house. When it comes time to get bids from contractors, everyone bidding has the same information upon which to base their bid.

It’s no different when you’re getting bids and estimates in an insurance claim.

Once you have the scope of damages, you can then expect to receive the estimate from your contractor and the adjuster. The best way to handle this is to insist that the contractor and adjuster reach an agreement on the amount of the estimate. Once that’s done, the adjuster can report to the insurance company and have them pay the claim.

CONTENTS, or UNSCHEDULED PERSONAL PROPERTY

Get a copy of a JC Penney catalog. Even get two…one Fall/Winter, one Spring/Summer. Get your hands on as many other catalogs as you can find. As you look at the pages of the catalogs, you’ll remember the things that you had in your home. You will find hundreds or thousands of dollars in personal property that you likely would not have remembered owning. Not only will you remember dozens and dozens of items, but you’ll have a retail price from a reputable retailer right at your fingertips.

Please don’t misunderstand what I’m telling you to do here. I’m NOT telling you to write down items on your inventory list that you did not own. That’s fraud, and you can go to jail for fraud. I’m simply showing you a way to remind yourself of things long ago purchased, and possibly stored and forgotten. For example, how many parents bought a vaporizer to run in their children’s rooms at night when the young children were sick? That vaporizer might not have been used in years, but you owned it, and you have a right to collect for it under the terms of your policy.

When you have completed the Contents Inventory Worksheets, make copies and submit the copies to the claims adjuster.

In closing, remember this. All insurance claims adjusters and appraisers use estimating software these days. This software is a vast database of materials and labor for any kind of property. But many companies make a deal with the software designers to write software that undervalues the repair costs for the property. Consequently, when the appraiser uses that software, estimates for repair are consistently lower than the actual costs. That’s why you need your own estimates.

Take control of your insurance claims! Add hundreds or even thousands more dollars to your claim settlements!

Insurance Appraisal Clause: Resolving an Impasse in Your Claim

2009-03-07T11:58:00.000-05:00

What if, after all you’ve done, you and your adjuster/insurance
company are at an impasse on the value of your property? It’s now
time to invoke the Appraisal Clause in your insurance policy. The Appraisal Clause is found in all insurance policies, and was designed to establish a procedure to allow disputed amounts to be resolved by disinterested parties. The appraisal clause can be found in every homeowners policy, in every policy covering commercial buildings, in all business policies, as well as in every renters policy...even automobile policies.

The Appraisal Clause is usually found in the policy under the Heading “Conditions” and/or “What to do after a loss.”

Don’t confuse the Appraisal process with Arbitration. The Appraisal Clause does not bind either party to its findings. In arbitration, the findings of the arbitrator are usually binding on both parties.

The Appraisal Clause is meant to be the method for determining
disputed values. Appraisal cannot be used to determine what is
covered. That is for a court of law to decide. If you have dispute with
the company on whether or not something is covered, then you must
file a lawsuit against your insurer to get that determination.

HERE’S A REALLY IMPORTANT TIP!!! You don’t have to wait until you’re hopelessly deadlocked with the adjuster or insurance company to invoke the Appraisal Clause. The Appraisal procedure has been invoked more often by insurers, who have greater understanding of the terms and conditions of their policies. But you, the insured or policyholder, can do it any time.

I’m not suggesting that you become uncooperative. But occasionally, I
talk to people who are having real difficulties with their adjuster or
insurance company. Taking the claim to Appraisal sometimes stops
all the drama.

In my experience as both an appraiser and an umpire, I’ve found that disputes can be resolved more quickly by appraisal than the resolution you might get with litigation. The cost of the appraisal process is also significantly lower that the cost of litigation.

Here’s what the Appraisal Clause reads in my Homeowner
Insurance policy:

“If you and we fail to agree on the amount of loss, either may
demand an appraisal of the loss. In this event, each party will choose
a competent appraiser within 20 days after receiving a written request
from the other. The two appraisers will choose an umpire. If they
cannot agree upon an umpire within 15 days, you or we may request
that the choice be made by a judge of a court of record in the state
where the “residence premises” is located. The appraisers will
separately set the amount of loss. If the appraisers submit an
agreement to us, the amount agreed upon will be the amount of loss.
If they fail to agree, they will submit their differences to the umpire.
A decision agreed to by any two will set the amount of loss.

Each party will:
a. pay its own appraiser, and
b. Bear the other expenses of the appraisal and umpire equally.”

Each party appoints an independent, disinterested appraiser. In past experience, I’ve seen the insured or policyholder try to appoint his own Public Adjuster as the appraiser. This should never be done, as the PA is not a disinterested party.

The appraisers evaluate the loss independently. The appraisers can still negotiate and reach an agreed amount of the damages. But, if they cannot agree, they work together to choose a mutually acceptable umpire. If the two appraisers cannot agree on the selection of an umpire, either side may appeal to the local court for the appointment of someone to serve in that capacity.

An umpire must also be a disinterested party, and must be impartial, of good moral character and possessing a good reputation. He also must be willing to listen. No umpire should be chosen that has any financial interest in the outcome of the appraisal. Any other consideration other than the hourly rate of compensation for the umpire is not acceptable.

Once the umpire has been chosen, the appraisers each present their loss assessment. Often, this involves informal testimony from the parties involved in the claim. To help the umpire gain a more complete understanding of the details of the loss, the appraisers and the umpire sometimes meet at the loss location and review the loss details. The umpire will subsequently provide a written decision to both parties. If any two parties agree to the amount of the loss, that amount becomes the claim amount. However, if one of the parties does not agree, then the case can still be turned over to legal counsel for litigation.

Question: May the insured or insurer reject the other parties’ choice of appraiser?

Answer: In 2005, the New York Department of Insurance issued a ruling on this question as follows:

“Whether an appraiser appointed by either of the parties is competent and disinterested (or "independent") is a question of fact for a jury and is outside the determination of this Department.”

ANOTHER TIP!! Notice that there are very specific time limits in the Clause. You
MAKE SURE that you choose your appraiser and notify the adjuster
within the time limit in your policy. The time limit for both appraisers
to choose an umpire begins on the day that both sides choose their appraiser.

Watch very carefully to see if the insurance company and/or
adjuster chooses their appraiser within that time limit. If they do not,
they have violated the terms and conditions of their policy.

My recommendation, in the event of an appraisal, is to call a Claims Consultant. You might also consider contacting a public adjusting company in your area. The Claims Consultant or PA know insurance policies, know the Appraisal Clause, and know property values. The Claims Consultant or PA are the perfect choices for helping you prove the values of the property of your claim.

Laptop Recovery Insurance: Your Laptop Is At Risk!

2009-02-26T11:01:00.000-05:00

Can you get your stolen laptop back?

There is a way that you can protect your laptop, and then retrieve your laptop after it’s been stolen.

The Ponemon Institute, a privacy risk management think tank, released an extensive study in June 2008 entitled “Airport Insecurity : The Case of Missing and Lost Laptops.”** They studied laptop security at 106 American airports and found that there is an average of 12,000 laptops lost, missing or stolen at American airports PER WEEK! The airport with the worst record is Los Angeles International, with about 1,200 per week. The nation’s busiest airport, Atlanta’s Hartsfield, was in eighth place with 450 per week.

Further, the study found that only 33% of the laptops within the airport’s Lost and Found Departments are ever reclaimed! That means that the remaining 67% of unclaimed laptops are either sold or disposed of by airport authorities. Can you imagine the amount of sensitive personal and business data contained in those laptops? No one knows what happens to that data, but it is ALL at risk. The Identity Theft risks are astronomical.

In a recovery case, three burglary suspects were arrested on February 1, 2008 by Albuquerque police, thanks to a stolen computer loaded with tracking software. The software is called LoJack for Laptops™, developed by Absolute Software. The tracking software told the police exactly where to find the suspects. The police were also able to recover thousands of dollars in other stolen property at the location.

Absolute Software is the leader in Computer Theft Recovery, Data Protection and Secure Asset Tracking™ solutions. It works this way: You install the LoJack for Laptops™ software and register it at the LoJack website. If the laptop is stolen, you notify your local police and notify the LoJack Recovery Team. The next time your computer is connected to the Internet, the laptop secretly notifies the Monitoring Center of its whereabouts. The Recovery Team can track its location, and provide police with the information they will need to get a search warrant and recover your laptop.

Pricing for LoJack for Laptops™ starts at only $39.99 per year.

My friend here in Atlanta, Cole Harrison, had his laptop stolen from his car recently. He had the Lojack system on the laptop, and notified them immediately when he discovered the theft. Lojack located the laptop the next day…in Thailand.

If you want protect your laptop so you can get it back after it’s been stolen, check out: www.lojackforlaptops.com Lojack boasts a 90% recovery rate for stolen laptops.

For only a small price, you can have the proper coverage you need to protect all your personal and business electronics. Be the smartest person on your block with the right protection. Be the hero to your business with the best coverage. YOU CAN DO IT!!

** To read the entire study, go to: http://www.dell.com/downloads/global/services/dell_lost_laptop_study.pdf

Employment Practices Liability: Is Your Business At Risk For a Lawsuit?

2009-02-20T08:52:00.000-05:00

Employment Practices Liability Insurance (EPLI) is insurance that helps protect you against claims from your employees that result from the general conduct of your business.

Are you, the business owner, more likely to be sued by an outsider or by an employee?
The answer in most cases by a significant and growing margin...is an employee.

According to the Equal Employment Opportunity Commission, the average number of Employment Practices Liability (EPLI) cases file per year is a staggering 80,000 cases. According to a recent study, the average payout on an employee-related claim is up over 30% to approximately $180,000.

This new wave of litigation is not limited to large corporations. Mid-sized and small businesses are being devastated by EPL lawsuits. A recent case illustrates the problem.

A jury in Philadelphia decided in favor of a plaintiff who worked at a water treatment company with fifteen employees. The plaintiff was subject to national origin slurs and sued. After only deliberating for a half hour, the jury awarded the plaintiff $200,000 in back pay, $100,000 for emotional distress, and $265,000 for the plaintiff’s attorneys, for a total of $565,000.

Other crazy awards:

- A jury awarded $80.7 million to a UPS female supervisor who alleged a male supervisor poked her breast during an argument.

- A New York jury found that the NBA sexually discriminated when it failed to make a woman a regular season referee, awarding $100,000 in lost wages, and $8 million in punitive damages.

- State Farm settled a sex discrimination class action for $157 million

- Mitsubishi settled two sexual harassment cases arising out of the same incidents for $45 million

- Publix Supermarket announced an $81 million settlement of a sexual harassment lawsuit

Here are only some of the ways that employees can file lawsuits against employers:

1. Wrongful termination of employment
2. Age discrimination
3. Failure to hire or promote
4. Breach of an implied employment contract
5. Negligent hiring or evaluation
6. Sexual or other workplace harassment
7. Retaliatory treatment
8. Infliction of emotional distress
9. Employment related misrepresentation
10. Violation of employment related laws
11. Adverse change in terms of employment
12. Wrongful reference (deprivation of career opportunity)
13. Failure to grant tenure
14. Invasion of privacy
15. Libel, slander or defamation

Businesses are being destroyed by employee lawsuits. The cost to employers includes defense costs and payment of damages. A business has to defend itself in a lawsuit whether or not there is ever a judgment awarded. It can cost thousands of dollars to simply respond to an EEOC charge without any lawsuit.

How You Can Protect Your Business

The best way to protect your business is by creating an Employee Handbook.

Take the time to create employment policies and procedures for your company. The very act of researching and writing down your procedures will enable you to evaluate how you run your business. Once you have written procedures in place and you take care to enforce those procedures, you can better defend your company against employee allegations and lawsuits.

Define hiring processes, and create checklists for the entire hiring process to make sure all laws and procedures are followed.

Define the employee disciplinary and/or termination procedures.

Once you have written the employee handbook, have your attorney review it before it is published.

Once it’s published, meet with every employee, either individually or as a group, and go over the handbook in detail. Require each employee to sign off, indicating that they have received a copy and had the Employee Handbook explained to the employee.

Then, take care to strictly enforce the employment procedures in the law and in your Employee Handbook. That also means that you must train your management team to follow the Employee Handbook procedures.

Insist on an exit interview for every employee laid off or terminated. At that interview, review all issues and have the employee sign off, saying that the issues have been explained, regardless of whether the employee agrees or not.

Finally, business should purchase Employment Practices Liability Insurance. EPLI policies typically cover claims of wrongful discharge, workplace harassment and discrimination. Key elements of coverage for an EPLI policy include defense costs for the business as well as coverage for claims and jury awards.

2009-02-18T13:48:00.000-05:00

Worst Insurance Companies: The Top Ten Worst Insurance Companies in America

In 2008, the American Association for Justice released a 29-page report entitled “The Ten Worst Insurance Companies In America.” The report was the result of a comprehensive investigation of a blizzard of court documents, FBI records, state insurance department complaints and investigations, news stories from around the nation, and testimony and depositions from former insurance agents and adjusters. The final list includes companies that insure cars, homes, disability, health and life.

One thing that the report shows is that Allstate, State Farm and Liberty Mutual all hired famous management consultant McKinsey and Company to study how they could be more profitable. McKinsey came back with a strategy known as “The Three Ds...Deny, Delay and Defend.” All three companies have used this strategy aggressively to boost profits for their shareholders.

To read the report, go to: http://www.justice.org/docs/tenworstinsurancecompanies.pdf

The list is as follows:

10. Liberty Mutual

Not only has Liberty Mutual pulled out of Coastal states like Florida and Louisiana, but also Massachusetts, Rhode Island, Connecticut, Maryland and big parts of New York.

9. Torchmark

A variety of company subsidiaries sell burial insurance, cancer insurance, and life insurance. The company has been accused of selling minority customers higher priced products than white customers. Its sales tactics have attracted frequent lawsuits from regulators and policyholders.

8. United Health

This health insurer has a reputation for health care reimbursement rates that are so low and so delayed that doctors report patient health is at risk.

7. Farmers

Owned by Swiss insurance giant Zurich Insurance, Farmers is consistently near the bottom of homeowners and auto satisfaction surveys conducted by JD Power and Consumer Reports. As an example of their “profits over people” attitude, note that after the 1994 Northridge CA earthquake, Farmers instituted an employee program called “Bring Back a Billion.” This was an effort to save the company a billion dollars in claims settlements.

6. Wellpoint

Wellpoint is the nation’s largest health insurer, covering over 28 million people. They have been found to routinely cancel policies on pregnant women and chronically ill patients. In 2007, the California Department of Insurance assessed a $12.6 million fine against Wellpoint for “serious violations” in their claims procedures. Wellpoint was also sued by 800,000 doctors for underpaying claims.

5. Conseco

Long-term care insurance is Conseco’s forte. And that usually affects the elderly most. Conseco takes advantage of the calendar, knowing that if it waits long enough, many policyholders submitting claims will die before their claim is paid.

4. State Farm

The largest property casualty insurer in America, who has a long reputation for delaying and denying claims. State Farm has recently announced that it has pulled out of the Mississippi and Florida markets entirely. In 1999, after a giant Oklahoma tornado event, homeowners file a class action lawsuit against State Farm, alleging that the insurer widely undervalued homes. The jury ruled that State Farm had acted “recklessly” and “with malice” toward its own policyholders. And don’t get me started on how State Farm acted after Katrina.

3. AIG

The world’s largest insurer has had massive financial problems of late, with the Congress negotiating a Federal bailout of the insurer in Fall 2008. But besides that, AIG has developed a reputation over the years as a company that fights claims aggressively.

2. UNUM

This Chattanooga, TN based company is one of the nation’s leaders in disability insurance. UNUM has a long reputation for delaying and denying claims. If you want to read an infuriating book about this subject, read “Insult to Injury,” by Ray Bourhis. The author is an attorney that took on UNUM in court. UNUM is regularly the target of insurance department and media investigations for their claims handling tactics.

And...drumroll please...the AAJ choice for number one worst insurance company in America is....

1. ALLSTATE

The AAJ stated that the “good hands” of Allstate should be shown inside boxing gloves. According to the National Association of Insurance Commissioners (NAIC), complaints filed against Allstate were greater in number than most all of its major competitors. After Hurricane Katrina, the Louisiana Department of Insurance received over 1,200 complaints against Allstate, which is more than any other company. State Farm had over 700 complaints, and State Farm has the biggest share of the homeowners insurance market in Louisiana. Allstate embraces the McKinsey philosophy, “Delay, Deny and Defend.”

Allstate’s CEO Thomas Wilson summed up the strategies of all the companies when he said, “Our obligation is to earn a return for our shareholders.”

Insurance Applications: 6 Ways To Make Sure Your Claim is Not Denied

2009-02-03T11:12:00.000-05:00

Insurance applications are the first forms you’ll see when buying insurance. But if you’re not careful, that application could get your claim denied.

One of the first things that a claims adjuster will do when he receives your claim is ask the Underwriting Department to send him a copy of your application. Why? Because part of his investigation of your claim is to verify the information found on your application. Lots of times, adjusters find incorrect information on applications that allow the insurance company to deny the claim and even void the policy like it never occurred.

Let me give you a couple examples of denial that actually happened:

Example #1. A man bought car insurance in 2002. At the time their application was accepted, the only drivers were himself and his wife. They had a 10 year old daughter. In 2008, they had an automobile accident. The daughter is now 16 but does not drive. After the adjuster did his investigation, they received a letter from the insurance company that denied their claim. The letter said that the insured had failed to disclose a potential driver in the household. Even though they disclosed their daughters name and age in 2002, and the policy had renewed six times, the insurance company used a misinterpretation of policy language to deny a claim.

Example #2. A man applies for car insurance while married but separated. The application asks marital status, married or single. The man checks the box for “married.” He lists both himself and his wife as drivers. A few months later, he has an at-fault car wreck. His car is a total loss, he is being sued for negligence, and has medical bills of $5,000. The investigation finds that he was separated at the time of the acceptance of the application. The insurance company sends him a check for $525, which is his returned premium, and denies the claim, stating that the company would not have given the policyholder the “marriage discount” had they known he was separated.

So, how can you protect yourself from application errors? Here are six ways.

1. Fill out the application completely. Do not leave any boxes or lines blank

2. Do not sign the application until all of the information is completed.

3. Do not sign an application and allow the agent to complete it after you leave.

4. Once you sign the application, have the agent make you a copy of the application right then.

5. Once you receive your new policy, compare the information on your application with the terms and conditions of the policy.

6. Report changes in your policy promptly to your agent, like added drivers, deleted cars, or address changes.

If you will be very careful to do these six things, you can be confident that you will not have problems with your insurance company at claims time over your application.

Car Insurance Claims - Does Your Insurer Owe You Sales Tax?

2009-02-03T11:10:00.000-05:00

More than half of the states in the USA require that the insurance company pay state sales tax when you replace your total loss vehicle. What those states do not mandate is that the insurance company has to tell you about the tax issue. You probably won’t get the sales tax unless you ask for it.

To find out if your state requires the extra sales tax payment, contact your state’s Department of Insurance.

No insurance company, whether it is your insurer, or another insurer who insures an at-fault driver, wants to pay you one dollar more than the lowest Actual Cash Value (ACV) that they can find. When the insurance company declares your car a total loss is when the strenuous negotiations begin.

Your mission...should you accept it...is to prove that your car is worth its absolute highest value.

State sales tax percentages vary widely from state to state. Here in Georgia, sales tax is calculated on a county-by-county basis. In Cobb County, where I live, the sales tax is 5%. However, just across the county line in Fulton County, the sales tax is 7%. But in the City of Atlanta, sales tax is 8%.

Look at the numbers on a $30,000 automobile. If you lived in Cobb County at 5%, the insurance company would owe you an additional $1,500.00. If you lived in Atlanta at 8%, the amount would be $2,400.00.

If you do not demand the extra sales tax payment, you're leaving thousands of dollars on the table that you are likely entitled to collect.

Don’t allow the insurance companies to mislead you. The Actual Cash Value of the car must include the state sales tax.

Insurance Claims Adjusters: Five Secrets of Getting Your Way With Claims Adjusters

2009-02-03T11:08:00.000-05:00

Insurance claims adjusters are, for the most part, very nice people in a tough job. They are caught in between the insurance company that wants them to control the claim settlement amount, and you, the policyholder or claimant, who wants the very highest settlement amount possible.

But I’m not nearly as concerned about them. If they don’t like their job, they can quit. Nobody is forcing them to be claims adjusters.

I’m mostly concerned about you, the policyholder.

The book that I wrote, “Insurance Claim Secrets REVEALED!” shows consumers all the ways that they can take control of their insurance claims, and add hundreds or even thousands more dollars to their claim settlements. Many of the strategies in the book are confrontational. But you can learn to confront honestly without unpleasantness.

Insurance companies have games and scams that they use to delay claims and minimize settlements. Policyholders and claimants are usually placed under financial hardship when they have an insured loss. Few of the people I’ve ever met who had a claim could afford to repair or replace their damaged goods out of their bank account. Most of the time, people depend upon the restitution they receive from the insurance company.

Insurance companies know this, and rely upon it. They know that delays will place pressure on policyholders and claimants, and that makes them more willing to accept lower settlements.

Back in September 2008 I wrote and posted an article about “Dealing with Adjusters.” It has been one of my most popular articles. Thousands of people have read it. But today I want to put a spin on that article and make an even more obvious point.

When you are dealing with claims adjusters, make sure that you are ALWAYS pleasant, well-mannered, and polite. You can’t control them, but you CAN control YOU.

You need to “nice them to death!” Make sure you are doing the following:

1. Speak calmly whether in person or by phone, no matter what your level of frustration may be.

2. Make your requests for payment, documents or any other requests politely, and make them in writing.

3. Be firm but respectful when you are using a claim strategy. Being demanding will only make the adjuster feel threatened, and he will want to resist your demand to prove he cannot be controlled by you.

4. When you write a letter, be sure that you are polite and respectful. Simply state what you want them to do and remember to say “please” and “thank you”...just like your mother taught you.

5. Do not, under any circumstances, lose your temper! Words said in anger are impossible to retract. You can apologize as much as you want, but better to say things for which you will not have to apologize. Be in control. If you feel like blowing up at your adjuster, end the meeting or phone conversation and come back another time to finish your business.

I promise you that you will never regret maintaining your composure when you are immersed in the claims process.

Insurance For Stupid People: the Top Ten Funniest Coverage Decisions of 2008

2009-02-03T11:07:00.000-05:00

People regularly do stupid things that cause someone else an injury. Then the inevitable lawsuit gets filed, and then an insurance clam gets filed, too. But occasionally, the courts get it right in their decisions, and we get to make fun of the plaintiffs and defendants.

My friend Randy Maniloff is a genius attorney, a partner in the Business Insurance Practice Group at White & Williams in Philadelphia. He recently wrote an article that showcased these court decisions, and gave me permission to share them with you.

So, in order of dumbness (lowest to highest), here is the Top Ten Funniest Coverage Decisions of 2008:

10. A motivational speaker repeatedly urged a seminar participant to break a board with her bare hands. After she tried and was successful only in injuring her hand, she sued the speaker. In Reese v. Alea London Ltd., the Court decided that the speaker’s policy had a Professional Services exclusion that precluded coverage. I guess “mind over matter” doesn’t include lumber. I also guess you can be “board” to tears in this guy’s seminars.

9. The insured was playing around his backyard pool and tried to throw someone in the pool. However, he miscalculated the strength he’d need to complete the throw, and instead threw the victim onto the pool’s steps, seriously injuring the victim. State Farm denied coverage. In State Farm Fire & Casualty v. Superior Court, the Court decided that coverage was owed since the insured’s only intent was to get the victim wet. Note to the insured: next time you want to get a woman wet, take her out for dinner and dancing.

8. The insured got into a fight, and got his hand stuck in the glass of a sliding glass door. He shot the glass to free his hand and the bullet ricocheted into the chest of a woman inside the house. In Shelter Mutual Insurance v Wheat, the Court decided there was no coverage because the injury was not caused by an “accident.” In other news, Bob Vila will be hosting a memorial service for the door.

7. The insured business hired violent offenders to go door-to-door and sell magazines. Their aggressive sales tactics caused.injuries and at least one death. In Nautilus Insurance Company v. Reuter, the parties are waiting to see which way the Court interprets the policy term “occurrence” to figure out if there’s coverage. The Girl Scouts need to hire these guys for next year’s cookie drive.

6. A middle school student caused injuries to a teacher’s aide when, in the middle of a cafeteria food fight, he struck the aide with a garbage can. In Medrano v. State Farm Insurance Company, the Court decided that the insurer had to provide defense under the Homeowners policy because the Complaint implied that the injuries were unintentional. In the student’s defense, he couldn’t tell the difference in the garbage or school cafeteria food.

5. A karaoke singer was waving around an ice cream scoop (her microphone?) when it flew out of her hand and hit someone, causing injuries. In Nationwide Mutual Fire Insurance v. Kim, the Court decided that the insurance company had to provide defense for the singer under her Homeowners liability coverage, since the Court didn’t buy the argument that the injuries weren’t because of negligence. I wonder if she was singing “Tutti Fruiti” at the time of the incident.

4. An insured restaurant had a gas grille at a tailgate party at a Jimmy Buffet concert. The gas grille wouldn’t light, so they poured gasoline on it, and the explosion caused injuries. In United States Liability Insurance Co. v. Harbor Club, the Court denied coverage to the restaurant because the incident was not on the insured’s premises. Yummy...toasted Parrotheads. I wonder if the smoke from this explosion could be distinguished from the marijuana cloud at the concert.

3. The insured caused injuries to an old friend by saying hello with his “signature greeting,” which was putting the old friend in a headlock and squeezing his head while asking him how he was doing. In Sanford v. Century Surety Co., the Court denied coverage because the injury was not caused by an accident and the “assault and battery” exclusion applied. Imagine how the insured must greet those who are not his friends.

2. The homeowner caused injuries and one death to party guests when the host used gunpowder as a propellant to shoot his potato gun. In Kiser v. Coffee, coverage was denied because injury was reasonably expected from this intentional act. The potato in question is now in a low earth orbit, visible in a clear night sky.

And the Number One Funniest Coverage Decision of 2008 is....

1. The insured’s minor son injured his friend by kicking him twice in the groin after learning that his friend’s sister did not like him. In American National Property & Casualty v. Hanna, coverage was denied because the injury was not caused by an accident. Love hurts.....

A big “thank you” to Deborah Richards, Geri Lumsden and Jarrett Smith for their smart-assed assistance with the one-liners in this article.

Stay tuned. I’m sure there will be plenty of court cases in 2009 for our next Top Ten List!

Home Foreclosures: How To Protect Your Home During Foreclosure

2009-02-03T11:01:00.000-05:00

America is going through a foreclosure meltdown which will only get worse in the short run. Tens of millions of loans are in default, and the lenders either have foreclosed or are in the process of foreclosure.

However, there are some very real issues that you need to deal with during a foreclosure. Failure to address these issues could result not only in you losing your house, but being caught uninsured at the time of a disastrous loss, like a house fire.

Stated another way...what would you do if you had a major fire, wind or water loss during a foreclosure? Are you sure you’re covered?

First, let’s look at homeowners insurance and your loan escrow account.

If your homeowners insurance is being paid by your lender through an escrow account, that’s fine. However, if your loan is in foreclosure, you cannot be sure that the premium is being paid by that lender. If you have stopped making loan payments, you have also stopped adding money to your escrow account. Your homeowners insurance could have lapsed for non-payment.

So, the lender will “force place” a policy covering your home, but only for the loan balance, and charging it against your loan amount. But that policy will only cover the dwelling, no contents or liability coverage. The lender is only interested in protecting their loan.

But, sometimes, lenders make errors and premiums don’t get paid. So, your strategy to protect yourself is to make sure that the premium on your homeowners insurance is paid, even during a foreclosure.

But I recommend that you keep the policy in place just a little while after the foreclosure has been completed. Why?

Because we’re now learning that many foreclosures are being done without proper documentation by the lenders. Some highly placed politicians have noticed this, and are starting to make waves.

Rep. Marcy Kaptur (D- Ohio) is the senior woman in the House of Representatives, and the longest serving Democratic woman in House history. Her district includes Toledo, which these days is looking more and more like a ghost town.

Kaptur has recently been seen on CNN, promoting the “Produce The Note” initiative. In a recent interview, she stated that many mortgages have been sold and re-sold numerous times by lenders. She said that a lender who is foreclosing may not even possess the original loan document with the borrower’s signature on it. The biggest problem is that because more than one lender has owned your loan, more than one lender could foreclose on you for the same loan. It’s already happened many times.

There’s a great website called Consumer Warning Network that shows borrowers how to fight back.

Go to: Consumer Warning Network

Don’t just willingly accept that your lender did the foreclosure correctly. Investigate and fight back! Your financial future could be at stake!

Insurance Regulation: Florida Braces As State Farm Waves Goodbye

2009-02-03T10:57:00.000-05:00

This week, State Farm Insurance Company, the largest private property insurer in the state, announced that they are pulling out of Florida after sustaining huge losses and being denied rate increases.

I am no fan of the games and scams of the insurance industry. Even though insurance makes our modern lives and way of life possible, it is fraught with problems. Insurance companies regularly mistreat their own customers. They delay, deny and minimize claims as standard operating procedure. But they also pay a lot of claims, too, and deserve to make a profit.

Into this environment come the insurance regulators of the 50 states. They try to protect the consumer. Their regulations swing from too much to too little, just like a pendulum. But, right now in Florida, the insurance regulators’ pendulum has swung to over-regulation. The regulators and state legislators have bungled the insurance marketplace in Florida, and consumers are going to get burned.

The Florida Department of Insurance has not produced evidence that the insurance market has failed, which might explain stiff price regulation in lieu of simply allowing competition in the marketplace to regulate premiums.

During the last 15-year period, Florida insurers have been unprofitable as a group. Dozens of insurers have stopped operating in the state. Simply denying rate increases does not benefit consumers. As insurers stop writing policies in Florida, reducing competition makes consumers worse off, with higher premiums and limited choices.

In response to insurance company exits since Hurricane Andrew, Florida legislators created Citizens Property Insurance Corporation (CPIC), an unprofitable state-run insurer that sells its policies below cost. This ridiculous pricing, paired with insurer exits, makes CPIC the insurer of over half of Florida's homeowners. Because CPIC is losing money, and owned by the state, these losses will eventually require taxpayers and consumers to bail out yet another insolvent corporation.

With State Farm’s departure from Florida, CPIC may end up insuring 80% of the homes in the state. CPIC is nearly insolvent right now. All it will take is one more major catastrophic hurricane to finish it off. However, it will be the Florida consumers and taxpayers that will be finished off when they are forced by the state legislature to bail out the state-run insurer.

The over-regulation of insurance companies was also recently shown in New Jersey. Just like in Florida, New Jersey lawmakers and regulators had over-regulated the car insurance marketplace to the point that insurance companies left the state in droves. New Jersey drivers found it nearly impossible to buy car insurance at any price. In 2003, the lawmakers and regulators regained their sanity and enacted reforms that brought back competitive pricing to car insurance. Rates are dropping and citizens can once again find affordable car insurance in New Jersey.

State regulators sometimes do more harm than good. Sometimes they get it right.

Hailstorms: Matching Roofing and Siding Strategies

2009-01-09T17:28:00.000-05:00

Hailstorms can happen anywhere that thunderstorms occur. Thunderstorms have the potential to produce hail the size of a BB or the size of a grapefruit. Severe hailstorms can cause more damage than tornadoes, simply because the area of a hailstorm can be much greater than that of a tornado. Hail can damage everything it strikes, whereas a tornado can flatten one dwelling while the house next door doesn’t lose a shingle.

We are just around the corner from Spring, when hailstorms begin to pop up with regularity. You can be ready by following the strategy in this article.

Nearly every time there is a big hailstorm that causes widespread damage to cars, homes and businesses, the issue of “matching” rears its ugly head. But there is a way that you can solve the “matching” disputes between you and your insurance company and get paid all you are entitled to collect.

Typically, when a hailstorm occurs, it strikes property at an angle. So, while one side of your roof might get pounded, the opposite side may have no damage at all. The hailstones might hit one slope of the roof really hard, while just skipping across the other slope. The same is true with exterior siding.

So, your insurance company adjuster may inspect your damage, and replace the damaged roofing or siding. But, that might cause an additional problem:

What if the new roofing or siding doesn’t match the old roofing or siding? Many times this occurs when the old material has been discontinued by the manufacturer. The new material might be of a different color or different dimension than the old material. For example, you might have 4” lap vinyl siding, but the manufacturer now produces 4” lap siding with a slightly different color or texture. It does not match.

You, the policyholder, now have an additional loss, which is the value of your home. If the siding or roofing doesn’t match, it diminishes the value of the home. But this part of the loss is indirect damage. The policy states that it only pays for direct damage to property. Many times, adjusters and insurers will rely on a strict interpretation of the policy wording, and state that they do not owe you any additional funds simply because of a matching problem.

However, there is a clause in the Homeowners policy that deals with indirect damage, and can be brought into a “matching” dispute to solve the problem

That clause is found in the Section I – Conditions – D. Loss to a Pair or Set. It says:

In case of loss to a pair or set we may elect to:

1. Repair or replace any part to restore the pair or set to its value before the loss; or

2. Pay the difference between actual cash value of the property before and after the loss.

Not only does this clause cover the direct loss of an item that is a part of a pair or set, but also covers the indirect loss sustained because of the diminished value of the remaining item(s) of the pair or set.

Your adjuster might disagree with this interpretation. He may tell you that this clause only pertains to personal property, such as when a person has one crystal candlestick stolen from a pair, or two plates from a rare set of 12 get broken.

But look carefully in your policy. NOWHERE in the policy does it say that the clause only applies to personal property.

For example, let’s use hail damage to siding. Two sides of the house sustain damage to 12” white aluminum siding with a textured finish. The manufacturer ceased making this siding and now only makes 8” aluminum siding without texture. It clearly does not match. The adjuster wrote an estimate to replace only the damaged siding for $10,000. But replacing all four sides of siding would cost $20,000. We are assuming a replacement cost policy, no depreciation applied.

The insured gets an appraisal of his dwelling, and finds that the dwelling’s pre-loss value was $100,000. After the storm, the dwelling appraises at $95,000. So you can see here that the “set” value of the undamaged siding decreased the home value by $5,000.

To be equitable to the insured, the insurance company should pay the $20,000 to replace all four sides of the home. That settlement process might take a little longer if you have to get an appraisal to prove the diminished value, but you’ll be properly compensated for your loss.

Finally, you the policyholder have legal precedent on your side. On October 12, 2000 in a Minnesota District Court, a judge ruled against American Family Mutual Insurance Company and ordered it to pay claims where there were matching disputes after a hailstorm. (see Min. Stat. {72A.201, Subd. 5(8) (1998)}).

Gap Insurance: Four Reasons You Could Benefit From Gap Insurance For Your Car

2008-12-26T22:46:00.000-05:00

If you have a serious car accident, or if your car gets stolen, Gap Insurance could save you thousands of dollars. Gap Insurance could also be called “totaled or stolen” car insurance.

Gap Insurance “closes the gap” between what your auto insurance company pays if your car is totaled or stolen, and the payoff balance of your auto loan.

In other articles, I’ve written about how insurance companies will “lowball” even their own policyholders when it’s time to total out a car. Often, it gets even worse if you’re not at fault, and the other driver’s insurance company is settling your claim. So, one of the ways that you can get some piece of mind...and all the money you are entitled to collect...is to buy Gap Insurance.

Here’s an example. You buy a new car for $25,000. No money down, financed for 60 months. Two months later, your car is stolen. The adjuster makes his WAG (wild-a** guess) on depreciation and determines that your car is only worth $20,000, having lost 20% of its value. The finance company tells you that with tax, title, and license fees, your payoff is $27,000.

What will you do to payoff the car when the insurance company will only pay $20,000, and you owe $27,000? If you have Gap Insurance, no problem.

There are basically four reasons that you might benefit from Gap Insurance:

1. Leased cars – Many times when you lease a car, the leasing company will require you to buy Gap Insurance. If you exceed the mileage in your lease term, the vehicle might have a lower value at the end of the lease term. Many companies will allow you to buy Gap coverage any time during the lease period.

2. New cars – If you are putting 20% or more as a down payment on your car, you might not need Gap coverage. However, if you’re like many these days, and signing 0% down finance deals, your car will depreciate a bunch in the first year, and you’ll never get the value of that car at damage or theft.

3. Used cars – You could find that you paid more for a used car than it’s worth. Many Gap Insurance companies will allow you to buy coverage if the used car is less than 2 years old.

4. “Upside down” or “underwater” – Terms that mean you owe thousands more than the value of the car. This often happens when a person trades in a car and owes more than the value of the car he’s trading in. The finance company allows you to add the unpaid balance of the trade-in to the financed amount of your new car loan. But then you’ll likely always be “upside down” in the loan, and you’d be in deep financial trouble without Gap Insurance.

Keep in mind that most insurers will require you to have Collision and Comprehensive coverage for the Gap Insurance to apply. Most insurers will also require you to continue making your car payments until the coverage pays its benefits.

You can shop for Gap Insurance through various car insurers. Contact your own insurance company to see if they offer it. Otherwise, you could search on the Internet for companies that sell Gap Insurance. There are many from which to choose.

If you have experienced a property loss, whether fire, wind, flood or other, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to the website listed here.

Renter’s Insurance: Do You Know How High Your Risk Is?

2008-12-26T12:51:00.000-05:00

Renter’s insurance is one of the most important insurance products sold on the market today. Yet, surprisingly, only a small percentage of renters actually buy renter’s insurance.

Here in suburban Atlanta, Georgia, the Atlanta Apartment Association is a giant association of apartment owners and property management companies. Currently, AAA represents over 1,400 members consisting of 400 companies managing 320,000+ apartment homes in the Atlanta metro area. It is widely reported that there are over 6,000 apartment complexes in the Atlanta metro area.

I interviewed Russ Webb, Operations Manager of the Association. He stated that they estimate that only about 25% of renters purchase Renter’s Insurance. He also stated that here in Atlanta, we average two major apartment fires PER WEEK. A major apartment fire is one in which a multi-unit apartment building is damaged or destroyed by fire.

Think about that. A fire starts in one apartment, and potentially all of the tenants in the building end up with damaged personal property and no place to live.

Think about the risks that are involved for a renter. When I moved to Atlanta in 1992, I rented a first floor apartment in an eight-unit apartment building. So, in my building, there were seven other tenants. There is eight times the chance for a loss in that one building. I could have been the most model, safest tenant who ever lived, but still I could have had all of my personal property wiped out by one of the other tenants who was negligent and started a cooking fire.

Compare that risk to a single family home...one kitchen, one family, limited visitors.

What about the risk when your apartment is in a 12 unit building? A 15-unit building?

Renters have the same needs for insurance that homeowners do, minus the building they live in. They need to protect their personal property and their liability exposures.

Renter’s policies

The standard Renters policy is a "named peril" policy and covers losses from any 17 named perils. If your property is lost or damaged as a result of one of these perils, your insurance company pays you for your loss. The covered perils are as follows:

• Fire or lightning
• Windstorm or hail
• Explosion
• Riot or civil disturbance
• Aircraft
• Vehicles
• Smoke
• Vandalism or malicious mischief
• Theft
• Volcanic eruption
• Falling objects
• Weight of ice, snow, or sleet
• Accidental discharge or overflow of water
• Sudden and accidental tearing apart
• Freezing
• Artificially generated electrical charge

The Renter’s Policy also covers the liability risks you have for bodily injury or property damage from claims of others in and around your apartment.

The policy also has Additional Living Expense, which provides coverage in case you are unable to live in your apartment due to a covered peril. Remember, someone else in the building could have a loss (like fire or water damage) that could make your apartment unlivable.

Available Endorsements

Replacement Cost: means replacing Actual Cash Value for Contents with replacement cost coverage.

Scheduled Personal Property: this coverage provides a set amount of insurance for valuables like jewelry, watches, furs, fine arts, etc.

Computer Coverage: covers hardware and software for any direct physical loss, due to theft, electrical disturbance, magnetic, or erasure. In essence, changes the covered perils for computer losses from Named Perils to All Risks. Still excludes computers used for business.

Medical Payments: Provides first dollar coverage (no deductible) for injuries to others due to your negligence, up to a stated limit. Sometimes called “good neighbor” coverage.

Renter’s Insurance is very inexpensive. I’ve seen rates on a $25,000 policy as low as $15.00 per month, or $180 annual premium.

Don’t risk financial ruin by being a renter without Renter’s Insurance. Show what a smart consumer you are by calling a local insurance agent TODAY!

If you have experienced a property loss, whether fire, wind, flood or other, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to the website listed here.

Aetna Rolls Out Pet Insurance

2008-12-26T12:38:00.000-05:00

Aetna, the health insurance giant, may soon be insuring Fluffy the kitty or Fido your pooch.

Pets Best Insurance is the new pet insurance company under the Aetna banner. They began underwriting policies last week in six states, and plan to sell in all 50 states before long.

Pets Best intends to trade on the market visibility of Aetna and sell its policies through the 40,000-plus veterinarians in the United States. The policies will also be offered through the company website. Policy premiums will range between $300 and $500 per year per pet, based upon the chosen coverage.

Should you buy Pet Insurance?

About 60 percent of American households have a pet and spend over $10 billion a year on veterinary care.

The policies will pay 80% of costs, subject to a deductible, for each illness. Routine checkups, lab tests, prescriptions emergency room visits and other services are covered.

Pet Best’s policies are comparable to those that have been on the market since about 1998. Some insurers exclude hereditary and chronic conditions, others don’t.

If a pet lives an average of ten years, you could shell out between $3,000 and $5,000 on premiums for each pet. Without insurance, you might not ever spend that much on medical treatment. But if you are the kind of person who will do anything to take care of your pet, then medical insurance for your pet might make sense.

One of the things you might consider next time you’re shopping for a pet...remember that dogs are in veterinary offices twice as often as cats. So, if you’re a person on a budget who can’t stand the thought of life without a pet, consider a cat. Also, do some reading about the health problems inherent in the cat or dog breed you want to own.

Low Speed, Low Impact Car Wrecks: Ten Things The Adjuster Will Do After A Car Wreck

2008-12-23T11:32:00.000-05:00

Drivers and passengers in moving vehicles regularly get injured in low speed, low impact collisions. The best example is a rear-end collision while in slowly moving traffic. Many times, the injuries are soft tissue injuries, like neck injuries, that are hard to diagnose and take time to treat. Insurance adjusters, whether independent or company adjusters, have a difficult time believing that you could have gotten injured in a low speed, low impact car wreck.

They think you’re lying.

So, if you’ve had a car wreck that could be considered low speed or low impact, know that the adjuster is going to start out at best skeptical, and at worst committed to proving that you weren’t injured.

Low speed accidents are self explanatory. But if you're traveling at 45 mph and are struck by car going 55 mph, there's only a 10 mph difference between cars, so that's low impact.

Back in October 2004, I had a rear-end collision accident. The driver behind me wasn’t watching carefully when we slowed before a red light, and he struck me from behind. The impact drove my car’s front bumper into the car in front of me. The driver behind me got a ticket. The collision damage totaled $3,474.13, and my soft tissue neck injuries settled for $2,640.00, for a total of $6,114.00.

There is a lot more to the story than just that I got a settlement. I actually got $1,640.00 more than my insurance company initially offered. These are strategies you can learn.

But let’s get back to your accident. If you got rear-ended, the other driver is at fault to some degree. If he is uninsured, or if his insurance company will not accept liability, you might consider submitting a first party claim. If you’re making a first party claim, which is you making a claim to your own insurance company, your Collision coverage will cover damage to your car. That’s pretty clear-cut. Your injuries will be covered by your health insurance, not your car insurance. Your insurance company will then “subrogate,” or ask the other driver’s insurer to reimburse them for your claim.

The adjuster for the other driver is going to do an investigation, consisting of:

1. Photos of all four sides of your vehicle to document the damage, but also to determine if there was pre-existing damage.

2. Vehicle appraisal of damages

3. Recorded statement from you. The other adjuster is going to ask you questions meant to get you to say something that could allow them to deny your claim. Understand that you do not have any legal obligation to give a recorded statement to the other driver’s adjuster. If you decide to grant a recorded statement, ONLY do it in the presence of your own attorney. And, you should include your attorney’s bill in your insurance claim.

4. Witness interviews and statements.

5. Background information. The adjuster will run your name through several databases, including ISO Claimsearch and the National Insurance Crimes Bureau to see if you’ve filed previous insurance claims. Don’t give your Social Security number to the adjuster. That just makes his job of getting your background information easier.

6. Collect your medical bills and medical history. The adjuster will likely present you with a Medical Authorization Form for your signature. READ THIS FORM VERY CAREFULLY!! Most times, the form is so vaguely worded that you give them permission to collect medical information for your entire lifetime. Only sign an authorization that permits them to have the medical records and bills for this single incident, not your life history. Have your attorney read the form before you sign it.

7. Have experts evaluate your damages. The reason insurers hire experts is to find ways to deny or minimize claims, not help you prove your claim.

8. Waiting and delay. The greatest tool in the hands of the insurance companies is delay. They can certainly afford to wait, even though you may not be able to wait. Delay leads to compromise and compromise very often leads to lower claim settlements.

9. Negotiate your settlement with you or your attorney. Please understand that adjusters are not intimidated by personal injury attorneys. They actually prefer to deal with them, since they won’t have to deal with you anymore. It also adds more delays to the claims process, which puts financial pressure on YOU.

10. Settlement. Low speed/low impact claims usually have a low price tag, many times below $25,000. It doesn’t usually make economic sense for a personal injury attorney to litigate a case this small, as it could cost them $5000-$10,000 to litigate. So, if the adjuster makes a “take it or leave it” offer of $15,000 (on a $25,000 case), your attorney will likely take it. That saves a ton of money for the insurer, and the adjuster gets to close another file and look good to his boss.

Remember, friends...this claims process is all about the money. It is not about truth, or justice, fair or unfair claims practices.

It is all about the money.

If you have experienced a property loss, whether fire, wind, flood or other, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to the website listed here.

Insurance Claim Supplements: How To Submit Claim Supplements

2008-12-21T19:51:00.000-05:00

A claim supplement is a claim for additional repair or replacement costs. Supplements are commonplace in the claims process. However, if you are a policyholder unaware of your policy rights, you could be walking away from hundreds or thousands of dollars that you are entitled to collect.

Claim supplements usually occur after a policyholder submits a claim, gets paid and gets the repairs or replacements completed. Then, additional damage is discovered some time later.

Many people erroneously think that, once the claim is closed, it cannot be re-opened. And, insurance companies and their adjusters usually don’t rush to tell you how to submit a claim supplement. So, what to do? Let’s look at car insurance claims and property insurance claims.

For any kind of supplemental claim, you must contact your insurance company and give them your original claim number. The best way to notify the company is in writing, sent Certified Mail. That way, you’ll know who signed for the letter. The insurer will have to re-open the claim. You might get the same adjuster as before, but maybe not.

Car Insurance Supplemental Claims

Lots of supplements happen when cars are getting repaired. Many times, hidden damages are discovered when the body shop begins dismantling the car. So, while the insurance company may have issued payment to the body shop from the original repair estimate, they will issue a second check for the supplemental repairs. Happens all the time, no big deal.

However, sometimes post-repair problems don’t show up right away. A good example is the Air Conditioning system. If you have a car wreck in July, you might not notice that your heater is malfunctioning until fall or winter. But when any damages are discovered that can be directly related to the original insured loss, you can submit a supplement. Simply document the damages and their cause and send the supplement to the insurance company. No additional deductible is assessed, since you already paid it once.

Property Insurance Supplemental Claims

Homeowners, Renters or Business insurance claims can find a need for a supplemental claim for some of the same reasons found in car insurance claims. Seasonal issues can bring up damages related to the original loss. But, some other issues might present themselves. You may have an expert’s report that shows additional damage attributable to the original loss. Your contractor may have found hidden damage that must be repaired. In any event, carefully document your claim and submit it to the insurance company.

Be sure that you are collecting all the money you are entitled to collect. Use supplemental claims whenever your claim requires it.

If you have experienced a property loss, whether fire, wind, flood or other, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to the website listed here.

Property Claims: Overhead And Profit Disputes in Property Claims

2008-12-21T18:20:00.000-05:00

If you do not know how to handle overhead and profit (OHP) issues in your insurance claim settlement, you could lose tens of thousands of dollars that you are entitled to collect.

Yet, many policyholders find themselves forced to use savings or borrowed money to complete repairs. It should almost never be so.

In any property or insurance claim, if you have to come out of pocket more than your deductible for repairs or replacement, your claim has not been handled correctly.

There have been disagreements over how to handle overhead and profit between insurance companies for years. I have handled claims for insurers who mandated that OHP must be removed on all repair estimates. Some insurers will pay OHP, but limit it to 10% overhead and 10% profit. Some pay OHP, but will only pay it when the policyholder provides a signed contractor repair contract.

But you should know that OHP is a legitimate expense of repair in a property loss, and your insurance company should not dispute OHP. Contractors have to manage sub-contractors, get building permits, pay their labor, materials and the rent, and get the work done while earning a profit.

Traditionally, in a homeowners, renters or business policy, insurance companies will consider OHP when there are three or more building trades involved in the repairs. For example, when there are carpenters, electricians and plumbers doing repairs, OHP is paid. However, if you only had a painter and a wallpaper hanger, most insurers would not pay OHP costs.

But consider how much this could affect your claim. If you had a fire claim with a $50,000 repair estimate with a general contractor handling the loss, 10% overhead is $5,000 and 10% profit is another $5,000. Together, that’s $10,000 more money owed to you.

So, if you submit your repair estimate and it has OHP built into it, make sure that the insurance company pays the OHP. It could be the difference between getting all your repairs paid for, and you having to pay some repairs yourself.

If you have experienced a property loss, whether fire, wind, flood or other, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to the website listed here.

Dog Bite Law: Six Things To Do After Your Dog Bites Someone

2008-12-20T12:37:00.000-05:00

The newspaper has a story today about a 60-year-old Southern California man who was mauled to death by two pit bulls. Seems the man was standing in his own back yard having a cigarette when the attack occurred. These dogs belonged to his grandson, and the victim was familiar with the dogs. Neither dog had been neutered.

Perhaps these dogs were radical non-smokers. Doubt it, though. But this is certainly a story of a family tragedy. But, if you have one or more dogs at your home, you could have a tragedy waiting to happen.

Pit Bulls and Rottweilers are the two most fatal attackers. Next are the Akita and Chow. Dogs that are tied up are very dangerous, and male un-neutered dogs are the most dangerous.

Dog bite law is an unusual area of the law, and can affect you and your home or business quite negatively if you own a dog. How?

Depending upon your circumstances, you could be subject to both civil and criminal charges if your dog bites someone. Compare that to having the postman slip and fall on your sidewalk, which could only involve simple negligence on your part.

The law consists of both civil and criminal law, and varies widely between state and local jurisdictions. The reason it varies is the interpretation of the old “One-Bite Rule.” That rule, with its basis in English common law, protects a dog owner until he gains knowledge that his dog is vicious or dangerous. Once the owner learns this, he becomes strictly liable for injuries the dog causes.

Most all states hold the dog owner liable if injuries are caused by negligent handling, or violating a leash law. In almost two-thirds of the states, the owner is statutorily liable, meaning he is liable simply because he owns the dog.

Here are six tips on what to do after your dog bites someone:

1. Stay calm and be nice to the victim. Don’t argue about who is at fault. Don’t accuse the victim of anything. Remember that this person is going to make a decision now about whether to hire a lawyer to sue you.

2. Take the victim to a doctor or hospital and get medical attention. Pay for it yourself, no matter whether you have insurance or not.

3. Take precautions to protect other people from your dog.

4. Secure the name, address and phone number of ALL witnesses to the incident.

5. Do not make ANY statements to ANYONE but your own attorney about the incident.

6. Call your homeowners, renters or business insurance company and immediately report the incident. If the victim decides to pursue a damage claim against you, the insurance company will likely have to provide legal counsel and defend you in the lawsuit. If you do not report the incident right away, they might deny your claim for late reporting.

When you’re shopping for new insurance, most insurance companies will ask you the breed of the dog you own. Most insurers will either charge you higher rates for certain breeds, or refuse to insure you at all.

If you’re interested in reading more about dog bite law, go to the website of Attorney Kenneth Phillips at: www.dogbitelaw.com

Kenneth Phillips is the nation’s leading authority on dog bite law. His Beverly Hills, California law practice is unique in that he only represents dog bite victims. Mr. Phillips has done hundreds of radio and TV interviews, and featured in scores of print articles over the years. He represents clients all over the United States.

If you have experienced a property loss, whether fire, wind, flood or other, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to the website listed here.

Another Insurance Company Scam: Denying Payment on Deaths From Fire

2008-12-20T11:02:00.000-05:00

In March 2007, a disgruntled nurse set fire to a six-story atrium office building in Houston, Texas. The building suffered extensive damage, and three people died from smoke inhalation.

The primary insurance company with a $1 million policy on the building has accepted liability. However, there is another insurance company involved.

Great American Insurance Company has Excess coverage on this building over and above the underlying $1 million policy up to a limit of $25 million. They have appeared in the courtroom of US District Judge Lee Rosenthal and argued that the deaths were caused by “pollution,” which in their view, is the smoke generated by the fire.

Most all policies have a coverage exclusion for Pollution, which is meant to exclude coverage for seepage or discharges of pollutants that cause damages. But the Pollution Exclusion also mentions smoke, fumes and soot.

And that is where Great American is hanging its hat.

Great American is arguing that coverage for the property damage and deaths should be denied because the smoke from the fire qualifies as “pollution,” and as such the claim should be denied.

In my opinion, this argument violates the intent and clear words of the Pollution Exclusion.

I hope that you are as outraged as I am over this travesty unfolding in a Houston courtroom. But, stop for a moment and consider how smoking mad the families of the three victims of the fire must be. There’s no question how these people died. Smoke inhalation is one of the most common causes of death in fires, much more common than injuries from flame. And the reason is that the building materials of today create deadly toxic fumes when they ignite. Many times, it only takes one breath of these fumes to kill a person.

I pray that the judge will use common sense and rule against Great American. It’s too bad that the judge cannot punish them for violating Unfair Claims Practices regulations here. But, proffering a bogus motion in court is likely not enough to qualify as bad faith.

But, wouldn’t you agree that this effort by Great American is as close to Bad Faith as possible?

If you have experienced a property loss, whether fire, wind, flood or other, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to the website listed here.

Uninsured Motorist Coverage: Why Are More Drivers Uninsured Today?

2008-12-19T08:34:00.000-05:00

The worsening recession and mounting job losses are causing an unexpected increase in uninsured motorists.

Hundreds of thousands of people all over North America are canceling their car insurance or allowing the policies to lapse. One reason is the increasing unemployment rate. As people lose their income, they begin to cut back on their expenses. Tragically, one of the things they cut is their car insurance policies.

However, some drivers are just trimming their coverages, lowering their coverage to the minimum liability level that keeps them legal drivers.

Even in good times, insurance studies show that about 15% of drivers nationwide are driving without insurance. In states that have a large immigrant population, it can be as high as 25% uninsured drivers.

What happens to you if you are in an accident with an uninsured driver? If the accident is the uninsured driver’s fault, you will not have his insurance to pay for your damages or injuries. Statistically, those who drive without insurance have very few assets. So, even if you file a lawsuit to recover damages, the uninsured driver is likely not collectable.

What can you do to protect yourself and your family? Make sure that your car insurance policy includes Uninsured Motorist AND Underinsured Motorist coverages. Choose the highest liability limits available through your agent. UM coverage also protects you from hit-and-run accidents and injuries if you are a pedestrian. And Underinsured Motorist coverage protects you from those drivers who have chosen minimum coverage.

If you are thinking about dropping your car insurance, know that people who allow their policies to cancel for any reason can face surcharges of 25% to 50% when they try to buy insurance again. The companies consider them to be high risk drivers, which they are!

Many states require drivers to buy Uninsured and Underinsured Motorist coverage. Driving without insurance is illegal in 48 states. Only Wisconsin and New Hampshire will allow drivers to file a financial responsibility form with the state to drive legally.

If you have experienced a loss, whether car wreck, fire, wind, flood or other, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to the website listed below.

Now, I'd like to offer you two special reports at no cost. One is "5 Things To Do When Shopping For Car Insurance," and the other is "5 Things To Avoid When Shopping For Car Insurance." Each one is a $9.95 value, but free to you when you sign up for my newsletter at the website address below.

Ed McMahon and Toxic Mold

2008-12-19T07:07:00.001-05:00

I was reminded of Mr. McMahon’s mold experience when I read a story about him today in the newspaper. Seems that Mr. McMahon took a fall a few years back and fractured his neck. Since then, he has been unable to work, and as a consequence, his home was subject to foreclosure. That’s a sorry state of affairs for an 85-year old man who has made a fortune during his lifetime. But that’s where he finds himself right now. Other wealthy individuals, like Donald Trump, have come to his rescue so he doesn’t get thrown out into the street.

Remember Ed McMahon? He is best known as the sidekick to Johnny Carson of the Tonight Show on NBC. In 2002, McMahon sued his insurance company, American Equity Insurance Co., for more than $20 million. His lawsuit asserted that toxic mold sickened him and his wife Pamela, killed their dog Muffy, and made their Beverly Hills house uninhabitable.

A pipe had broken in the six-bedroom home, flooding the family room. Mold spread throughout the house, even spreading into the heating and air conditioning ducts. The cleanup contractors just painted over some of the mold.

The suit was finally settled in 2003 for $7.2 million. This settlement is the highest published recovery in the United States by an individual filing for property damage in a mold lawsuit.

Everlasting shame goes to the insurance industry for what they have done about toxic mold. Prior to 2003, policyholders submitted about as many mold claims as fire claims each year. The insurance industry saw that mold claims were increasing in numbers, and they forecast that toxic mold losses would soon overwhelm them. The reason for their fear is that the mold claims were not just for repairing the physical damage to the structure, but also involved the illnesses and deaths that the toxic mold was causing.

So, very quietly, they simply stopped insuring mold losses.

Most insurance companies have added a Mold and Microorganism Exclusion to their policies since 2003. Check your policy to see if mold is covered or excluded.

If it is excluded, start NOW finding coverage for Mold Damage.

If you had a water damage loss that ended up with mold, you should still be able to collect for the damage that the water did to your property BEFORE the mold grew. Don’t just sit idly by and accept a mold claim denial from an insurance company. Go ahead and prove that the water damage happened FIRST, and get your claim paid. Even if you have to file a lawsuit, it could be worth it.

If you have experienced a property loss, whether fire, wind, flood or even toxic mold, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to the website listed below.

The Insurance Industry’s Latest Scam: The Anti-Concurrent Causation Clause

2008-12-18T08:40:00.000-05:00

Everyone remember what happened all over the South when Hurricane Katrina hit in 2005? The insurance companies denied thousands of claims because they said that the damages were due to flood, not wind. So, for those who did not have flood insurance, their claims were denied. The insurance companies paid smaller claims for the wind damages.

Well, the insurance companies got busy since then and have convinced 48 of 50 state Departments of Insurance to approve new policy language. So, understand that this new ripoff is brought to you with the blessing of your state’s Insurance Commissioner.

The Anti-Concurrent Causation Clause is just technical-sounding enough to begin getting your eyelids to slam shut. But don’t leave me! This is one of the worst policy amendments that the insurance industry has ever done.

The new policy language is a part of the language and forms of the Insurance Service Office (ISO), the organization that submits standard policy language to the regulators. Companies like State F*arm Insurance have already filed their own language, but it’s almost identical.

Here’s what the Clause basically says: If any percentage of the damage is caused by a covered peril (like wind) and any smaller percentage of the damage is caused by a peril not covered (like flood), the insurance company can DENY THE ENTIRE CLAIM!!

Here is the exact language from the policy, found under the “Exclusion” section of a homeowners policy:

We do not insure under any coverage for any loss which would not have occurred in the absence of one or more of the following excluded events. We do not insure for such losses regardless of (a) the cause of the excluded event; or (b) other causes of the loss; or (c) whether other causes acted concurrently or in any sequence with the excluded event to product the loss; or (d) whether the event occurs suddenly or gradually, involves isolated or widespread damage, arises from natural or external forces, or occurs as a result of any combination of these.

Then, the policy lists a number of exclusions.

Look at this example. If you live along the Gulf Coast, and hurricane winds caused 90% of your damage, and 10% was caused by the storm surge (not covered in a homeowners policy, the insurance company can and will deny all coverage for all of the damage!

So, for those homeowners living in states where hurricanes, tornados, blizzards, or any kind of severe weather occurs, your policy may not provide you any coverage.

What can you do to fight back?

1. Shop for a policy that does not have this new policy language in it.
2. If you can’t find a policy in your state without that new language, contact your Insurance Commissioner and submit written objections and complaints.

High Cost Home Insurance: The Top Ten Most Expensive States For Homeowners Insurance

2008-12-18T08:37:00.000-05:00

High cost home insurance penalizes everyone, but really takes a toll in states where there a lot of different kinds of losses.

The concept of insurance was created to spread risk of loss among a large group of people, so that each person bore a small portion of the risks. So, when we are discussing the kinds of risks that drive up homeowners insurance costs, that means that the person who pays premiums for his home in upper Michigan is partially subsidizing the person who has a home in coastal Louisiana.

Hurricanes and tornadoes are just big wind storms. But they are not the only disasters that make insurance premiums rise. Fires, hail and floods all work to drive up premiums, and insurance companies pay out more claims each year for the combined smaller risks than for hurricanes.

One huge risk that the insurance companies no longer fear is mold. Up until 2003, policyholders submitted about as many mold claims each year as fire claims. And, the trend on mold claims was increasing. But, after the September 11, 2001 tragedy, insurance companies quietly convinced all of the insurance commissioners in America to allow them to exclude mold claims for coverage.

But, despite the insurance companies getting rid of most mold exposures, they still have to insure the other risks to homes. So, here are the Top Ten most expensive states in which to insure a home. We’ll start with the least, and proceed to Number One.

10. Kansas – Author Frank Baum placed the book “The Wizard of Oz” in Kansas for a good reason...it’s considered “tornado alley.”

9. Alabama – This state experiences tornadoes, hail, big thunderstorms and hurricanes. Plus, its building codes are more strict than its neighbors, driving up repair costs.

8. Rhode Island – Small state, long coastal exposure. So, hurricanes that sweep up the Eastern Seaboard pound this state.

7. California – “Earthquake Central”, plus wildfires, mudslides and coastal storms make this state an expensive place to insure a home.

6. Florida – sticks out into the Caribbean like a sore thumb, and gets smacked by hurricanes often. One of the big reasons insurance is so expensive here is that scores of insurers have pulled out of Florida. The biggest player in the market there is Citizens Property, a high-risk fund operated by the state. Their numbers are not added into the Florida totals, or it would likely be Number One.

5. Mississippi – lax building codes increase risks, as well as being a coastal state with hurricanes, tornadoes, hail and floods.

4. District of Columbia – Building costs in DC are higher than most places in the nation, as well as being considered Ground Zero for terrorism risks.

3. Oklahoma – Big winds plus big tornadoes make this state one of the highest priced states.

2. Louisiana – shares the same challenges as Mississippi, but adds a large population center below sea level.

And, in First Place (or Worst Place!)...Texas! Here, you can find all of the disasters in one place. Hurricanes, floods, hail, windstorms, and earthquakes all make it rough for insurance companies to stay profitable writing business in Texas.

But, take heart, insurance company fans! With new policy language called the “Anti-Concurrent Causation Clause,” insurance companies can now deny ALL claims where two or more risks cause damage. To learn more, read “The Insurance Industry’s Latest Scam” at this forum.

If you have experienced a property loss, whether fire, wind, flood or other, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to the website listed below.

Business Insurance: Four Basic Principles for Those Starting a New Business

2008-12-17T08:58:00.000-05:00

Business insurance is vital for a new business. If you are in the planning stages for starting a new business, you’ll need to plan for your insurance coverage. You likely already have insurance for your home and automobile. But the insurance needs for a business are somewhat different and you must address all of your new business exposures.

Here is a list of the four basic components of a business insurance policy:

1. Property:
a. The building you own. If you’re leasing a building, your lease may require you to insure the building.
b. Your business personal property, including your furniture, machinery, computers, office equipment, inventory and raw materials.
c. Your vehicles.

2. Liability: If your business will be dealing with the public, there is a chance that you will cause a loss to others due to negligence. This covers errors you may make and personal injury or property damage to others.

3. People: If you will have employees, Workers Compensation insurance will be necessary. You might also consider Health Insurance and/or Life Insurance for your employees. “Keyman” life insurance protects the business from loss of a key owner or employee. Worker’s Compensation is mandatory, other coverages are optional.

4. Income: The lifeblood of any business is its income. If that income is interrupted or stopped, the business will likely not survive. Business Interruption coverage provides replacement of the lost income due to a covered peril.

When you are preparing your business plan for your new business, you should be able to generate the information necessary, such as property values, number of employees and anticipated revenue. Share this information with your insurance agent so that together you can design a business insurance policy for you that meets all your needs.

If you have experience a Business Insurance loss, whether property, liability, people or income, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to the website listed under my photo.

Home Safety: Is Your Home Safe? Take This Simple Quiz

2008-12-16T17:30:00.000-05:00

Home safety is easy to overlook. Is your home safe? I’ll bet you’ve never looked at home safety through the eyes of an insurance adjuster. But it will benefit you to think about all of the ways you could have an insured loss at your home.

Here’s a simple quiz. If you have done all of the tips after the question, you can answer “Yes!” If not, you’ve got some work to do.

1. Is your home secure?
-Install deadbolt locks on all exterior doors.
-Install outdoor lights next to all exterior doors, and make sure the bulbs are working. Connect the outdoor lights at doors to motion detectors that go off when someone approaches.
-Install a monitored security system that has sensors at every opening, including second story windows.
-Install curtains or blinds on windows so people outside cannot easily see what’s inside.

2. Is your home safe?
-Install one smoke detector on each level of the home.
-Install a radon gas detector in the basement.
-Keep the areas in front of doors, and sidewalks cleared of leaves and snow.
-Make sure there is a fence around any outdoor pool.
-Place a home fire extinguisher in the kitchen, one in the garage, and one in another room.
-Clean out the lint filter on your dryer every time you use it.
-Get your fireplace chimney cleaned once a year.
-Get your furnace checked once a year.

3. Are you living safely?
-When you have guests in your home, monitor their alcohol consumption, and don’t allow them to drive if they’ve had too much to drink.
-Be extremely careful when working outside on ladders. A fall can seriously injure or kill you.
-Insist that any workers on your property provide you with their certificate of insurance. No exceptions.
-Be extremely careful when working inside. Use a safe small ladder or solid stool, don’t jump up on a chair to reach overhead.
-Keep your staircases clear. Don’t stack stuff on stairs and then try walking around it.
-Don’t start to cook on the stove and then walk away. Cooking fires are number one for home damage.
-Don’t plug a bunch of electrical devices into a cheap extension cord.
-Don’t cover extension cords with rugs or run them under carpet.

If you were able to answer “Yes” on all three questions....CONGRATULATIONS!! You will likely never have to have an insurance adjuster visiting your home!

If you have experienced a property loss, whether fire, wind, flood or other, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to my website at: www.insurance-claim-secrets.com

Ice Storm: Top Ten Tips On How To File Your Ice Storm Insurance Claim

2008-12-14T15:06:00.000-05:00

A massive ice storm hit New England on the December 12, 2008 weekend, leaving millions of homes and businesses without electrical power. Thousands of homes and vehicles were damaged as ice-laden trees and branches fell.

Now, you’ll begin the cleanup, recovery and repair process. Many of you will be submitting insurance claims for damage to your home, business or vehicle. Let me share a few strategies to help you add hundreds or even thousands more dollars to your claim settlement.

Vehicle Damage Claims

1. Remember that when something falls on your vehicle, it will be covered by the “Other Than Collision” or “Comprehensive” coverage, not your Collision coverage. Make sure you know what your OTC deductible is.

2. Take your damaged vehicle to the body shop of YOUR CHOICE, not the choice of the insurance company. It’s YOUR vehicle, not theirs.

3. Insist on Original Equipment Manufacturer (OEM) parts, not cheap aftermarket parts. The insurance company has a legal duty to return you car to its pre-loss condition. Cheap aftermarket parts are not as safe as OEM parts.

4. Perform a very careful inspection and test drive of your vehicle after repairs are completed. If you need to, have a qualified mechanic do the inspection for you. Document any uncompleted repairs, and make sure they get done right then.

5. If your vehicle is a total loss, get written appraisals from dealers of your choice to be sure that the insurance company pays you all that you are entitled to collect.

Building Damage Claims

1. Mitigate your damages...board up and tarp the home or business if necessary. The costs are covered.

2. Call a restoration contractor, not just a remodeling contractor.

3. Get your chosen contractor to meet with the insurance adjuster and agree on the scope of damages. Don’t just accept an estimate written by the adjuster.

4. If your home is too damaged to live in, your policy may have Additional Living Expense coverage. Carefully document all your expenses over and above your normal expenses while you’re living in a hotel or apartment.

5. If you have heavy damage to your home or business, consider consulting with a Public Adjuster to help you with your claim. They are claims professionals, and can customarily help you maximize your settlement amount.

If you have experienced a property loss, you need to know winning insurance claim strategies. The insurance company will not tell you the claims process, but I will. I will show you how to take control of your insurance claim, and add hundreds or even thousands more dollars to your claim settlement. For more information, go to my website at: www.insurance-claim-secrets.com