September 29th, 2009 by DieWolf

Why do you carry an umbrella? The easy answer is so that you protect yourself from the rain, right? Well, not exactly. You also carry an umbrella in case it rains, at least forward-looking people do. And business owners and professionals looking for the right insurance always have to be forward-looking, don’t they?

In other words, an umbrella is an “insurance policy” in the event that weather disaster strikes you. You may have a waterproof coat on. You may be wearing rain boots. You might have even picked a route to walk on which provides you the maximum shelter from rainfall. But you’ll still carry that umbrella around with you because you want to make sure you don’t get soaked once the unwanted event occurs, don’t you?

Well, it’s not all that different when it comes to formal insurance polices. It’s why they’ve come up with something actually called umbrella insurance. Those creative geniuses in the insurance industry have an answer and a name for everything, don’t they?

To put it in the simplest terms, umbrella insurance is extra coverage you get just in case you your basic coverage runs out. So, if you have, say, professional liability coverage of up to $1 million, and a claim is made against you for $1.5 million, the umbrella portion of your coverage can kick in and prevent you from paying the full amount. Just as a real umbrella can save you from the disaster of your hair getting wet, despite the most waterproof hat on the market, good umbrella coverage will provide you with protection in case your basic coverage gets soaked, too.

There are essentially two advantages to obtaining umbrella insurance. One is that it can leave significant assets covered for a relatively small price. The other advantage is that it can simply provide you with more comprehensive coverage — above and beyond individual policies such as professional liability.

Individuals or professionals who have considerable assets that could be at risk under the threat of a lawsuit might want to consider an umbrella policy. Professional liability alone may not be enough, since the limit of that policy could only cover a certain amount of your assets. By investing in an umbrella policy that would increase the amount of your assets covered, the potential savings in the end could far outweigh the additional costs. Liability insurance is meant to protect you from the nightmare lawsuit. Umbrella insurance does just that if you have considerable assets that could be at risk.

The other thing to take into consideration is that, not only does an umbrella policy provide you with added insurance, just like a real umbrella, but it also provides you with coverage that brings together various different aspects of your specific insurance policies. In other words, this kind of policy puts under one umbrella components that would otherwise be included in separate coverage. There go those insurance experts with their clever titles again. So, a good umbrella insurance package can not only end up costing you a bit less to cover more assets, it can save you the time and effort to seek out individual policies to cover various different components of your business.

For example, instead of, say, getting one policy for professional liability, another policy for property coverage, and yet another for worker’s compensation, a cleverly constructed umbrella policy can create for you elements of all of them, save you money, and leave you more widely and deeply covered than you otherwise would be. Like all good insurance policies, it leaves you prepared for when that rainy day hits. You’ll have that umbrella over your head to meet that day when it comes.

Now, before coming to the conclusion that, despite all the warnings and all the concerns, you probably don’t need umbrella coverage, think about some of the consequences of not getting it. For a relatively small extra investment, is it really wise to simply write off the concern and pretend that you don’t have to worry about it?

Here’ some food for thought. No matter how careful or good you are, and no matter how prepared you think you are to avoid mistakes and causing harm to others, there are two things you have to worry about with respect to umbrella insurance and professional liability.

The first is that you’re human. You’re not superman — or superwoman. As a business owner or professional, you are going to make mistakes. You don’t know when or how, but being human means that they mistake can occur one way or another. And they can certainly happen in the normal conduct of your business. In fact, all that has to happen is for there to be a perception of a mistake made by someone you do business with, that causes damages, that you can still end up paying for in terms of legal fees and awarded damages.

The second thing to worry about if you don’t have umbrella insurance or professional liability coverage is human nature, especially in today’s environment of the frivolous lawsuit. You almost can’t imagine the ways in which your business might touch others, and the ways in which someone out there may claim that the harm they suffered was as a result of something you did. You cannot possibly protect yourself from such a scenario without things like professional liability which may include added umbrella insurance. With these under your belt, you help protect yourself from the nightmare lawsuit you never dreamed of ever having to fight.

September 29th, 2009 by DieWolf

Teenagers are more excited when the day they start to drive alone having the license that will allow them. What could be the consequences that you might expect when this day comes? This question is what most parents ask about this thing. There are lots teenagers who are uncontrolled when they are driving. A lot of them are so intense and over confidence already driving in an expensive car with their companions. Parents are most likely involved on Read the rest of this entry »

Car, Car Insurance, Insurance, Teenager Car Insurance

September 23rd, 2009 by DieWolf

It is important to understand the various Pennsylvania auto insurance laws. Why? Because understanding these laws may just end up keeping you safe and saving you some money! Laws regarding car insurance change greatly depending on the state you live in. Some places have very straight forward or even practically non-existent laws, while others have more complicated and detailed laws. No matter where you live it is essential to know certain laws regarding auto insurance if you own a car. The state of Pennsylvania is no exception. There are, in fact, 5 car insurance laws in PA that you need to know.

Law #1 – PA’s Minimum Requirements For Car Insurance

The state of Pennsylvania mandates that you carry minimum liability limits of $15,000 per person bodily injury, $30,000 per accident total bodily injury and $5,000 per accident property damage. It also requires you to carry $5,000 in medical expenses coverage. These limits are extremely low and not satisfactory protection for most people when involved in a serious accident.

Law #2 – PA Is A No-Fault Auto Insurance State – Sort Of

You need to choose if you will have a limited tort or full tort option on your PA car insurance policy. Choosing full tort gives you better coverage if you are hurt in an accident. Limited tort is less expensive but it prevents you from receiving compensation for pain and suffering by limiting your right to sue the other party.

Law # 3 – There Are Hefty Penalties For Not Having PA Car Insurance

If you are caught driving without liability car insurance in the state of Pennsylvania, you will get a 90-day suspension of your license and several fines and fees.

Law # 4 – Pennsylvania Has An Assigned Risk Plan

In Pennsylvania, there is an assigned risk plan that ensures everyone can get auto insurance, no matter how high-risk they are. If you have been refused coverage, cancelled, or are having trouble getting coverage, you may want to check into it.

Law # 5 – You Can Stack Uninsured Motorist Coverage For Extra Protection

If you have more than one vehicle on a policy, you can stack the UM coverage on them for an additional premium and get additional protection.

Compare Pennsylvania Car Insurance Policies

Now that you are familiar with these 5 PA car insurance laws, you are well prepared to start shopping around for your car insurance needs. Use a free online quote tool, and you can compare top companies that are ready to offer you the coverage you need.

September 19th, 2009 by DieWolf

Architects have always been in demand for their ability to design houses and buildings that people hold in awe. It is a highly skilled profession, where projects range in size and scope, from small office buildings to colossal sports stadiums.

However, most people can only see the bright side of architecture as a profession and do not realize that it is fraught with responsibilities. Any architectural firm may incur heavy liabilities due to the slightest error, oversight, or omission.

Such conditions require the protection of architect liability insurance for an individual architect or his/her firm. It protects professional architects in case of any legal claims that allege negligence on the part of the architect in the execution of services. At times, even when the case proves to have no validity, the legal cost involved in fighting the case can be substantial and can even leave an architect or firm reeling from the financial pressure.

Hence, architect liability insurance is a must for all architects and firms. There are various insurance and brokerage firms that offer architect liability insurance. While many of these offer the architect liability insurance as part of their other insurance packages, some others especially deal in architect liability insurance. It is a better idea to go with a brokerage or insurance firm that deals specifically with architect liability insurance, as they are knowledgeable of the field of architecture and may be open to negotiations on the premium price.

One can find information about such insurance and brokerage firms easily on the internet. However, like all types of liability insurance, it is important to first have a proper understanding of the needs from the insurance as well as what one is looking from a architect liability insurance company.

September 19th, 2009 by DieWolf

Do you think that illegal immigrants should be able to buy auto insurance?

New Mexico’s legislature passed a law in 2003 that allows illegal immigrants to get driver’s licenses so that the public would be safer. States regularly deny driver’s licenses to foreign citizens no matter what there immigrant status is. Some states like California began tightening their requirements for driver’s licenses, and many immigrants couldn’t renew their licenses, and their car insurance was cancelled automatically.

Some car insurance companies have seen this as a new golden market. Even though many states deny driver’s licenses to illegal immigrants, the law doesn’t prevent insurers from selling insurance to unlicensed drivers and car owners. Big companies like Progressive are writing car insurance for illegal immigrant drivers.

My first reaction to this story was anger. How could those insurance companies reward illegal immigrants with car insurance? But then, I calmed down and began thinking like an insurance claims professional.

The legal arguments about immigration are not my immediate concern, and they shouldn’t be yours, either. The most important thing you should consider is what happens to you if you get into a traffic accident with an unlicensed driver who has no car insurance.

How many times have you heard a news story that told about an illegal immigrant driver that caused an accident, and then took off on foot, abandoning their car? Sometimes, they’ll beg the other driver to let them pay for damages in cash, just so they are not discovered driving without insurance or confronted by police.

I like the fact that the insurance companies are taking a pragmatic position. Illegal immigrants are going to drive cars in North America. Few things will stop them. They are going to drive to and from work whether or not they have a license. Nothing prevents them from owning a car in any state that I know of.

By serving this growing market, the auto insurers are offering protection as they rightfully should. They are staying out of the political fray, and correctly staking their position in the free market. Certainly, this market of illegal immigrants is high-risk insurance, and so the insurers are charging high-risk rates for auto policies. But that’s no different than charging higher rates for American citizens that have had a DUI. Risky behavior gets you higher rates.

But the insurance companies are finding that the illegal driver segment is very profitable. The insurance companies experience good “retention,” meaning that the policies renew regularly. Just as important is the fact that illegal immigrants seldom report small accidents to lower the chances that they’ll have a brush with the law. Companies like Progressive, Farmers Group, Bristol West, Infinity P&C and Alliance United are putting a lot of effort into expanding this part of their book of business.

So, in this case, I think the insurance companies are doing the right thing. The more illegal immigrants that have car insurance, the more we all will be financially protected.