Understanding Structured Insurance Settlements

Simply put, a structured insurance settlement occurs when an insurance company releases the amount of money that was settled upon or ordered by the courts in a series of installments rather than in a single lump sum. There are many ways in which these payments can be made and some things about them that everyone should understand.

How Payments are Made

There are several ways in which structured insurance settlements can be paid out. First, the company may issue a series of lump-sum cash payments over the course of a year, two or even three. Cash settlements may also be provided but, more often than not, it is going to be a series of flat-rate payments that are made monthly, bi-monthly, semi-annually or annually. The way in which a particular person will receive his or her money depends upon the agreement between the individual and the insurance company or the order of the court.

What are the Advantages?

Although many people believe that receiving all of the money to which they are entitled up front is the best way to go about things, this is not always the case. There is a certain amount of financial security that comes from receiving structured insurance settlement payments on a regular basis. Not only does this financial security begin as soon as the first payment is received, but it also lasts well into the future whether an illness, injury or personal situation should arise.

What are the Disadvantages?

There are two real disadvantages associated with structured insurance settlements. First and foremost, if the party’s initial medical bills are quite extensive, then low payments over time may not be enough to prevent late fees, collection calls, and perhaps even refusal of treatment. The other disadvantage is that the cash value of the settlement amount will depreciate over time as the economy changes and everyday items – gasoline, housing costs, groceries, etc. – become more and more expensive.

Is a Structured Insurance Settlement a Good Idea?

Whether or not a structured insurance settlement is right for you depends upon several factors, and it is best that you discuss your situation with a legal representative prior to accepting any offer from any insurance company. These individuals can help you determine what your initial medical expenses will be and fight for at least one lump-sum payment at the beginning. Of course, there are some third party companies out there that will offer you a lump-sum payment if you are receiving structured payments or an annuity, but there are significant charges for this. It is best to determine what will work best for you in the beginning rather than waiting several years down the road to obtain a lump sum of cash.

Structured insurance settlements can bring peace of mind to anyone who is worried about bills after an accident or injury, but they certainly aren’t the best idea for everyone in every case. Be sure to consider your unique situation carefully before making a final decision. 

Your Insurance and the Holiday Season

The holidays are both a wonderful and stressful time of year for many people. While the spirit of the holiday makes for good fun and cheer, the increases in traffic, theft and even identity fraud can be a burden to us all. Ensuring that your Florida insurance is adequate for covering you in the event of some holiday accident or theft is very important.

Outdoor Lights

Though it occurs rarely, faulty wiring on your outdoor holiday lights can cause a fire. This is a tragic event during the holidays and one that hopefully never occurs, but you should still be prepared if it does. Experts state that as long as you have fire coverage in your homeowner’s insurance policy, a fire that is caused by faulty wiring in your outdoor lights will be covered.

Stolen Gifts

Believe it or not, there are thieves out there who wait for the opportune time to slip into your home and steal the gifts right out from under your tree. Though it is sad and discouraging, your insurance company is there for you. Holiday gifts or no, this is still a theft that has occurred in your home. Make sure that you have receipts on hand for your purchases so that you can prove which items were stolen.

Auto Accidents

Outdoor holiday decorations are certainly beautiful and many people make it a point to drive around admiring them each year. Of course, with all of the increased traffic on the roadways, the chances that an accident may occur go up significantly. With this being said, if you’re out and about looking at the lights and you accidentally rear-end the car in front of you, this should be covered by your automobile insurance.

Woe is Wii

The Wii is one of the most popular video game consoles among children today, but because it requires physical activity while holding a moderately heavy controller, accidents can and do happen. If your little one accidentally lets go of the controller and it smashes through your HD television screen, don’t fret. Chances are that this may be covered by your homeowner’s insurance. Of course, if the deductible for the year has not been met, take the time to consider the amount of your deductible and the value of the television. Sometimes, a claim isn’t the best idea.

Windy Mishaps

Let’s face it: the wind in Florida can be fierce at times. As such, a storm or strong gust of wind has the potential to knock over your large outdoor decorations and fling them in multiple directions. If your automobile is damaged by flying decorations, this should be covered under your auto insurance policy. However, if your six-foot Santa crashes into the neighbor’s car, you’ll likely need to file a homeowner’s insurance claim, instead.

While the odds of some of these things happening may be quite low, they can and do happen to plenty of Americans each and every holiday season. Take the time to make sure that your insurance policy has you covered and you’ll be able to better enjoy the holiday season. 

How to Tell if an Auto Accident was Staged

Though it sounds a bit far-fetched, there are more and more drivers out there who are being involved in staged auto accidents. Essentially, what appears to be an accident was actually a calculated effort for the other driver to receive money or other benefits. Listed here are some ways to tell whether or not your auto accident may have been staged.

An Invisible Car in the Intersection

There are a few tactics that crooks use to trap unsuspecting drivers in intersections, but they all involve suddenly swooping into the intersection from what would appear to be absolutely nowhere. In some cases, one driver may motion for you to go ahead through the intersection but then pull out and block your path as you try to proceed, allowing a second fraudster to crash into you – purposely. Another tactic involves a driver who sits idle on the right side of the road just prior to a stop sign and then hits the back of your car as you turn right. Then, the driver will tell the police that you ran the stop sign and caused the collision.

Jump-Ins

One of the best ways to tell if you have been involved in a staged auto accident is if other people appear from seemingly nowhere and jump into the car that you hit. These people will then feign injuries – sometimes slight, others more severe – so that they can get money from your insurance company. You should also be very wary of anyone who claims to have severe pain or injuries after a very minor accident that results in only a small amount of damage to the vehicles involved.

Sudden Stops

There are two ways that crooks will use what is known as the ‘swoop and stop’ to their advantage, but because the result is a rear-end collision, the innocent driver is always found to be at fault. Here, it is important to stay alert and drive defensively at all times. In the first, a car will pull up beside you in another lane and block your ability to merge while the car in front of you slams on its brakes, causing a collision. In the second and more daring staged auto accident, the driver will simply pull out of you and stop dead in the center of traffic.

Fake Witnesses

Finally, it is important to quickly assess the situation any time you are involved in an accident and determine who is in the other car and who may have been able to see the accident occur. If someone else pulls up at the scene a moment later, steps out of his or her car and backs up everything the other driver says but wasn’t anywhere near the scene of the actual accident, it is likely that you are being swindled.

While you may find it difficult to argue your case, particularly if there are false witnesses or you have been involved in a rear-end auto accident, it is important to point these things out at the scene to the responding officer and to your insurance agent, as well. If necessary, an investigation can be implemented and real witnesses can be questioned. 

Protecting Yourself and Others from Dog Bites

Although unfortunate, being bitten by a dog is one of the most common causes of injury – especially in children. It is important to not only protect your own family from being injured, but it is also necessary to make sure that you have ample insurance to cover any bites that may be inflicted by your own furry friend.

Statistics about Dog Bites

There are some 78 million pet dogs in the United States and according to the CDC (Centers for Disease Control and Prevention), 4.5 million people are bitten each year. Of these, 885,000 bites require medical attention and a vast majority are suffered by children who are between the ages of five and nine years old. Similarly, it was documented in 2012 that dog bites made up almost a third of all of the homeowner’s insurance claim dollars that were paid to consumers that year.

Your Own Pet

In order to prevent a claim from being filed against you due to your own pet, it is important to properly train your dog and also teach your family how to play with him or her. It isn’t in an animal’s nature to bite someone, but rough games like tug-of-war can teach your pet aggression and this may lead to bites. It is better to play games such as fetch and teach your dog basic obedience – sit, stay, and heel – than to encourage your dog to be hyperactive or aggressive toward anyone at all.

Someone Else’s Pet

It is also important to remember that you should never attempt to pet a dog you are unfamiliar with, and this is a lesson that should be taught to all children at a very young age. No matter how well-mannered the animal may seem, it may be skittish about being approached by a stranger and bite. You should always ask the dog’s owner before attempting to pet a dog, and you should never try to catch a dog that appears to be a stray. Rather, contact your local animal control or authorities so that trained professionals can help.

Dog Bites – The Numbers

About one fifth of all of the pet dogs in the United States are adopted from shelters, and this increases the likelihood that these pets may be aggressive due to prior abuse or mistreatment. More than 80% of the children who are bitten are bitten by their own pet or a neighbor’s pet, and a good number of these animals were adopted from shelters. 75% of the fatal dog bites that occur are inflicted upon family members or guests on another person’s property, and only 7% of all of the bites that occur are work-related, meaning they were inflicted upon postal workers, meter readers or other personnel.

With all of this information in mind, you should always make sure that your liability insurance is enough to cover any injury that your dog may cause on your property. Similarly, you should always take the time to train your pet to be well-mannered and never assume that a stranger’s dog is friendly.