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. 

Preparing for the Next Hurricane

While there are many things that Floridians can do to prepare for the next hurricane, such as creating an emergency kit, stocking up on batteries and creating a family-wide preparedness plan, it is also important to take stock of all of the important items throughout the home. There are several ways in which this can be done.

When to Make Changes

First and foremost, it is important to remember that homeowners cannot make any changes to their insurance policies while the state of Florida is under a hurricane watch or warning. This means that any necessary changes will need to be made prior to the start of the season in order to be safe. As such, Floridians should ensure that all of their important assets (namely, those that are pricey and expensive to replace) are covered by their policies. During the off-season, all homeowners should take the time to compare the value of such assets with the amount that their insurance policies will cover in the event of a loss.

Use a Digital Camera

The absolute best way to record the number of assets in the home is with a digital camera. Homeowners should first ensure that the date stamp feature is turned on so that each photo is marked with the date it was taken; this will help in the event that a claim needs to be made. It is also important to make sure that brand names and important aspects of the items are captured in the photos as this can make a huge difference when it comes time for the insurance company to fulfill your claim. Finally, consumers should always be sure to make a copy of the photos on some form of removable media and store it in a disaster-proof location or even online. 

Make a Physical List

Now that the record has been captured digitally, consumers can make a physical list of this property by hand or on a computer. This way, it is easy to estimate the value of such items, write the values down, and total them up at the end. This is the figure that homeowners should consider when they are purchasing coverage for their personal effects like computers, smartphones, televisions, home entertainment systems, furniture and more.

Make Changes Accordingly

While everyone should update their insurance policies at least once a year – and preferably not during hurricane season – it is also necessary to contact the insurance provider if a significant purchase is made. For instance, if a consumer invests $15,000 in new furniture throughout the home, then it is important to contact the provider and make changes to the policy, if necessary, to ensure that there is enough coverage there to take care of the purchase in the event of a loss. Even a slight change can make a huge difference when the next big storm comes along.

If you have questions about your insurance policy such as the amount that is covered in the event of a loss, please do not hesitate to contact your agent right away. These individuals can help you make changes to your policy that will help you and your family weather any storm. 

Winter Insurance Tips for Floridians

While it certainly doesn’t get as cold in Florida as it does in other parts of the country during the winter months, there are still some things that Floridians can do to save money on their insurance costs. In fact, these tips are great for people who live all across the country and choose to winter in Florida due to the warm, moist climate.

Reduce Insurance on Non-Driven Cars

One thing that Floridians (or tourists and part-timers) can do to save money on their insurance during the course of the winter is to reduce coverage on the vehicles that are not being driven. A two-car couple who comes to Florida for three months out of the year may only bring one car with them; they could save hundreds of dollars by simply reducing the coverage on the non-driven car. This should be considered carefully, though. If a tree limb or hailstorm damages the car, nothing short of full coverage automobile insurance will cover those damages in most cases.

Roadside Assistance

Anyone who does not already have roadside assistance in the winter months should consider the benefits. For less than $20 per month, individuals receive assistance if they get a flat tire, lock themselves out of their cars, run out of gas or even slide off the road into a ditch. While snow and ice aren’t as much of a concern in Florida as they are in other states, it does occur from time to time. The winter months in the state can get cold, so dead batteries and flat tires are commonplace. Having roadside assistance may help Floridians reduce their insurance costs because their vehicles will not be left alongside the road in the event of the unexpected.

Increase Coverage on Frequently Used Cars

If there is one vehicle that will be used more than the others during the winter months, it is worth taking the time to consider increasing comprehensive and collision coverage. Even though wintry precipitation isn’t much of a threat in Florida, the winter months are often quite rainy and wet. This alone often leads to an increase in the number of accidents that are reported, and no one wants to be in an accident only to find that they have to pay out of pocket for any damages or injuries that may have occurred.

Boat and RV Insurance

If the boat and RV will be garaged during the winter months, then there is really no purpose of carrying the maximum coverage on these. In fact, if they are in the homeowner’s garage, it may be possible that these are covered under the homeowner’s insurance policy in the event of fire, natural disaster or theft and paying extra for insurance may not be necessary as long as they are not being used. People who own boats and RVs can check with their agents to find out what is covered under each policy and what changes can be safely made during the winter months.

Saving money on insurance in the winter is quite possible, but it is always recommended that consumers speak with their agents prior to making such changes so that they are informed of all of the possible risks. Saving money is important, but so is protecting valuable assets.

Handling Florida Sinkhole Claims

Because of its geography and terrain, Florida is a state that is prone to sinkholes. More and more homeowners are battling this phenomenon, but many are finding that their insurance providers are refusing to pay claims that a sinkhole has caused damage to the homeowner’s property. There is a process outlined for handling Florida sinkhole claims, however, that can help you get back on track if your claim is denied.

Neutral Evaluation

The Florida Department of Natural Resources has set up what is known as the Neutral Evaluation program to help homeowners who experience denied Florida sinkhole claims. The process itself involves the help of a state-licensed Neutral Evaluator and is authorized through Florida State Statute 627.7024. You will not be required to pay any of the costs associated with the evaluation; this falls on the insurance company which denied your claim. Essentially, the Evaluator is a professionally trained, unbiased engineer or geologist who can survey your property and determine whether or not a sinkhole is responsible for any damage to your home.

Legally Admissible

It is important to keep in mind that the Neutral Evaluator’s decision or recommendation does not in any way require the insurance company to pay – or refuse to pay – for any claim. The opinion offered by this individual is not final, and both you and your insurer will still have the right to take the matter to court. However, the professional opinion of the Evaluator is admissible in court as evidence. Similarly, it is possible for you and your insurance company to settle the matter out of court during this process.

Evaluator’s Findings and Legal Fees

If the Evaluator verifies the existence of a sinkhole, he or she will research further to determine the scope of the damage that has occurred as well as any damage that may occur in the future. This information will be presented in a report that is provided to both you and your insurer. If the amount of money that it will take to cover any losses and repairs is more than what the insurance provider has offered to pay for these Florida sinkhole claims, then the insurance provider will be required to pay up to $2500 in attorney’s fees for the attorney’s role in the Evaluation process.

Requesting an Evaluator

If you would like to request a Neutral Evaluator to research your Florida sinkhole claims, you can find the Request for Neutral Evaluation form on the Florida Department of Natural Resources website. Then, you will be provided with a list of Evaluators operating in your vicinity and you and your insurer must mutually agree upon one of the listed Evaluators within 10 days. Otherwise, the DNR will choose one from the list and appoint him or her to your case. Once he or she has been assigned, you will be notified within five days of the place and time the initial conference will be held, and this can occur no more than 45 days following the initial request for Evaluation services.

If you cannot afford an attorney but you still want to fight a denied Florida sinkhole claim, you have the right to request that a DNS insurance specialist be present for all of the proceedings free of charge. This individual can help you through the process, but he or she cannot provide any legal advice.