Insurance

What is Insurance?

Insurance is, “a contract whereby, for a stipulated consideration, one party undertakes to compensate the other for loss on a specified subject by specified perils. The party agreeing to make the compensation is usually called the “insurer” or “underwriter;” the other, the “insured” or “assured;” the agreed consideration, the “premium;” the written contract, a “policy;” the events insured against, “risks” or “perils;” and the subject, right, or interest to be protected, the “insurable interest.” (Black’s Law Dictionary 946. 4th Ed. Rev. 1968)

An insurance policy is a contract in which an individual or entity (the policyholder) pays an insurance company (the insurer) in regular payments in exchange for financial protection over specific risks or losses. For example, medical insurance helps to cover medical costs, such as hospital visits, hospital stays, and medications. Similarly, auto insurance helps to cover damages incurred from car accidents. Insurance payments are known as premiums. Insurance contracts typically limit the amount of costs that an insurance provider may be required to pay.

The McCarran-Ferguson Act (15 U.S.C. § 1011) grants many aspects of insurance regulation to individual state governments. However, federal laws like federal taxes do apply to insurance, and must be acknowledged. Insurance is important to the legal system, as it helps protect individuals, those who cause harm to individuals through negligence, and any third party that is faced with the burden of compensating for an injury.

More information about Insurance

Red Light Cameras Reduce Intersection Wrecks

Placing video cameras on stoplights cuts down on drivers running red lights by more than 80 percent, new research suggests. The result: fewer intersection crashes and auto accident deaths.

Those are the key findings from a just-released traffic safety study conducted by the Insurance Institute for Highway Safety (IIHS).

“This study provides fresh evidence that automated enforcement can get drivers to modify their behavior,” said Anne McCartt, senior vice president for research at IIHS and the study’s lead author, in a news release.

Approximately 540 towns and cities nationwide have red light cameras. A growing string of studies have shown that the devices curb automobile accidents and improve road safety.

The most recent study involved filming traffic flow at four heavily-traveled intersections in Arlington, Virginia. One camera was installed at each intersection.

Motorists were given a 30-day warning period before enforcement began. […]

Family Wins $2.85 Million in Auto Wrongful Death Lawsuit

A Dauphin County jury has awarded $2.85 million to the family of a Hummelstown man killed in a 2006 wreck.

Fifty-seven-year-old William H. Smith was killed when a backhoe fell off a hauling trailer on I-83 and struck the vehicle he was driving. The backhoe had been negligently placed on the trailer.

In Pennsylvania, the family of someone killed in an automobile accident caused by the negligence of another person or company can file a wrongful death lawsuit against the responsible parties.

Here is a report in The Patriot-News about the Dauphin County verdict:

Smith, a father of two, died on Jan. 3, 2006 when a backhoe was jolted from a tractor trailer on Interstate 83 and its bucket slammed into his sport utility vehicle.

Smith’s wife, Linda, filed suit a year after her husband’s death. […]

Yellow Dots Save Lives in Pennsylvania Car Crashes

Two new motorist safety programs make sure Pennsylvania drivers never get behind the wheel without bringing important medical information along.

The Yellow Dot and Emergency Contact Information initiatives were announced November 9 by Governor Tom Corbett:

“Both of these programs speak for people when they can’t speak for themselves, so medical concerns can be addressed and contacts can be reached as quickly as possible,” Corbett said. “When someone is in a crash or they find themselves in an emergency situation, it’s critical that emergency responders quickly find out as much as they can about the victim.”

Participants in the Yellow Dot program fill out the program form with their emergency contact, medical contact and medical information, insert it in the program’s folder and then place it in their vehicle’s glove compartment. Participants then place a yellow dot sticker on their vehicle’s rear window. […]

PA Cheerleaders Warned of Injury Risk

By now most young athletes and their parents in Pennsylvania are aware of the risk of sports injuries, particularly concussions in football.

Less appreciated are the risks that cheerleaders face – but the American Academy of Pediatrics hopes to change that.

The AAP has issued a policy statement urging coaches, parents and school officials to take steps to make sure cheerleaders get the same coaching, care and protection as quarterbacks and point guards.

In recent years, cheerleading has gone from exhorting crowds at football games to a year-round activity that combines acrobatics, dance and gymnastics.

Participation has skyrocketed. From 1990 to 2003, the number of U.S. cheerleaders age 6 and older increased from 3 million to 3.6 million, according to the AAP.

Unfortunately, the injury rate has also soared. Since 2007, there have been 26,000 cheerleading injuries in the U.S. […]

7 Ways to Fast-Track Your Sandy Insurance Claim

Claim your insurance protection for damage done by Hurricane Sandy

In the wake of Hurricane Sandy, thousands of Pennsylvanians are filing insurance claims under homeowners, auto, health and even life insurance policies.

Many will face long waits and daunting paperwork.

Some insurance slowdowns are inevitable following a disaster of Sandy’s proportions. Damage estimates range from $7 billion to $50 billion, according to the Wall Street Journal.

But by taking a few simple steps Pennsylvania residents can improve the odds of their claims getting fast-tracked for approval:

Do your homework. Take pictures or video of the damage. Before-and-after photographs, purchase records and contractor estimates for repairs are especially valuable.
Hurry up and file your claim. “Experts say that many homeowners hesitate because they aren’t really sure if they have enough damage to merit a claim—or at least a claim that is more than the value of the policy’s deductible,” the Wall Street Journal reported. […]

CDC Statistics Show One Million Teens Drink and Drive

One million teens drink and drive, down 54 percent in 20 years

Just last week our Pennsylvania car accident attorneys reported that teens tend to mimic the unsafe driving behaviors of their parents. Now, in a new report from the U.S. Centers for Disease Control and Prevention, researchers confirmed this behavior, specifically with drinking. According to the report, “teen alcohol consumption and drinking and driving patterns are correlated with those of adults living in the same state.”

The CDC released its latest study on teen drinking, Vital Signs: Drinking and Driving Among High School Students Aged ≥16 Years — United States, 1991–2011. The report was compiled after analyzing data from the 1991–2011 national Youth Risk Behavior Surveys (YRBS) to describe the trend in prevalence of drinking and driving (defined as driving one or more times when they had been drinking alcohol during the 30 days before the survey) among U.S. […]

Pennsylvania Dog Laws Are Being “Aggressively Enforced”

While Governor Tom Corbett focuses on protecting Pennsylvania residents, he also ensures that those residents who can’t take care of themselves are properly cared for – including animals. Last week he announced the Dog Law Enforcement Office is aggressively enforcing the State’s dog laws to protect man’s best friend.

According to the press release, the Dog Law Enforcement Office is focused on “protecting the well-being of dogs and puppies across the state.”

“Pennsylvania has one of the toughest dog laws with the most aggressive protections for adult dogs and puppies in the nation,” said Michael Pechart, acting director of the office. And his office takes enforcement seriously. Of the nearly 300 kennels that were once in operation in the state, just 51 remain.

The Enforcement Office is also working to increase enforcement of dangerous dog laws by citing owners who fail to register their dangerous dogs with the office, […]

PA Legislator to Propose Cellphone Ban

This month we reported that law enforcement have been challenged when enforcing Pennsylvania’s anti-texting law. Since the law allows for talking on the cellphone, drivers can deny they were texting if pulled over and say they were calling someone. At least one Pennsylvania legislator wants to do something about it and is proposing a ban on all cellphone use behind the wheel.

The Pocono Record reports House Appropriations Minority Chairman Rep. Joseph Markosek, D-Allegheny plans to introduce the new regulations in the fall. Although the bill has not yet been circulated for co-sponsorship, Markosek believes it has support within the Democratic caucus.

The ban, that will result in a fine of $50, or $100 if driving in a school zone, work zone or highway safety corridor, is being introduced to help police enforce the current ban on texting while driving.

The Pocono Record references the Pennsylvania Department of Transportation statistics that estimate 58 deaths and more than 14,000 distracted-driving car crashes occurred in 2011. […]

Pennsylvania Drivers Urged to be Aware of Information Exchanged After a Car Accident

Our Pennsylvania car accident attorneys encourage all drivers to do the right thing after a car accident: stop, assist others involved, call the police, exchange information with others, and contact your doctor. All of these are key steps to help minimize the stresses associated with being in a car crash and to help ensure that all legal processes are completed.

However, according to the National Association of Insurance Commissioners (NAIC) while it is important that anyone that has been in an accident shares appropriate information, it is critical that they not share too much information and risk putting themselves in jeopardy of identity theft.

The NAIC, the U.S. standard-setting and regulatory support organization created and governed by the chief insurance regulators in the U.S., reports identity theft is one of the fastest-growing crimes in the U.S. Federal statistics estimate nearly 9 million Americans have their identities stolen each year. […]

Pennsylvania Car Accident Lawyer Warns that Higher Unemployment Could Mean Fewer Insured Drivers

Scranton, PA, August 18, 2012 — An uptick in the number of people in Scranton/Wilkes-Barre who are out of work could heighten the risk for those behind the wheel, says Pennsylvania car accident attorney Caroline Munley.

This summer, the unemployment rate for the Scranton/Wilkes-Barre metropolitan area broke the nine percent mark for the first time since September 2011, according to the Scranton Times-Tribune. That was a full percentage point above the national average and two points above the rate for Pennsylvania as a whole.

“Unfortunately, when people lose their jobs, one thing they may do to cut costs is to cancel or reduce their car insurance,” said Munley, managing partner of the nationally recognized Pennsylvania personal injury firm of Munley Law, which has its headquarters in Scranton and offices across the state.

The law firm represents car accident victims in Pennsylvania and across the Northeast in matters that often involve car insurance issues. […]

Pennsylvania Drivers Encouraged to Observe National Cell Phone Courtesy Month

Just last week we reported on the U.S. Department of Transportation’s initiative to combat distracted driving – the Blueprint for Ending Distracted Driving. Our Pennsylvania car accident attorneys are committed to raising awareness of the dangers of distracted driving, most often caused by cellphone use behind the wheel. Now, “National Cell Phone Courtesy Month” runs through July, and PA drivers have yet one more opportunity to put down their cellphones when driving.

Jacqueline Moore, an international etiquette expert, began the cellphone courtesy initiative in 2002 when she realized that many Americans were unsure of the etiquette around cellphone use. Although her intent of the campaign is to encourage others to be more respectful of their surroundings while using their cell phone, as distracted driving becomes more widespread, cellphone courtesy should extend to vehicles. According to government statistics, over 3,000 Americans lose their lives every year on U.S. […]

The IIHS Suggests Toughening Up Pennsylvania’s Graduated License Program

Pennsylvania’s graduated licensing (GDL) program has been identified by the Insurance Institute for Highway Safety (IIHS) as one of the best GDL programs in the nation. In a recent study, the IIHS honed in on five components of GDL’s that can improve safety among teen drivers. Although PA meets many of the requirements, there is still room for improvement.

In March, we offered detailed information about the GDL after the USA Today did a featured story on teen driving. In 2010, Governor Tom Corbett tightened the restrictions for teen drivers by enhancing the GDL. However, the IIHS believes that by adding even stricter requirements in Pennsylvania, the state could see a 27% reduction in teen accidents.

In 2010, there were 27,149 crashes involving drivers between the ages of 16 and 20. There were 57 car crash deaths in accidents in 2010 that involved a 16- or 17-year-old driver. […]

Text message sender is sued in distracted driving accident

Victims in distracted driving accident claim sender of text message enabled driver to be distracted

The victims of a distracted driving accident are making history in the lawsuit they have filed for damages. A man and his wife who both lost their left legs when the motorcycle they were riding was struck by a driver who was texting are suing the sender of the text message as well as the driver.

The driver of the car that struck the New Jersey couple in Sept. 2009 pled guilty to using a hand-held cellphone while driving, careless driving, and failure to maintain a lane. The man was sentenced to $775 in fines and was ordered to speak about the dangers of texting and driving at local high schools, according to the article in the New York Daily News.

The couple is seeking damage for medical costs related to their injuries. […]

Global Youth Traffic Safety Month Begins

Just Friday we presented information from a study that shows that teenage drivers are in denial that they will be the cause of a distracted driving accident. That may not be the case for all teens, however, and the National Organizations for Youth Safety (NOYS) is hoping to rally teen safety advocates to help spread the word to other teens to drive safely.

NOYS announced Tuesday the start of Global Youth Traffic Safety Month. With a focus on a safe summer, the campaign is “targeting young drivers to commit to the safest summer ever to put an end to motor vehicle crashes.

According to the National Highway Traffic Safety Administration (NHTSA), drivers aged 15- to 20-years old are especially vulnerable to death and injury on U.S. roadways. In fact, traffic crashes are the leading cause of death for teenagers in America with approximately 5,000 teenagers killed every year. […]

PA Drivers: Keep Both Hands on the Wheel!

Studies on distracted driving seem to be dominating the news. The Centers for Disease Control and Prevention (CDC) reports that 15 people die, and 1,200 more are injured, nationwide every day due to an accident caused by a distracted driver. While cellphone use is the primary focus of distracted driving campaigns, a new study found that when a driver has just one hand on the steering wheel the risk of an accident increases.

In a study conducted using a driving simulator in Great Britain, researchers at the University of Leeds found that people who eat while driving have a reaction time that is 44 percent slower than those who have both hands on the wheel. The report, “Two Hands are Better Than One,” also found that drivers who sip coffee while behind the wheel are 22 percent slower in their reaction speed and were 18 per cent more likely be unable to maintain a steady central lane position. […]

Pennsylvania Graduated License Program Aimed at Saving Teen Lives

The National Highway Traffic Safety Administration (NHTSA) reports automobile accidents are the number one cause of death for teens. Last month we urged teenagers in Pennsylvania to focus on driving carefully and following the laws when taking to the local highways to help prevent other teens from becoming a statistic. Last Thursday, the USA Today, also hoping to get the message out that teen drivers are at risk on America’s highways, published a special report entitled “Making Teen Driving Safer.”

Although the USA Today points out that nationwide deaths for 16- and 17-year-old drivers declined between 2007 and 2010, the special report hones in on the fact that every day, an average of 11 teenagers die in car crashes in the United States. The teen driving section is, in part, sponsored by Allstate Insurance that is sponsoring the “Save11” campaign to encourage Congress to pass the STANDUP Act. […]

Car Accident Round-Up – SC Car Crash Kills Four

Car caught fire, however coroner reports victims were killed upon impact

Four Die in Fiery South Carolina Car Crash
Four friends died in a fiery car crash around 5 a.m. last Wednesday morning in Columbia, South Carolina. The four, who had been out celebrating a birthday, were traveling together in a Dodge Charger on George Rogers Boulevard when their car slammed into the Farm Bureau Insurance building at the Shop Road intersection. The car became engulfed in flames, but the coroner reports the four died upon impact. The friends were in their early 20’s. Police are continuing to investigate the accident, however, they believe speed and alcohol may have been contributing factors in the accident.

One Teen Dies, Four Injured in VA Accident
A five-car accident Monday afternoon near Rocky Mount, Virginia has claimed the life of a 17-year-old boy and left three other teens and an adult injured. […]

Munley Supports Ban on Cell Phones While Driving

Munley Law Personal Injury Attorneys Partner Caroline Munley Pennsylvania car accident attorney Caroline Munley today applauded a federal agency’s recommendation for the prohibition of cell phone use by drivers of all personal and commercial vehicles.

The National Transportation Safety Board (NTSB) recommended to the National Highway Traffic Safety Administration in December that all drivers be prohibited from using cell phones and other electronic devices behind the wheel.

The proposal grew from the NTSB’s investigation of a multi-vehicle collision in Missouri in 2010 that was caused by a pickup truck driver who was distracted by a text-messaging conversation. The wreck killed two and injured 38.

“We support the NTSB’s recommendation for a complete ban on cell phone use by drivers of all motor vehicles,” said Munley of the Pennsylvania personal injury firm of Munley, Munley & Cartwright, P.C., which represents victims of car crashes and truck accidents throughout the Northeast. […]

Lawsuit Settled in HS Football Player’s Death

A 2006 lawsuit filed by the parents of a Henderson County, KY high school football player who died during practice has finally been settled. Although the terms of the settlement are sealed, both parties said they were glad to put the dispute behind them.

The lawsuit claimed negligence against several school personnel and a doctor, but the suit dragged on while the insurance companies continued to argue over which one bore the most responsibility, according to Kentucky.com.

The 16-year-old football player died during practice on a hot, humid day in July. The defendants claimed the teen died due to an underlying cardiac condition.

The father said his son’s death had played a part in changes to state law and athletic regulations that deal with heat. While he said the settlement was a “bitter pill to swallow,” he also said that without filing the suit they would not have gotten the details surrounding their son’s death. […]

New York Man Awarded $1.5 Million After Debilitating Auto Accident

A man who suffered “a permanent, significant physical limitation” as the result of a serious automobile accident on Route 104 in Ontario, New York, has been awarded over $1.5 million by a Monroe County Supreme Court jury.

The man was stopped at a stop light in 2009 when he was hit from behind by another vehicle. He was diagnosed with acute lumbar spine injuries. The defendant’s insurance company, State Farm Mutual Automobile Insurance Co., offered to settle the case for $5,000 and refused mediation or arbitration to settle the case, forcing the case into trial.

InsuranceNewsNet.com reports the man was awarded $1.25 million in past, present and future pain and suffering and loss of enjoyment of life, along with $321,250 in past and future medical expenses.

About Munley Law Personal Injury Attorneys
Munley Law is a Pennsylvania accident and injury law firm that represents car accident victims and their families throughout the state of Pennsylvania and the Northeast, […]