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.
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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. […]
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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. […]
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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. […]
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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. […]
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Munley Supports Ban on Cell Phones While Driving
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. […]
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