BEWARE OF RISKS OF TALKING ON THE PHONE WHILE DRIVING
Americans can’t be parted from their cell phones, especially when they are driving. A recent survey conducted by The National Highway Traffic Safety Administration indicated that approximately 10% of drivers on the road are talking on their cell phones when behind the wheel. This is a 25% increase from 2004 levels. Sixty percent of those drivers are using handheld phones, up from 50% last year. Clearly the cell phone has gone from emergency aid to chic accessory.
Even though talking on the cell phone while driving might be de rigueur for the fashion forward, many state governments do not feel the same way. Although there is no federal law limiting cell phone use while driving, many states have passed their own legislation. For example, some states have banned the use of handheld devices while driving, but allow the use of hands-free devices. Other states have chosen to put restrictions on driver classifications, such as bus drivers or under 30 drivers, rather than create a general ban on cell phone use.
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The frenzy surrounding cell phone use while driving stems from studies which indicate that drivers who talk on the phone are more likely to cause accidents. One recent study conducted by the Insurance Institute for Highway Safety found that both handheld and hands-free phones increased the risk of a crash. The test group included 456 participants who used a cell phone and were treated in emergency rooms for injuries suffered in crashes from April 2002 to July 2004. By using phone records and interviews, the Institute calculated the increased risk of a crash by comparing phone use during the 10 minutes prior to a participant’s crash, along with their phone use during the previous week.
The increased risk stems from a situation that was dubbed “inattention blindness,” by researchers David Strayer, Frank Drews and William Johnston in a 2003 study conducted at the University of Utah. They discovered that talking on cell phones while driving diverts the driver’s attention from their visual environment, making them unable to recognize objects encountered in their visual field. One would think that using a hands-free phone would be less distracting, thus not increasing the risk of inattention blindness as much as using a hand-held phone. But, the researches found that either phone type increases the risk of accident. Why? Well, current hands-free phones aren’t really hands-free. Only cell phones that are fully voice activated might be less likely to increase the risk of inattention blindness. However, further studies will need to be conducted to determine if that is true.
Meanwhile, when you are using your cell phone while operating your car, keep this in mind. In October 2004, a Virginia jury ordered Jane Wagner, a former lawyer, who was accused of driving and talking on her cell phone when she struck and killed a teenager, to pay the victim’s family $2 million. Wagner served one year in jail after pleading guilty to leaving the scene of an accident. Upon conviction, she also forfeited her license to practice law.
NAIC GIVES TIPS TO POLICYHOLDERS TO EXPEDITE CLAIMS
Filing an insurance claim can seem like an overwhelming task, but it doesn’t have to be. The National Association of Insurance Commissioners has put together the following tips to help policyholders facilitate the process:
Know your policy - Your insurance policy is a contract between you and your insurance company. Know the terms of that contract, including what’s covered, what’s excluded and the amount of any deductibles.
File claims as soon as possible - Call our agency or your insurer’s claims hotline as soon as possible. Your policy might require notification within a certain time frame.
Provide complete, correct information - Be certain to give your insurance company all the information they need. Incorrect or incomplete information will only cause a delay in processing your claim.
Keep copies of all correspondence - Write down information about your telephone and in-person contacts, including the date, name and title of the person you spoke with and what was said. Also, keep a record of your time and expenses.
Ask questions - If there is a disagreement about the claim settlement, ask the insurer for the specific language in the policy that explains the reason why the claim was settled in that manner. If this disagreement results in a claim denial, make sure you obtain a written letter explaining the reason for the denial and the specific policy language under which the claim is being denied. If you have a dispute with your insurer about the amount or terms of the claim settlement, you should contact your state insurance department for assistance.
Make temporary repairs to protect property from further damage - Your auto/homeowners policy might require you to make temporary repairs. If possible, take photographs or video of the damage before making such repairs. Your policy should cover the cost of temporary repairs, so keep all receipts. Also, maintain any damaged personal property for the adjuster to inspect.
Don’t make permanent repairs - An insurance company might deny a claim if you make permanent repairs before the damage has been inspected.
Try to determine what it will cost to repair your property before you meet with the claims adjuster - Provide the claims adjuster with records of any improvements you made to your property. Ask the claims adjuster for an itemized explanation of the claim settlement offer.
Don’t rush into a settlement - If the first offer made by an insurance company does not meet your expectations, be prepared to negotiate. If you have any questions regarding the fairness of your settlement, seek professional advice.
PROTECT VALUABLE JEWELRY WITH THE PROPER INSURANCE
From glittering bracelets and watches to sparkling rings and necklaces, jewelry can be found in almost every home. Unfortunately, these trinkets and charms are not always properly protected. If you own expensive or extremely valuable jewelry, it’s important to make sure you have the appropriate insurance.
Understanding the “sublimit”
You might assume your valuable jewelry is fully covered by your Homeowners insurance. Although most policies do cover jewelry, the payout is oftentimes much lower than the actual value of your bling.
Why wouldn’t your insurance pay the full value of your jewelry if it’s stolen from your home? It all comes down to what’s called the “sublimit” — this is the limit on the amount the insurance company will pay for specific types of personal property. Although your policy’s total personal property limit might be $75,000, the sublimit for jewelry might be as low as $1,500.
Read the fine print in your contract and find your policy’s sublimit for jewelry. If your jewels are worth more than the sublimit, you might want to purchase additional insurance.
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Five steps to jewelry protection
If you decide to purchase additional insurance to fully protect your jewelry, follow these five simple steps:
Get it appraised: If your jewelry has not been appraised within the last three years, take it to a jeweler for an appraisal. Be sure to choose a trustworthy jeweler who is a graduate of the Gemological Institute of America (GIA). (Most insurance companies require that higher-end jewelry is appraised by a graduate of the GIA.) Look for the designations G.G., G.J. or A.J.P. at the end of the jeweler’s name to ensure they are well-educated and reputable.
Look for the four C’s: If you are getting a diamond appraised, the appraisal should include a description of the four C’s: Carat, cut, clarity and color. These four details allow the jeweler to make an accurate appraisal, which will be very important should you ever need to file a claim with your insurer.
Consider Inland Marine coverage: You can either purchase this type of insurance coverage as a separate policy or you can have it added onto your Homeowners policy as Supplemental Jewelry coverage. Inland Marine coverage offers much more coverage for jewelry than just your Homeowners policy alone.
Keep jewelry locked away: Be sure to keep your valuable jewelry protected in a lock box at home. If you own jewelry that you rarely wear (such as family heirlooms), you might consider locking it up in a safety deposit box.
Review coverage regularly: Look over your jewelry coverage at least once every two years to make sure it is up to date. Also, if you sell any jewelry or purchase new high-value pieces, it’s important to update your policy as soon as possible.
Whether your jewelry box is spilling over with brand new jewels or you own one or two family heirlooms that are absolutely irreplaceable, it’s important to protect these valuables. To learn more about jewelry coverage options, talk with one of our insurance specialists.
