BLOGGERS BEWARE: MAKE CERTAIN LIABILITY COVERAGE IS UP TO PAR

During the past several years, millions of people have begun writing weblogs (or "blogs," as they are more commonly known.) There are as many reasons for blogs as there are blogs. Some people keep them as a journal to let distant friends and relatives know what's happening intheir lives. Others write about subjects that interest them, everything from gardening to NASCAR. Blogs often act as forums for people's opinions r news reporting. These types of blogs invite controversy; in extreme cases, they might invite lawsuits if a person or organization takes offense at a particular post. If that happens, can the blog's author count on his insurance coverage to pay for his legal defense and judgments?

Unfortunately, if he has a typical Homeowners insurance policy, the answer is probably no. This policy pays amounts for which the policyholder (the insured) is legally liable, plus the costs of legal defense, for bodily injury or property damage done to someone else. The policy defines bodily injury as meaning bodily harm, sickness or disease; it defines property damage as injury to, destruction of, or loss of use of physical property. Neither of these definitions includes saying or publishing something that injures another's reputation or feelings. Consequently, the policy is unlikely to cover a blog post. For example, if Joe writes in his blog that Bob sleeps with a teddy bear, and Bob sues him for invading his privacy, the Homeowners insurance will not pay for Joe's legal defense or for any judgment against him, because Bob suffered neither bodily injury nor property damage.

Insurance companies may offer special Personal Injury coverage that they can add to Homeowners policies. This coverage pays for the insured's liability for several offenses, including oral or written publication of material that violates someone's privacy, and oral or written publication of material that disparages someone's goods or services. For example, imagine that Joe writes in his blog that the meatloaf at Bob's Diner tastes like gravycovered roadkill.Bob suffers an immediate loss of business, and he sues Joe for libel. The court awards Bob $200,000. If Joe has Personal Injury coverage, his insurance will pay for his lawyers and the $200,000 judgment (or his limit of insurance, whichever is less).

Another potential source of coverage is a Personal Umbrella policy. An umbrella provides additional insurance in situations where a loss has used up the amounts of Liability insurance under Homeowners or Auto policies. It also covers some liability losses that those policies do not cover, such as personal injury losses. Umbrellas typically carry a deductible of $250 or $500. In the previous example, if Joe does not have Personal Injury coverage with his Homeowners policy, but he does have an umbrella, the umbrella will pay for his defense and $199,750 of the judgment ($200,000 minus the $250 deductible.) If he does have the coverage on his Homeowners policy, and the court awards Bob $1 million, the Homeowners policy will pay until its limits of insurance are used up, and the umbrella will pay the rest.

Blogs are fun and interesting, and they can be informative. However, in a litigious society, it is very possible that something posted in a blog can result in a lawsuit against the writer. Everyone who writes a blog should consider that possibility and think about buying some extra insurance.

If you need a fantastic Insurance Broker in the Mid Atlantic region, we woudl be happy to help!
McConkey insurance & benefits
www.ekmcconkey.com
Shawn Russell
717-755-9266

AN UMBRELLA POLICY CAN PROTECT YOUR ASSETS IN A POTENTIALLY COSTLY LAWSUIT

Hopefully, you will never be served with legal papers and involved in a costly lawsuit. But in the event you are, it will be imperative that you have the insurance to cover your legal liability. That's where a Personal Liability Umbrella policy can help.

Umbrella policies supplement the Liability coverage you have through Home and Auto insurance and provide an extra layer of security by protecting your assets that might be at risk in a liability lawsuit.

If you don't have enough Liability coverage from your Homeowners and Auto policies to adequately resolve a claim, the person suing you can go after your home and your other assets to pay for damages. Umbrella policies cover damage claims that you, your dependents,or even your pets might cause.

Umbrella policies kick in after, and pay in addition to, your Auto and Homeowners insurance liability limits. The bulkof the risk is assumed under the primary Auto or Home policy, which enables insurers to offer Umbrella policies at very reasonable costs.

However, most insurance companies will not sell an Umbrella policy unless both your Auto and Homeownersinsurance is with them. In addition, your insurer may stipulate that your Auto or Homeowners liability limits be at least a certain amount, such as $200,000 to $300,000. Umbrella policies are generally sold with a deductible that might run anywhere from $250 to $1,000, pocket change if you're being sued for millions!

Umbrella policies provide much broader coverage in case you are sued, covering you if you cause bodily injury, property damage, or personal injury. Certain Umbrella policies also cover you if you face liability arising from your service on the board of a civic, charitable, or religious organization.

Umbrella policies typically do not cover claims from business endeavors. If you own a business, even a small one, you'll need to purchase Business insurance to protect yourself from business relatedliability claims.

To determine if you need an Umbrella policy, analyze your risk of being sued and the assets you have at risk. Do you have a swimming pool or trampoline that might pose a threat to visitors? Of course, you may decide your personal situation makes lawsuits very unlikely.

Before making any decision, compare the umbrella premium with the cost of raising the liability limits on your Autoand Homeowners policies. It might work to your advantage to raise these current limits by several hundred thousand dollars, and you might come out spending less than you would on Umbrella policy premiums.

If you need a good Insurance Broker in the mid Atlantic region
Give us a call
McConkey Insurance York PA
http://www.ekmcconkey.com/
Shawn Russell

Fact vs. Fiction: Uncovering auto insurance myths

Like a teenager eager to try a new video game, playing before reading the rules, many drivers buy insurance without really understanding what they're buying.In the rush to feel "covered," they can skip the details. That can lead to frustration.

Following are five insurance myths heard by some of the more than 13,000 claims people at Progressive, one of the country's largest auto insurance companies:

Myth: I bought "full coverage" so everything's paid for.

Reality: There is no such thing as "full coverage." In most states, only liability insurance is mandatory. There are a lot of other coverage options out there, so select what you need based on your personal situation.

Myth: I need three estimates before my wrecked vehicle can be repaired.

Reality: Not necessarily. Very few insurers actually require this, although some might. If you decide to use a shop that's in an insurance company's "network" of pre-approved shops you may just have to get an estimate from that shop.

Myth: My insurance premium always increases if I'm involved in an accident.

Reality: It depends. Your rate can increase, decrease or stay the same. The information about your accident is combined with other information about you, your car and your driving history to determine your rate.

Myth: If I lend my car to someone and he/she crashes it, I'm covered.

Reality: Not so fast. If you or your friend don't have physical damage coverages, damage to your vehicle generally won't be covered.

Myth: If I buy a new car, my auto insurance company automatically knows; and my new car is covered.

Reality: No. Most insurance companies require that you notify them or your agent within a specified number of days. Generally, you have 30 days to add the new vehicle to your policy.
"Insurance can be complicated," "It's not something people deal with every day. So the more informed you are, the better choices you'll make."

www.ekmcconkey.com Insurance Broker York PA 17402

Shawn Russell