You Should Know: Will Your Auto Insurance Be There When It Matters Most?

Serious Accidents Can Quickly Exceed Your Policy Limits

Greg is married and the father of three small children. He is driving home from work when a distracted driver blows through a stop sign and slams into his car. After a long hospitalization, two surgeries, extensive physical therapy and two months away from work, Greg contacts a lawyer to help him and his wife sort through a mountain of bills and insurance red tape.

“Greg,” says his lawyer a week later after a short investigation. “I have bad news: The distracted driver was uninsured and has no appreciable assets. Here’s worse news: We can only recover part of the damages for the injuries you suffered because you purchased the minimum amount of uninsured/underinsured coverage available in your auto insurance policy. I’m afraid you and your wife will have to cover the difference.”

This scenario is all too familiar to those of us who help good people hurt in bad car accidents. They often think they have “full coverage” if they have met the insurance requirements to drive a car in their state. If you already have auto insurance or are thinking about buying coverage, consider these tips:

Tips for Analyzing Your Policy or Buying New Insurance

1. Check your liability limits

If you are at fault in an accident and the other driver’s damages exceed available benefits, you can be held personally liable. In other words, you could lose your savings or your house. And while the minimums in your policy might seem like a lot of money, it can quickly vanish. Many insurance experts suggest beefing up liability limits to at least $100,000 for injuries caused to one person, $300,000 to two or more and $50,000 for damage to the other car. Even more might be required if you own a home or have appreciable assets. Also consider adding relatively inexpensive “umbrella” coverage to your existing liability and uninsured/underinsured benefits for more protection.

2. Review Personal Injury Protection (PIP)

If you live in a “no-fault” state, you will turn first to your Personal Injury Protection (PIP) for payment of wage loss, medical bills and other expenses from an injury crash for yourself or others in your car. If these benefits run out, you can make a claim on the negligent driver’s liability coverage. PIP benefits can be increased, or you can “stack” them if you have more than one car on your policy. PIP benefits or something similar might also be available in states without no-fault insurance requirements, but you should discuss this coverage with your insurance agent.

3. Look Hard at Uninsured/ Underinsured Benefits

One in eight drivers across America is driving uninsured, according to the Insurance Research Council. Many more drivers carry minimum liability protection. If you are in an accident with a uninsured/underinsured driver, you may need much more coverage than the minimums available in your insurance policy.

4. Review the “Extras”: Comprehensive and Collision

Your first priority should be protecting yourself and your family with adequate levels of liability, PIP (where applicable) and underinsured/uninsured benefits. If you’ve achieved that goal, then decide if the annual cost of comprehensive or collision makes sense given the value of your car.

5. Research Your Insurance Company

If you get into an accident and have to file a claim, will your insurance company be prompt and helpful? What is their financial rating? Do some research on any insurance company you are considering. Check with your state department of insurance to access financial ratings, and use websites like Consumer Reports or the Better Business Bureau to investigate a company’s customer service record.

6. Get It in Writing

Before you sign any policy, read it through completely. Request a detailed breakdown of all charges and make sure you are paying exactly what the insurance company has quoted. This glossary of insurance terms can help make the lingo a bit less confusing.

7. Finance Your Premium

More often than not, financing your premium will be less expensive. Paying your entire coverage for six months or a year instead of paying monthly will most likely lower your rate.

8. Get Accident Forgiveness

Ask the insurance company if they offer accident forgiveness. Under a plan that includes this coverage, your rates won’t go up after your first accident.

9. Receive All Possible Discounts

There are many different discounts you may qualify for, including some that you may not even know exist. Ask the insurance company for a complete overview of every possible discount to see what you may qualify for. Some examples of discounts include:

• Multi-Vehicle: Insuring more than one vehicle at a time.
• Anti-Theft: This discount applies to those who own a car with a theft-deterrent device.
• Good Student: Full-time high school and college students who maintain good grades.
• Low Mileage: The average American driver travels 12,000 miles a year. You may be eligible for a discount if you travel below this average.
• Good Driver: Given to those who do not receive speeding tickets or other types of driving violations.
• Preferred Parking: Having covered or secured parking can keep your car from being hit in a general parking lot or on the street. 

10. Finally, Shop Often

The insurance company you purchased from 10 years ago may not still be your best bet. David Marlett, Chair of the Department of Finance, Banking and Insurance at Walker College of Business encourages policy holders to shop around every three years. He also suggests that shopping after a major life change – marriage, a child turning 16 or a move to a new city – is a good plan.

This is a simplified overview of auto insurance coverage. If you’ve been in an accident, call us as soon as possible to discuss the specifics of your particular situation.

 This article appeared in our March 2016 "You Should Know" e-newsletter. 

The Importance of Un- and Underinsured Motorist Coverage

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Ryan Connolly

So, what happens if you are in a serious wreck and the at-fault party has no or little insurance coverage? If you are smart you would have planned for that unfortunate occurrence when you renewed your automobile insurance.

For example, I try to spend as much time riding my bike as possible.  Unfortunately, more time on the road also means greater risks of an accident. In my line of work, I’ve seen enough incidents involving cyclists being hit by cars to make me more than a little nervous when I strap on my shoes for a ride. Sure, there are certain precautions you can take to prevent an accident from occurring (wear visible clothing, stay near the shoulder, don’t ride during high traffic), but there is not much you can do to prevent a careless or distracted motorist from hitting you. You can do everything right and still be the victim of a negligent driver. 

I have seen many individuals who have been seriously injured due to the negligence of others. This is especially true in bike-car collisions. Best-case scenario, you’d be out for the season; however, more likely than not, your life and that of your family may be forever changed. 

If you are hurt in a bike wreck and it is someone else’s fault, your expenses could be substantial. Many drivers only carry minimal liability coverage ($30,000.00 in North Carolina), meaning that if you were seriously hurt in a collision, you could be personally responsible for medical bills, lost earnings, rehabilitation expenses, and you’d receive no recovery for your pain and suffering or your long-term damages. Do not count on the average driver to have adequate insurance coverage to fully compensate you for the expenses you would incur in a serious wreck. In North Carolina, about one in four drivers are either uninsured or underinsured. To protect yourself from their negligence, it is important to purchase something called uninsured and underinsured motorists’ coverage. You can easily add this coverage to your own automobile insurance policy. This insurance will kick in and pay your damages when the careless driver has no or inadequate insurance. The cost of this coverage is minimal. For instance, I pay about $15.00 a month extra to get $1,000,000.00 in uninsured and underinsured coverage. Uninsured and underinsured insurance will protect you from financially irresponsible drivers and provide you with peace of mind as you are pedaling down the road.  Call your insurance agent today.

For more information on uninsured and underinsured motorist coverage click on the video in the “Bookmarks/Favorite” section of this month’s newsletter. 

Ryan Connolly is a partner with Crabtree, Carpenter & Connolly, PLLC, in Durham, NC. The firm helps injured parties from all over the nation recover from injuries caused by the negligence of others. Ryan is an avid runner, cyclist, and swimmer and competes in triathlons around the state each year.

You Should Know: Our Growing Awareness of Traumatic Brain Injury

The movie Concussion opens with the story of “Iron Mike” Webster. Fifteen years as a center in the NFL for the Pittsburgh Steelers had earned him stardom and four Super Bowl rings, but also a host of behavioral and memory problems in his later years. Pittsburgh’s hometown hero gave away or lost all of his money (he couldn't remember which), would often slip into a catatonic state, and eventually became homeless, living out the last years of his life in his truck.

After Webster died at the age of 50 from a heart attack, a young Nigerian forensic pathologist named Bennet Omalu (played by Will Smith) performed the autopsy for the county coroner’s office. Omalu had heard the stories about how Webster had essentially gone crazy in his later years and wanted to know why. After months of studying Webster’s brain, he discovered signs of a new disease marked by severe brain damage. He named it chronic traumatic encephalopathy (CTE) and published a paper that linked the new disease to the repeated concussions suffered by Webster while playing football.

While the NFL rejected Omalu’s report that Webster and other NFL players suffered CTE as a result of playing football, the genie was out of the bottle, so to speak. Several subsequent studies of NFL veterans and other athletes vindicated Omalu’s research and ignited a firestorm of concern and discussion about sports-related concussions. Eventually we would learn that even a single mild TBI can more than double the risk of early-onset dementia.

The Big Denial

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Anatomy of an Impact (click to expand)

For years, the NFL ignored extensive medical evidence until finally acknowledging in 2009 that repeated head injures can cause brain damage. Litigation has played an important role in forcing the NFL (and other organizations) to address this growing crisis and change head injury protocol, as documented in this extensive report from the American Association for Justice. Attorneys and Dr. Bennet Omalu joined forces with the family of Mike Webster and other past NFL players to sue the NFL for disregarding medical research and not doing more to prevent TBIs. During this lawsuit, it was revealed that the NFL ignored its own actuarial research showing an estimated one-third of its former players would suffer from brain damage caused by TBIs.

The NFL eventually settled for $765 million, causing a ripple effect throughout the sports world. Many professional, college and high school sports programs have changed concussion protocols and rules of play as a result, and insurance companies have followed suit by requiring stricter adherence to proper procedures for TBI care. The NFL even started its own brain bank to study the brains of former players with the hopes of creating new measures that will combat the possibility of brain damage or CTE. NFL data released ahead of Super Bowl 50 showed that concussions were down 25% this season, mostly due to changes in technique by the players.

The Story Closer to Home

Football is lead cause of head injuries for high schoolers.

In 2006, high schooler Zackery Lystedt went back out on the football field after suffering a concussion earlier in the game. After being struck in the head again, Zackery collapsed with what proved to be a debilitating brain injury. In 2009, his home state of Washington passed the Lystedt Law. This legislation requires annual mandatory training for athletes, parents and coaches. It also requires the immediate removal from sporting events and practices of any athlete suspected of having suffered a concussion until cleared for return by a medical professional. Since Washington took action, every state except Wyoming has enacted a “When in Doubt, Sit Them Out” law. Compliance to these guidelines has increased from 50% in 2007 to 80% in 2013.

That’s the good news. The bad news is that very few states have enforcement mechanisms to make sure these laws are being followed, and only six states require parental notification of a child’s TBI. So for parents, athletes and coaches, vigilance is still the first line of defense. Know the signs and protocol for dealing with TBI (review here) and don’t delay seeking medical attention. Note that many other contact sports cause head injuries, as outlined in the chart above, not just football. Automobile crashes and other blunt trauma to the head account for many times more.

 This article appeared in our February 2016 "You Should Know" e-newsletter. 

Crabtree, Carpenter & Connolly Announce Recognitions

Tracy K. Lischer

Guy W. Crabtree

Crabtree, Carpenter & Connolly, PLLC is pleased to announce the recent recognition our lawyers have received from our peers and the business community. 

Guy W. Crabtree and Tracy K. Lischer were recently selected for inclusion on the 2016 North Carolina Super Lawyers list; firm Partner Mr. Crabtree as a Top Rated Personal Injury – Plaintiff Lawyer, and Ms. Lischer, Of Counsel, as a Plaintiff Lawyer in Personal Injury – Medical Malpractice. They have been included in Super Lawyers each year since 2008. 

Super Lawyers is a research-driven, peer-influenced rating service of outstanding lawyers who have attained a high degree of professional achievement and peer recognition. The patented selection process combines peer nominations, independent research evaluations and peer evaluations by practice area. Each year no more than 5 percent of the attorneys in the state are selected for the Super Lawyers list. 

Crabtree, Carpenter & Connolly, PLLC provides innovative and effective legal representation to injured individuals as trial lawyers in personal injury and wrongful death cases involving automobile accidents and medical malpractice. They are also trial lawyers who represent families and provide legal expertise to individuals and companies in commercial and business disputes, and to property owners whose property has been contaminated by toxic chemicals in their groundwater.  

You Should Know: Unregulated E-Cigarettes Mask Hidden Dangers

E-cigarette use among teens tripled from 2013 to 2014, alarming health officials.

E-cigarette use has skyrocketed in the last few years. About 10 percent of U.S. adults now vape, as the practice is called, almost four times more than the 2.6 percent reported by the government in 2013. And that growth means big business: Sales are estimated at $3.5 billion for 2015 versus $2.5 billion in 2014 and are projected to grow 25 percent annually through 2018.

E-cigarettes use a heating element to vaporize liquid nicotine that is then inhaled by the smoker. Many smokers view e-cigarettes as a way to quit smoking traditional cigarettes, avoid some of the health hazards caused by regular cigarettes, or as an alternative to smoking in public places that ban the practice.

Click to enlarge infographic.

No Regulations or Warnings

So far e-cigarettes are entirely unregulated by the U.S. Food and Drug Administration, a fact that surprises many users. Both the vaporizing devices and the nicotine-based liquid itself are unregulated, so manufacturers create and disperse products with no oversight. There are already more than 500 different brands of e-cigarettes, with over 7,700 flavors of nicotine liquid. The amount of nicotine in the liquid, as well as other dangerous chemicals or carcinogens, are not monitored and are not required to be represented accurately on the packaging. Nevertheless, research cited by the American Lung Association highlights the significant health risks posed by the nicotine and other hazardous chemicals found in e-cigarettes.

Use Triples Among Teens

The fastest growing segment of e-cigarette users are teens and young adults. Between 2013 and 2014, e-cigarette use tripled from 4.5 percent to 13.4 percent for teens, followed by an increase among middle schoolers from 1.1 percent to 3.9 percent during the same period.

Officials with the Centers for Disease Control and Prevention expressed extreme alarm at the findings, pointing out the harm nicotine exposure can pose to brain development among young people along with the potential for long-term addiction. Public health advocates also fear that unregulated advertising in print and on television by e-cigarette companies is making the product look “cool” and is driving increased use among young users.

Not Working to Help Smokers Quit

For those hoping that e-cigarettes might help them stop smoking entirely, a new study suggests that the opposite may be true. Researchers in California found that e-cigarette users were less likely than those who never used e-cigarettes to quit or cut down on smoking cigarettes. “We hypothesize that maybe [users] are getting higher doses of nicotine, and so it becomes less likely they’re able to quit,” reported the researcher.

Many vapers also practice dual use, meaning they smoke traditional cigarettes but then use e-cigarettes where traditional smoking is banned. This makes it more likely that people addicted to nicotine can get a fix whenever they have the desire, thus actually increasing the amount of nicotine they are ingesting every day.

Exploding E-Cigarettes Cause Serious Injuries

Another serious problem with e-cigarettes can now be added to the list of hazards. A growing number of users have been injured by e-cigarettes that explode due to unstable lithium-ion batteries. Recently a 29-year-old California man suffered a broken neck, facial fractures, burns to his mouth and shattered teeth after an e-cigarette exploded while he was using it.

Although these incidents are rare, federal officials report 25 such incidents between 2009 and 2014. Because there are so many makers of e-cigarettes and none are regulated, shoddy manufacturing practices can go unchecked. Federal transportation officials have already banned e-cigarettes from packed luggage for fear of explosions inside the luggage hold. 

 This article appeared in our January 2016 "You Should Know" e-newsletter. 

Jamion Cash Not Only Makes Baskets, He Makes News

Jamison Cash has kernicterus (cerebral palsy), a preventable neurological disorder caused by untreated newborn jaundice. Tracy Lischer, Of Counsel, and Charlie Carpenter, Partner, handled his case when he was a baby. Winning Jamion’s case was an important part of insuring his future. Now he is playing basketball for Roxboro and making his baskets one-handed.

Watch this talented, happy teenager score for his team!

From ABC 11 WDTV-TV: