Chicago Illinois Insurance Claim Attorneys Lawyers

Insurance Policy Check-Up after the July 24, 2010 Flood

August 19th, 2010 | Insurance Claims, Insurance Law, Property Insurance Law, Your Policy | No Comments »

Rain Rain Go Away!

On July 23 and 24, 2010, the Chicago land area experienced record downpours. I received numerous phone calls after the flooding. Cars were damaged and basements were flooded. A few harsh insurance coverage discoveries were made by some of my clients and potential clients. Many discovered that their policies did not contain coverage for water or sewer back ups. Some discovered the limits of these coverages. Still others discovered that mold from previous water losses would not be repaired as a result of the current conditions. Assuming you escaped the disaster in tact, now is a great time to check your coverages for both your home and automobile.

Cut Rate Auto Insurers Do Not Pay Insureds or Claimants!

Potential clients and clients also discovered that inexpensive car insurers offered to pay very little or nothing for vehicles that were heavily damaged by the flood. Sub-standard insurance companies are inexpensive for a reason – they do not pay anyone. It is worth it to pay a little more for a Triple-A rated insurance company in the event you have to make a claim. When a car is damaged by an accident or flood, my phones barely ring with complaints about standard insurers. This is not to say that insureds do not have complaints about Triple-A rated insurance companies. However complaints about sub-standards low-ball offers or outright denial of coverage light up my phone like a Christmas tree.

Check Your Coverage before Disasters or Losses.

If you escaped damage to your home after the heavy rains of July 23 and 24, 2010, now is the time to check your coverage for such an event. Often heavy rainfalls result in the back up of sewers into your home. Sometimes a sump pump might fail. In still other instances, damage from heavy rain falls can result in flooding. Each insurance company calls coverage for these losses by a different moniker. However, most require an additional endorsement or rider to obtain this coverage. This means that coverage for losses arising out of heavy rain are not covered in your basic policy. You have to ask for it and pay extra. However, discovering that you have to foot a $20,000.000 repair bill for water in your finished basement hardly compares with the additional dollars you paid to secure the proper coverage.

Traffic Ticket Tips

July 22nd, 2010 | Insurance Law | No Comments »

It seems so simple. Just pay the fine and everything will be okay. Right? However, paying the fine is the same as pleading guilty. Insurance companies use a guilty plea to assess fault when they decide to pay or deny a claim. Hiring an attorney can help you avoid paying a fine and here's how:

1. Time is money so hire an attorney.

People with attorneys are first in line in the courthouse. Typically, tickets are called in alphabetical order. When you have an attorney, you do not have to spend an half a day in the courtroom.

2. Attorneys can work out a plea deal.

You do not have to plead guilty to the ticket you have been given. If you have an attorney, s/he can approach the prosecutor, before the judge is on the bench and work out a plea deal. For example, if you have a moving violation without an accident, an attorney may be able to have your ticket reduced to a non-moving violation.

3. Attorneys know the system and are given preferential treatment.

This is especially true in a courtroom packed with ticketed drivers. Attorneys check in, sit in the front, talk to the clerk, are called first, and can negotiate with the prosecutors. The judge is often early to the bench, calling cases before the "official time" on the docket. Because of this, my clients' tickets are often dismissed before the 9:00 a.m. call!

Got a ticket and cannot afford to have any more points on your license or to lose your CDL? Call today for our reasonable rates on traffic tickets.

What’s in My Policy: Special Limits of Liability 2

June 22nd, 2010 | Insurance Claims, Property Insurance Law, Your Policy | No Comments »

In my last blog I pointed to a common "Special Limit of Liability" namely, the jewelry and fur limitation. I added a limit that I recently came across called "electronics" which appears to be directed at Mp3 players.

Here is a list of "Limitations" I came across in a "Deluxe" homeowner's policy of a very popular insurer:

1. $200 on Money, notes and coins;

2. $200 on Property used or intended for use in a business while the property is away from the residence;

3. $1000 on Accounts, bills, deeds, debts, passports, etc.

4. $1000 on Trading cards, maximum $250 per card;

5. $1000 on Watercraft, including trailers, parts and motors;

6. $1000 on Manuscripts;

7. $1000 on Trailers not used with watercraft;

9. $1000 on any motorized land vehicle parts, equipment or accessories not attached to or located in or on any motorized land vehicle;

10. $2000 on Firearms;

11. $5000 on electronic data processing equipment; and

12. $10,000 on theft of rugs with a maximum of $2,500 per item.

Take a look at your "Special Limits of Liability" or "Limitations on Certain Personal Property" section of your homeowners, renters or condominium insurance policy. Sure, you might be covered for a theft, fire or water loss. But the amount you can recover might be limited!

Tecnorati

June 12th, 2010 | Insurance Law | No Comments »

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What’s in My Policy: Special Limits of Liability

June 2nd, 2010 | Insurance Law, Property Insurance Law, Renters Insurance, Your Policy | No Comments »

One way an insurance company limits its losses is to place a "special limit" in your policy often called "Special Limits of Liability." The Special Limits of Liability is found in the section of your policy describing your covered property titled "Coverages." The "special limit" literally limits the amount of money the insurance company must pay out for certain items in your standard policy. An example of a standard policy "special limit" is the jewelry/fur limitation. You may have encountered this limitation in a homeowners or renters policy in the past if you have suffered a theft loss or fire loss and owned a moderate amount of jewelry or fur. Unless you purchase additional coverage – in this specific case a jewelry and/or fur rider – your recovery under the policy is limited to the amount set out in the policy. In the case of jewelry and furs, this amount can be as little as $1000.00. It can be as much as $5000.00, but it is rarely more. Further, the "special limit" is applied to all lost or damaged jewelry or furs combined.

The way around this built-in limitation is to purchase a "rider" and "schedule" your jewelry and fur if the value of both exceed the preset limitation in your policy. In a schedule, you describe all of your jewelry or furs to the insurance company and provide appraisals or receipts for each item. The insurance company will then charge you an additional premium to cover you for the full value of your jewelry and fur. However, if you sustain a loss for a scheduled item it should be covered up to the full amount of appraised value.

While the jewelry and fur limitations are common, I recently came across a new and surprising special limitation: $1000 for electronics! The electronics special limit of liability explicitly limits the policyholder's recovery to $1000.00 on "electronic apparatus" in your motor vehicle or other location. Electronic apparatus are defined as: antennas, accessories, tapes, wires, records, discs or other media. This language appears to be directed at MP3 players, chargers and the like as well as the obvious CDs.

Read your policy each time you renew it. Make sure you check for new special limits of liability or other limitations. You do not want to be surprised to find your recovery is limited to $1000.00 when you sustain a theft or other covered loss to your jewelry, fur or electronics!

Dollars, Percents & Legal Sense: Why You Can Afford to Hire an Attorney

May 10th, 2010 | Insurance Law | No Comments »

Unrepresented Claimants Are Underpaid

I Fotolia 9752682 XS Dollars, Percents & Legal Sense: Why You Can Afford to Hire an Attorney previously referenced a book titled Delay Deny Defend: Why Insurance Companies Don't Pay Claims and What You Can Do About It by Jay M. Feinman. Mr. Feinman is a distinguished Professor of Law at Rutgers University School of Law, Camden. The research conducted by Professor Feinman recounts both interesting and provocative facts about soft-tissue personal injuries in minor impact accidents. Specifically, in uninsured motorist cases, attorneys recovered 90 % more than the unrepresented claimants! Additionally, another study revealed that unrepresented claimants averaged $3,464.00 while attorney represented claimants recovered $7,450 on average.

This is a powerful fact. When you present your claim for personal injury after a car accident, you are likely to be offered nearly 1/2 the amount a represented person would recover. The attorney's fee is typically only one-third. Additionally, under the Health Care Services Lien Act, payments to lienholders are limited to a certain percentage of your recovery. Thus, an attorney's representation maximizes your recovery.

Knowledge is Power and Money

There are also advantages to having an attorney with a specialty in disputed insurance claims. In addition to the Illinois Insurance Code, insurance companies must also follow the dictates of Rule 919 of the Administrative Code. Rule 919 outlines improper claims practices and additional rights of the insured. Claims are to be settled "promptly" and documentation is to be maintained when a claim is denied. Further, there are limitations in the manner in which an insurance company can investigate and deny your claim e.g., it cannot demand that you submit to a lie detector examination. One interesting financial tidbit provided by Rule 919 is the requirement that your insurance company refund you your sales tax, transfer and title fees if you receive a cash settlement concerning your car. The insured must simply prove that s/he purchased another vehicle within 30 days of the settlement.

Call for a free consultation today and educate yourself!

Tags: disputed insurance claims, Health Care Services Lien Act

5 Car Accident Tips Insurance Claim Attorneys in Chicago Want You to Know

April 27th, 2010 | Insurance Claims, Property Insurance Law | No Comments »

Have you ever been involved in a car accident? Most of us have. After you have determined if you are hurt (or not) your thoughts may go to whether or not you will need to retain an insurance claim attorney in Chicago or a personal injury lawyer to help resolve the issues caused by an accident.

Here are a few tips to make the insurance claim process easier for you:
Fotolia 4884149 XS 5 Car Accident Tips Insurance Claim Attorneys in Chicago Want You to Know

1. Keep a camera in your car and take pictures before the cars are moved (if you can do so safely). You may also use your camera phone. Just be sure you can retrieve the pictures later.

2. When you get a chance, write down all the facts of the accident that you can remember and keep the notes in a safe and memorable place.

3. If you are hurt, your injury is your priority, not your car. Take an ambulance to the emergency room as soon as possible. This lets your insurance claim attorney (or personal injury attorney) and the insurance carrier know that personal injury is integral to your claim.

4. If the other party is at fault, let the police know and argue for a ticket.

5. If a ticket is issued to the other party, be sure to appear in court to make sure a guilty plea is entered! This will be an invaluable later in the claim when fault or liability is assessed.

When you are required to talk to the claim representative at your insurance company, you will have pictures, a fresh recollection of the facts, support for your injury claim and support for the other parties fault. While these "5 Car Accident Tips Insurance Claim Attorneys in Chicago Want You to Know" may seem mundane, these tips will put you at the head of the line for full payment of your property damage claims and possibly your personal injury claims.

If you have been in a car accident, please call the Hoag Law Group, LLC today!

Tags: insurance claim attorney, vehicles accidents

Disputed and Denied Insurance Claims: Dollars, Percents & Legal Sense

April 14th, 2010 | Insurance Law | No Comments »

Dollars: What You Don’t Know Can Cost You (Big!)

Fotolia 2462623 XS Disputed and Denied Insurance Claims: Dollars, Percents & Legal Sense Here are two illustrative situations concerning your rights as an insured:

In situation one, a bright, wealthy, educated man (circa 1980) decides he is smart enough to act as his own attorney in a divorce. He does consult an attorney, but does not want to pay attorney’s fees for the divorce. He negotiates what he believes is a fair monetary settlement with his soon to be ex-wife, including child support. However, he fails to secure visitation rights in writing. As a result, he pays child support, but has nothing to compel his ex-wife to allow him to see his children on a regular basis. He saved money on attorney’s fees, but lost out on his rights as a father and invaluable time with his children.

In situation two, a profitable business has a dispute with a long standing employee over his commission. He quits the company and demands payment of back commission. The company has an attorney it consults from time to time, but decides it can handle this one without consulting the attorney to avoid the fee. The company pays the former employee his commission. The company does not secure a release. The former employee files suit and recovers additional commission money. Without a release, the former employee was free to pursue his claim for even more money, despite the company’s payment.

Yes, you can “research” the law on Google and cite your policy language. But as illustrated above, what you don’t know about your rights as an insured can cost you coverage to which you are entitled.

Percents: An Attorney Can Greatly Increase the Settlement Offer

In the past month I have had the pleasure of securing increased settlement offers on property damage cases from 15% to 60% more than the initial offer to the insured. Potential clients are admittedly concerned that paying my fee to negotiate on their behalf will not result in an increased offer. They often state: “The insurance company told me that this was their final offer”. Don’t you believe it! An insurance company has twin competing desires: Save money vs. Close the file. When you hire an attorney to you aggravate these desires to your benefit.

Legal Sense: All Your Rights as an Insured

Do you know all of your rights as an insured? My discussions with potential clients with disputed or denied claims inevitably leads to their skepticism that my 17 years of practicing insurance law and litigating these claims may not add value to the process. After all, the insurance company “denied” their claim or has refused to pay more, despite the client's clearly stated reasons why the claim should be paid, apparently supported by the policy and the potential client’s reliance on the insurance company’s promise of coverage. The potential client has asked and been denied! What value can possibly be added by paying me when the insurance company has already told them “no”? My response is: More than you can possibly know. Why? Unless you practice this area of law, you don’t know all of your rights as an insured as set out in the Illinois Insurance Code, contract and common law. We do!

If you have a disputed insurance claim, please call for a free consultation.

Tags: disputed, insurance

Insurance News Alert: Bad Faith, Fraud & Fires March 30, 2010

March 30th, 2010 | Insurance Law | No Comments »

If you have recently suffered a catastrophic loss and have a sneaking suspicion that your insurance company has not offered to pay you all that you are entitled to under your policy, you might be on to something. As I have discussed in recent blogs, the recession has caused a spike in potentially fraudulent claims and “heightened awareness” on the part of insurance companies when reviewing new claims. However, the suspicion of fraud is not the only reason you perceive a delay in the payment of your claim. While an insurance company is required to act in good faith in handling your claim, nothing requires them to “maximize” your coverage! According a new book by Jay M. Feinman, Delay, Deny, Defend: Why Insurance Companies Don't Pay Claim and What You Can Do About It, an insurance companies main objective is not to protect the insured, but to protect its profits. Obviously, you may have to hire an attorney to protect yourself.

If you are concerned that your carrier has engaged in the “Delay, Deny, Defend” tactic, check out the Halls of Shame and Fame at the Fight Bad Faith Insurance Companies website (www.badfaithinsurance. org). The number one “Hall of Shamer” is Berkshire Hathaway. The second “number one Hall of Shamer” is Hartford. Allstate and State Farm are both listed as number two. The website’s Hall of Famers, ranked one through four are: Amica, Chubb, Allianz and Coventry Health.

If you have any further concerns, you may call the Hoag Law Group for a free consultation.

Tags: Bad faith insurance, fake automobile insurance, fraud and fires

Insurance News Alert: Bad Faith, Fraud & Fires for March 18, 2010

March 18th, 2010 | Insurance Claims | No Comments »

According to McClatchy, www.mcclatchydc.com, the recession is “fueling a boom in insurance fraud.” McClatchy further reports that “questionable claims” increased by 14% from 75,000 in 2008 to 85,000 in 2009.

As an insured, you do not want to be caught in the cross-hairs of a “fraud investigation” when you make your claim. Insurance companies on the alert for any potential “fraud” may delay paying your legitimate claim to conduct an “investigation” because your claim is perceived as questionable.

Below are 7 categories that raise an insurance company’s fraud flags according to “Busted! How Insurance Companies Spot Bogus Claims” by Rebecca Theim with Tipitina Communications, Inc.:

1.   High debt or financial stress;
2.   Increasing your coverage limits before the loss event;
3.   No police report;
4.   Damage to or theft of old or obsolete items or items which are difficult to value;
5.   A history of losses and claims;
6.   Unusual calmness after a major loss; and
7.   Suspicious-looking or handwritten receipts for repairs or replacement property.

If your insurance company is delaying payment and “investigating” your claim or you have been called in for an “Examination Under Oath” do not delay in contacting our office. Once your claim has been denied by an insurance company, your only recourse may be to file suit.

Tags: Bad faith insurance, fraud flag, insurance claim