[TheForge] insurance

[terry l. ridder]

hello;

this is a late follow-up to the insurance question askd recently on
theforge. it has taken me awhile to find time to type this.

to be honest after nearly 7 years of illinois workman's compensation
legal nightmare and dealing with the workman's compensation insurance
carrier liable to cover the work accident of 26 nov 1996 i have become
jaded concerning any insurance companies. i have learned alot in the 7
years about the insurance industry which i will summarize below.

when looking for any insurnace converage checkout the following points
before you pay any money.

0. is the insurance company licensed/registered in your state to sell
   the type of insurance policy you are seeking.
1. is the insurance agent/broker licensed/registered in your state to
   sell insurance.
2. is the insurance agent/broker licensed/registered to sell insurance
   policies for the insurance company which will be providing coverage.
3. what is the financial strength of the insurnace company. how do their
   reserves compare to possible liabilities.
4. is the insurance company independent or is it held by a holding
   company.
5. if held by a holding company, where is the holding company
   incorporated, usa or offshore. specifically, look for bermuda.
6. check with the insurance commissoner of your state for any regulatory
   actions taken against the insurance company and insurance agent/broker.
7. never ever give an insurance agent/broker cash and/or a check made
   out to them. always make the check out to the insurance company. i have
   read many regulatory actions concerning insurance agents/brokers
   pocketing the cash and/or check and never paying the insurance premimum.
8. realize that insurance companies will attempt to do everything
   possible not to pay out for covered claims. make absolutely sure you
   understand what is covered and what is not covered. concerning covered
   claims make absolutely sure you understand what their responsibilities
   are. is the insurance company responsible and liable for the expenses
   necessary to defend you against law suits. 
9. make absolutely sure you understand how claims are paid out. do you
   have to pay out the claim and be reimbursed by the insurance company or
   does the insurance company pay out directly.
10. make absolutely sure you understand the deductible amount.

final note:
even if you have insurance coverage be prepared to declare bankruptcy.


-- 
Terry L. Ridder ><>