“Staged auto accidents are a dangerous criminal activity that targets innocent drivers with increasingly bold schemes aimed at defrauding insurance companies,” said Loretta Worters, vice president at the Insurance Information Institute. “Not only do honest policyholders ultimately end up paying more for auto insurance, but those committing the fraud can cause serious injuries or death.”

These types of accidents occur more frequently in urban areas where there are a greater number of vehicles, and wealthier communities because drivers are perceived to have better insurance coverage, stated the US National Insurance Crime Bureau (NICB) in a media release. Also, criminals tend to prey on women and senior citizens driving alone, as well as new, rental or commercial vehicles with higher insurance premiums.

The NICB has released the following accident scenarios as warnings signs that drivers should be on the lookout for:

1) Swoop and Squat: Involves three vehicles; two are driven by criminals, the other is the victim. The driver of the “squat” vehicle positions his vehicle in front of the victim’s car. The driver of the “swoop” vehicle pulls ahead of the squat vehicle and intentionally cuts it off, causing the squat vehicle driver to hit his breaks. The victim cannot react in time and rear ends the squat vehicle. The swoop vehicle disappears. The victim states the swoop vehicle caused the accident, but because the driver cannot be located, the victim has to pay the vehicle damage and personal injury claims of passengers in the squat vehicle.

2) Sideswipe: Typically occurs at busy intersections with dual left turn lanes. The criminal positions his vehicle in the outer lane. As soon as the victim’s vehicle drifts into the outer turn lane, the criminal sideswipes it.

3) Panic stop: The criminal typically drives an older vehicle filled with passengers. The criminal positions his car in front of the victim’s while a backseat passenger in the criminal’s vehicle watches and waits for the innocent motorist to be distracted, for example, by a cell phone call. As soon as the victim is distracted, the driver slams on the brakes, causing the innocent motorist to rear-end the criminal’s vehicle.

4) Drive down: The victim merges his vehicle into traffic after being motioned to do so by the criminal. As the innocent driver begins to merge, the criminal speeds up and causes a collision. When questioned, the criminal denies motioning the victim to merge into traffic or gives excuses.

5) Accident “runners”: Also be on the lookout for people who suddenly appear at an accident and try to direct you to specific doctors and attorneys. These so-called “runners” are usually part of the criminal scheme. Be wary of physicians who insist you file a personal injury claim after an accident, especially if you are not hurt, as well as tow trucks that arrive on the scene without anyone calling them.

The Insurance Information Institute recommends keeping a pad and pencil in your glove compartment to note the names and addresses of all drivers and passengers involved in the accident, license plate numbers, make and model of each car, drivers license numbers, insurance, names and addresses of witnesses, and names and badge numbers of police officers or other emergency personnel.

If your clients have been in an accident and suspect fraud, advise them to call the police or highway patrol and obtain a police report with the officer’s name, even if damage is minimal.

According to CTV, the number of Toronto drivers charged annually for operating a motor vehicle without insurance is as follows:

2009: 5,744 charges

2010: 6,228 charges

2011 (to date) 1,646 charges

If the 2011 numbers were spread out over a 12 month period, they would surpass the total number of charges in 2010.

CTV noted there is a 64% conviction rate for driving without insurance.

The minimum fine is $5,000, although, Police Officers in the CTV News Clip observed some accused have received less than the minimum – one as low as $2,500 due to economic hardship.

- Article courtesy of CIP Society Advantage Daily News

Back-to-School Safety

Monitor experiments in social networking as your kids begin to explore and participate in online communities like Facebook. Talk to your children about their web activity, and remind them what kind of information should not be shared online (home address, phone numbers and other identifying information). Encourage them not to be “friends” with people theydon’t know in real life.

Is your pre-teen a texting friend? If you’re granting texting privileges to your pre-teen, keep a close eye on the phone bill—in addition to keeping charges under control, take notice of any strange numbers or calls/texts during school hours or late at night. Last but not least, remind kids to mind their cyber manners. Bullying online and via text is rapidly becoming more prevalent—keep an eye out for signs your child is becoming distressed or aggressive as a result of his or her technology use.

Set up a safe environment for latchkey kids. The National SAFEKIDS Campaign recommends that no child underthe age of 12 be left at home alone.Whether or not you adopt this guideline depends on your child’s maturity level, but eitherway, it makes sense to be prepared for potential accidents. Always have an emergency contact list on the fridge and, if possible,give your neighbors a heads-up that your child is on his or her own. Are all smoke alarms and fire extinguishers functional? Do you want your son or daughter to answer the phone while you’re gone, or should they let calls from unrecognized numbers go to voicemail?

Play it safe on sports teams.Most school and local athletic programs require a pre-season physical exam, but even if your child is playing at the intramural/recreational level, it’s a good idea to schedule a checkup before he or she hits the field or court.Is the playing environment safe? Is your child’s protective equipment in good condition? When your kids are traveling with theirteam, pack their bags with water bottles and snacks.

Don’t ignore kidnapping risks.As playground outings are replaced with trips to the mall, movies and baseball games, ensure your kids are equipped with a cell phone and are traveling with friends you have met before. At this age, your kids may betrying to dress or act more grown-up,but they are still children. It may sound obvious, but the tried and true questions of “where are you going,with whom and for how long?” help ensure your child’s new found social life doesn’t lead him or her astray.

Teens

Instill safe driving habits early on.Motor vehicle crashes are the leading cause of death for teens in the United States,according to the National Highway Traffic Safety Administration. Consider drafting and entering into a “Driving Contract”with your teen. Some states have special laws for new drivers, but if yours doesn’t, implement some of your own rules, such as a curfew, a maximum number of passengers and a ban on cell phone talking and texting behind the wheel. And don’t forget to set a good example when you’re in the car with your son or daughter.

Remind teens to protect their privacy online. Eighty-one percent of 16- to 17-year-olds report having at least one social networking account, according to a report byMcAfee (http://lastwatchdog.com/wp/wp-content/uploads/100622_McAfee_Teens_online.pdf)—and many are clueless about the importance of online security. Any photos or posts that they wouldn’t want you, their principal, or a college recruiter to see shouldn’t be posted online – even just to “friends.”Many students have jeopardized their futures with irresponsible conduct. A teen in Tennessee was expelled after posting a threatening Facebook status about his basketball coach, and a principal in Seattle suspended 28 students for bullying a classmate on the Internet.

Talk travel safety before class trips.High school trips are usually longer and involve more distant destinations than field trips during the early school years, so make sure you and your student are prepared accordingly.Will you be able to get in touch with each other in case of emergency?Does your teen have access to a safe place to store his or her valuables, like iPods, laptops and spending money, or should certain items be left at home?

Work smart — and safe. Is your teen looking to make some extra cash with an after-school job?Make sure that he or she is properly trained and supervised. If your teen is taking tutoring or babysitting jobs in someone else’s home rather than in a commercial setting, keep tabs on who he or she is working for, and make sure your son or daughter is prepared for the responsibility—for example, it’s helpful for children who are going to work as babysitters to be certified in CPR.

Undergrads

Lock down valuables in the dorm. Laptops, digital cameras, other electronic equipment and financial and legal documents should be secured in a safe when not on or near your student. Although these high-ticket gadgets and sensitive papers can still“walk” unless the safe is bolted to the ground (not an option in most dorms) this will most likely deter a common thief or a hallmate with sticky fingers.

Equip your co-ed with a paper shredder. Credit card/bank account statements and any other documents that contain confidential or other personally-identifiable information can be a trigger for identity theft in the wrong hands. Credit card offers,a common sight on college campuses where student representatives hawk free T-shirts as a prize for filling out forms, can compromise your student’s identity if not discarded properly.

Remind your student to think before she types. As a general rule of thumb, encourage kids not to say anything on a social network that they wouldn’t announce over a loudspeaker on the quad. By now, it should be increasingly clear that whatyou say even in a “Friends-only” space may not always remain private and can be used against you in a court of law, a relationship or an important future opportunity such as employment. Finally, location-sharing apps online or via smart phone should beavoided, as broadcasting their whereabouts could put students at risk.

Sign up for campus alerts. The text messages and emails sent via these systems could save your son or daughter’s life if a violent or other life-threatening situation arises on campus. Following the Virginia Tech shootings in 2007, many colleges and universities implemented or updated their emergency outreach procedures. All students should be receiving these notices, andin some cases, parents can sign up as well.

Have an emergency exit plan in the event your child’s school is closed due to a catastrophic event such as a hurricane,earthquake, flood or fire. Are you prepared to foot the additional tuition, room and board costs of finishing a semester, year or degree elsewhere? Similarly, parents of students traveling as part of a college sports team or spending a semester abroad might be wise to make sure their school or private health insurance plan covers medical evacuation back home or to the nearest appropriate medical facility. Should your child be studying in a country where political upheaval makes it unsafe to stay; does this plan also cover political evacuation?

- Selecting only Ministry of Transportation Approved driving schools. Schools that offer approved beginner driver education courses are listed at http://www.ontario.ca/bde

- checking the Ministry of Government and Consumer Services; Consumer Beware List at http://www.ontario.ca/beware to ensure the school you’re considering isn’t listed.

- asking friends or co-workers about their experiences with driving schools

- asking to meet with the classroom and behind the wheel training instructors before you make any payments.

Do you know of a good driving school in Niagara that you would recommend? Share it here!

Starting August 1:

* All drivers 21 years of age and younger must have a zero blood alcohol level when they get behind the wheel or face:

o An immediate 24-hour licence suspension
o 30-day licence suspension
o Up to $500 in fines

* Drivers in the Graduated Licensing System will face tougher penalties if they violate the conditions of their licence or if they are convicted of any Highway Traffic Act offences that carry four or more demerit points. Penalties include:
o 30-day licence suspension for the first instance
o 90-day licence suspension for a second instance
o Further instances can lead to a cancellation of the licence and other penalties.

Also, effective August 3, eligible drivers convicted of an impaired driving offence for the first time, will be able to reduce their licence suspension if they agree to have an ignition interlock device installed in their vehicle, at their own cost. This will help impaired drivers change their behaviour to prevent them from becoming repeat offenders.

These changes are part of the Road Safety Act 2009 and 2007′s Safer Roads for a Safer Ontario Act and will help keep drivers safe on Ontario roads.

QUICK FACTS

* The peak ages of drinking and driving collisions are 19, 20 and 21.
* In Ontario, 235 drivers age 21 and under were killed in drinking and driving collisions in the latest 10-year period for which statistics are available.
* Crashes involving drivers suspended for a drinking and driving conviction are 3.4 times more likely to be fatal.

For more information – contact me at the office at mbonham@reuter.on.ca or 905-732-2418 or go to the website: www.news.ontario.ca

Companies may be liable, even negligent, if they don’t have proper workplace policies on cellphone/texting and driving, according to risk officers at Zurich North America. Many aren’t aware that they can be liable for accidents or injuries that stem from distracted employees at the wheel; especially if a crash occurs after-hours.

Part of the problem: the lack of a clear message to employees on what they should or shouldn’t be doing behind the wheel, says Jeff Chilcott, senior risk engineering consultant at Zurich NA. Companies can’t defend claims against them if they don’t have policies or their employees aren’t sure how they should act, he points out.

“If a driver says, ‘I have this phone, and I need to call in,’ [while on the road], you have to watch what message you’re sending out,” he told attendees at a May 11 webinar on distracted driving. And the risk applies to all companies, not just those in the transportation sector. “Many people see driving as down time, and use it to take conference calls. That’s the wrong message.”

Vicarious liability

At present, 80% of all auto claims stem from distracted driving, the panelists note, adding that the average on-highway crash can cost an organization $100,000 (US), and that the annual cost of cellphone related crashes is estimated at $43 billion (US).

And in the U.S., several incidents involving talking/driving employees have cost employers dearly: one major employer is facing a $30 million dollar wrongful death suit, and a large brokerage paid $500,000 to settle a case even when their employee struck and killed a motorcyclist while driving his own car, and talking on his own cellphone. The reason? He was on a company-related call.

What goes wrong

Drivers who talk or text behind the wheel lose track of the changing environment, says Chilcott. Companies should define distracted driving as “any activity that takes your eyes off the road, and your hands off the wheel,” he says.

Studies from Virginia Tech show that driving while texting increases crash risks by 23%, and NASA studies have found that multitasking causes a “blip” in your thinking process. Even a one or two second delayed reaction can cost drivers, Chilcott points out. “If a truck or a car is going 60 mph, it would travel 160 feet before you realized that you missed a stop sign, for example,” he says. “We haven’t seen one study yet that says using these devices while driving is a great thing.”

Best practices

Organizations should establish formal cellphone and electronic device policies, Chilcott advises. The best ones ban all cellphones, electronic and entertainment devices–and do it gradually, he adds.

In one phase, a company can ban texting, in another, no cellphones, and in yet another no GPS use unless pulled over to the side of the road, the panellists point out.

“You want the employees to know what’s expected and you want to enforce it,” Chilcott notes, adding that dispatch departments and clients should also be aware of the policies. “Build culture change–this isn’t going to happen overnight.”

- Article from “Top Canadian Insurance Broker”

**Contact me if you are interested in tips and forms to make your employees vehicles a no phone zone!**

A newspaper ad advertising auto insurance with a 1-800 contact number has been placed in several Ontario city newspapers, a RIBO release says.

Typically, the perpetrators of the scheme place the newspaper ads for about a week, and then move on to another city and newspaper using a different 1-800 number and a new business name.

So far, names have included: ARTHUR & SON, INTERPROVINCIAL, SMITH AND SON, ADDISON.

When the victim phones the 1-800 number, they are directed to send the insurance premium via Western Union. The victim does not receive any policy, and when they call the 1-800 number, it is out of service. No valid insurance has been placed.

RIBO has received a number of calls recently from people who have been caught in the automobile insurance scam.

“People should exercise caution when purchasing their insurance, and make certain they are dealing with a legitimate insurance broker or agent”, RIBO said.

Anybody who might have been caught in the scam is asked to contact RIBO.

Volunteers involved with fundraising, whether for organized charities, minor league sports teams, or special causes such as helping a family with emergency expenses, are especially vulnerable.

What if during the course of the fundraising event, you inadvertently cause bodily injury to a third party, and is named in a lawsuit? Bodily Injury claims are potentially serious and can involve significant amounts of money. Where would you look for legal assistance?

Before volunteering, I recommend you confirm the organization has a General Liability policy. Typically, this policy covers board members and employees, but, not necessarily volunteers. If this is the case, ask if coverage can be extended to volunteers.

Where do you look for protection if the organization does not have a liability policy or does not include coverage for volunteers?

If you have a homeowners, condo, or tenants package, you automatically receive liability protection for most bodily injury and property damage claims arising out of your personal actions anywhere in the world. However, if you operate or use any motor vehicle, trailer or watercraft in your charitable activities that does not belong to you, make sure the owners have insurance and have provided you with consent.

Personal injury claims are a different matter. Personal injury claims deal with libel, slander, defamation of character or invasion of privacy rights. If you inadvertently cause personal injury to an individual while volunteering, your homeowners, condo or tenants liability policy will not likely cover you. Instead, a Personal Umbrella Liability policy may be your best policy. Personal Umbrella policies cover this specific exposure and provide the higher liability limits over your Automobile Personal Liability, watercraft and ATV/snowmobile policies. A personal umbrella can also protect you from damages caused by an act or omission by you as an officer or a board of directors or any non profit corporation or organization.

Remember, all policies are different. If you need more information, advice or would like us to review your policy to make sure the coverage fits your situation, simply call our office!

When you travel to another province within Canada, OHIP covers the costs of emergency treatment at Ontario’s rates with Ontario’s limitations. This means, if you were involved in an accident outside of Ontario, you could face an OHIP shortfall and be forced to pay the difference.

In addition, emergency treatments provided by Chiropractors, Optometrists, Podiatrists, and Osteopaths, as well as some medical services provided in Quebec, have reduced or limited coverage. Check the Health Insurance Act and its related regulations for complete OHIP eligibility and coverage restrictions.

What happens when I travel outside of Canada?

Will OHIP pay the same medical expenses that are covered in Ontario? The answer is NO!
OHIP provides very limited funding for a limited range of medical services when you travel outside of Canada. Only emergency health services are covered. To qualify as an emergency, the treatment must be medically necessary, and must be performed at a licensed hospital or health care facility. The treatment must be rendered in relation to an illness, disease, condition or injury that is acute and unexpected and arose outside of Canada and requires immediate treatment.

What is not covered by OHIP?

If the treatment is not medically necessary, or is rendered at a facility that is not licensed, there is no OHIP coverage. If the illness, disease condition or injury arose inside Canada, or the treatment is not generally accepted in Ontario, there is no coverage. Ambulance services or transportation costs are not covered.

It may be covered, by how much will OHIP pay?

OHIP will not pay more than the service would have cost in Ontario. For Physicians, OHIP will pay what was billed or the cost of the same physician service in Ontario, whichever is less. For health facility costs, OHIP will pay $50 Canadian per day, except for dialysis patients, who will receive $210 for each treatment. For most inpatient services, OHIP will pay $200 per day. For inpatient services rendered in an operating room, coronary care unit, intensive care unit, neonate or pediatric special care unit, OHIP will pay up to $400 a day. The per day limits apply to hospital services, including: accomodation, meals, prescription drugs, surgically implanted devices and nursing services. OHIP does not pay for ambulance, or transportation costs, out of hospital food or accomodations and non prescription drugs.

Why Travel Insurance Makes Sense ….

Without travel insurance, a broken arm, or even something basic as the flu, could lead to substantial medical bills costing thousands of dollars. Travel Insurance can protect you in the case of medical emergencies, theft, lost baggage and last minute plan changes. It is important that you read the exclusions and limitations though, so there are no surprises if you need to file a claim.

If you are planning a trip outside of Ontario, call me to talk about travel insurance! I’ll help you have a worry free holiday!