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Young America Insurance Coverage Updates

In 1990, the Philadelphia city was considered “Redlined”. The term “Redlined” means that certain insurance companies like for example Young America insurance, did not think it was profitable to sell auto insurance in Philadelphia. Obtaining contracts with auto insurance companies was almost impossible.

The insurance companies that advertise on television and on the internet now were not in the Philadelphia marketplace. But it wasn’t just Philadelphia; the companies weren’t in many other urban areas around the country. Peoples were paying high rates and had few choices of auto insurers.

But now in 2018, the urban insurance market is one of the fastest growing. Almost every auto insurer now wants a piece of the urban market. And that’s a good thing. More companies mean more choices, and competition is good for lowering rates, sometimes.

So, here are listed some of the most important Young America auto insurance coverage

  • Combined First-Party Benefits
    This coverage is a package of your first party benefits (benefits for you and your family) and consists of the following:

  • Medical Expenses
  • Income Loss
  • Funeral Benefits
  • Accidental Death

Rather than purchasing these benefits separately, you can purchase them together and save some money. Call Young America insurance to compare and determine the maximum amounts of coverage you are eligible for. You can also opt for $20 down payment car insurance.

  • Extraordinary Medical Coverage

Once your medical and physical therapy bills exceed $100,000, extraordinary medical coverage would kick in. With auto accidents occurring every second and health care costs rising, this is an excellent coverage to purchase

  • Stacking

Stacking of uninsured or underinsured motorist coverage gives you additional coverage based on the number of vehicles you have your policy. So, if you have two cars with $15,000/$30,000 uninsured and underinsured motorist coverage, you would have $30,000/$60,000 with stacking.

CAR 1 CAR 2 TOTAL LIMITS
15,000/30,000 15,000/30,000 = 30,000/60,000

Please be cautious with stacking. What makes stacking so desirable is that it is cheaper than just increasing your coverage. There is some stacking coverage where there was only one vehicle on the policy. There should be at least two vehicles to have stacking.

  • Limited and Full Tort

Young America insurance have saved the best for last, limited tort versus full tort coverage. These are very important coverages under your auto insurance policy and many consumers get them confused. It should be noted, however, that not all states have limited and full tort options. About 38 states have this option.

First and foremost, full tort and full coverage is not the same thing. Full coverage usually means with the average consumer having liability and property damage coverage. For example, a full coverage policy could look something like this:

BODILY INJURY $25,000/$50,000
PROPERTY DAMAGE $25,000
MEDICAL EXPENSES $10,000
UNINSURED MOTORIST $25,000/$50,000
UNDERINSURED MOTORIST $25,000/$50,000
INCOME LOSS $1,000/$5,000
COLLISION DEDUCTIBLE $500
COMPREHENSIVE DEDUCTIBLE $500
CAR RENTAL $25 A DAY/ $750
TOWING AND LABOR $75

Full tort deals strictly with your rights to sue for pain and suffering, and other non-monetary damages. With full tort coverage, you retain all rights to sue a negligent party for pain and suffering and other non-monetary damages. This coverage costs more; however, in the event of an accident where you become injured, it can save you and your attorney any problems with recovery of damages in a lawsuit.

Limited tort, on the other hand, restricts your ability to sue a negligent party for pain and suffering and other non-monetary damages. With limited tort, you must have suffered a “serious injury” as defined in your state insurance statutes. If you have minor injuries, such as soft muscle tissue damage, there is a threshold that must be met before you can recover funds for pain and suffering.

There are four exceptions to limited tort that changes it to full tort. If the person at fault:
1. Is charged and receives a ticket for DUI
2. Is driving a vehicle that is registered out of state.
3. Is trying to hurt you intentionally.
4. Does not have auto insurance.
Unfortunately, many consumers do not know about these four conditions.
ECONOMIC LOSS

So, if you are in an accident where you, or a member of your household, suffer bodily injury and you have limited tort, you might not be able to sue for pain and suffering, but you can recover for monetary loss and other expenses. This is very important because these expenses can add up to more than pain and suffering damages in some circumstances.

A few years ago, Young America insurance got calls from some other companies’ clients who were told by their attorneys that they could not sue for pain and suffering because they had limited tort. Many times, this was true because their injuries were not considered serious enough to meet the threshold. However, one thing the attorney did not discuss was economic losses. Economic losses are the lost wages, lost income, and other out of pocket expenses you now have because of another’s negligence. What are some examples of economic losses?

  1. Lost income from a job or business (some consumers are self-employed).
  2. Since most short-term disability policies only cover you up to 60%, what about the 40% of lost income.
  3. If you are self-employed, this could be a substantial amount. For example, what if you are an electrical contractor and because of the accident, you will miss a major rewiring job estimated at $50,000? This is a real economic loss, and you don’t need an attorney to claim a financial loss. This means saving 20% to 50%.

In addition to income loss, there are also expenses for transportation such as car rental and public transportation fares. Remember, you didn’t cause this accident. It’s bad enough your car is banged up; now you have no way to get to work, daycare, night school, or that new part-time job. The other driver’s company has to fairly compensate you for these expenses. These expenses can add up to hundreds of dollars a month, and again, you don’t need a lawyer to get these expenses.

Other examples of expenses are:

Transportation expense to and from therapy – Maybe you were injured and have to go to therapy three times a week. If you are driving, who should pay for the gas and tolls? If you can’t drive because of your injury, who should pay the cab fare? Not you. This is the responsibility of the at-fault driver’s insurance company.

Diminished Value – This means that since your car has now been involved in an accident, it’s not worth as much as it was before the accident. For example, if your Nissan Altima was valued at $15,000 before the accident, it won’t be valued at $15,000 after the accident, depending on the necessary repairs. Your car value could drop 10% – 30%. Additionally, with the advent of the Internet, consumers and car dealers can now go online and check to see if a car has been in an accident. Would you pay full price for a car that has been in an accident? Daycare and Caregiving Expenses– What if you need someone to watch your children, elderly or ailing parents when you go to physical therapy? Who is going to pay for a babysitter or nurse? Not you.

Temporary help – What if you worked as a roofer? Since your injuries prevent you from climbing a ladder, you hire an employee to take your place. Who should pay for that helper for the week? Not you.

Keep in mind; if the negligent party had your state’s minimum limits of liability (for example 15/30/5), you would be entitled to these damages.
This example is based on one person injured:
YOUR EXPENSES THE OTHER DRIVER’S COVERAGE
$ 4,500 CAR REPAR $5,000 PROPERTY DAMAGE
$9,000 PHYSICAL THERAPY $10,000 MEDICAL EXPENSES
$600 CAR RENTAL $15,000 BODILY INJURY
$4,000 LOST WAGES
$400 GAS AND TOLLS
$275 BABYSITTING FEES
$5,275 TOTAL EXPENSE

Based on this example you can recover $9,775 (car repair $4500+$5275 total expenses) in monetary and other expenses. This could be more than a pain and suffering settlement! There are a lot of damages that could be recovered if someone informed a consumer about economic losses.