What is it about back to school that makes you
think of getting organized, new school clothes, and a brand new set of colored
pencils? While kids are full of excitement and jitters of the new school season,
seeing their friends and making new ones, as parents, you are probably just as
excited to get them back to the normal routine. And if you are like most busy
parents that means you are driving your kids to the thousands of afterschool
activities like soccer, dance, football, band, concerts, etc. In some cases,
this means you are also carpooling everyone
else’s kids around as well. And why wouldn’t you? If I am taking Tommy to
football, of course I am going take his best friend Frankie who is playing on
the same team as him. But did you know that as a parent, your good deed could
come with consequences? And those consequences could come with law suits if say
you ended up in an accident with other people’s kids in the car.
Yes, in the event of an accident, especially in
today’s litigious society, if little Frankie got hurt, Frankie’s mom and dad are
most likely going to sue you. So, what can you do to prevent this? I mean after
all, you don’t want to be rude and leave Frankie on the side of the road
because you are afraid of all of the
“what-ifs” that could or would happen. And I am sure he would look at you like a
crazy person if you told him, “I’m sorry I don’t want your parents to sue me for
my house and Tommy’s college fund if I accidentally crash my car with you in
it.” I’m way over 10 years old and even I would look at you like a crazy person
if you told me that.
But you can do what I suggest all of my clients
to do, prepare for the worst but hope for the best. I know that may sounds a bit
dramatic, but there is a method to my madness. There is…a plan. You can do this
by starting to take a closer look at your auto liability insurance and even look
into an umbrella policy.
Umbrella policy? I
know, many people, even my brother did not know what an umbrella policy was. No,
it’s not protection for your umbrellas, which is the first image that comes to
mind. An umbrella policy is additional liability insurance which covers you over
your auto insurance and your home insurance. In other words, this would pick up
where your auto policy drops off, in the event that you didn’t have enough
insurance. Usually this coverage starts at $1,000,000 in additional coverage
over your auto insurance and can go up to $25,000,000 or higher depending on
your needs. I know your next thought is probably, “$1,000,000? That sounds
expensive!” But surprisingly for an extra $15-$20 per month, you can purchase
this coverage and the best part is…it covers over the home insurance as
well.
Now for the auto, my
suggestion to many people is to take as much coverage as you can afford. I know
things are tight today, so if you cannot afford to take the umbrella policy in
addition to the car insurance, I would increase that liability to the highest
your company will allow you to go. Usually this increase is not as much as you
think it would be. It could be as little as an additional $5 a month for twice
the amount of coverage. It’s a lot cheaper than having Frankie’s parents sue you
and finding out you don’t have enough coverage.
And what happens then if you don’t have enough
you ask? Well they can garnish up to 25% of your wages and go after any assets
you own – i.e. your home. Does the $5 extra a month sound like a good deal?
Heck, to me $20 a month sounds like a good deal at that point.
I know that this might sound a little overly
prudent, but I wanted to make you aware of the risks of carpooling. And although
I know your intentions are good, nobody plans to have an accident. That is why
they are called accidents. And while Frankie’s parents might come over for game
night at your house, if you got into an accident with their child, they most
likely will sue you if it was bad enough.
Better to know you have the proper coverage now,
than to find out later when you really need it. Not sure how much you have or
what is enough? Or do you not know what everything means? We speak insurance
here and can help you figure out how much is enough insurance.
Call me, Amy Bryan at
845.565.2200 or 888.565.2212 or email me at abryan@bryanagency.com today to find
out more information about how to protect your family the right way. You can
also visit us online at www.bryanagency.com
