New York’s top court ruled Tuesday that the estate of a man run down by a homicidal driver is entitled to make insurance claims for injuries caused by an accident.

The Court of Appeals said that even though Ronald Popadich pleaded guilty to murder for killing Neil Conrad Spicehandler when he intentionally drove into Manhattan pedestrians in 2002, it was clearly “unexpected and unforeseen” from Spicehandler’s point of view.

State Farm Mutual Automobile Insurance Co. denied liability on the grounds that it wasn’t an accident, initially winning the case in court after Popadich’s conviction in 2005.

In a five-day crime spree, he had also shot two people, killing a neighbor in New Jersey and wounding a cab driver in New York, and running down 24 people at random. Spicehandler, struck on a sidewalk along Seventh Avenue, died of complications from surgery three days later.

The court majority in the 5-2 ruling said that Spicehandler’s estate is entitled to claims under his policy’s three endorsements for uninsured/underinsured motorist, mandatory personal injury protection and death, dismemberment and loss of sight.

“The occurrence, from the insured’s perspective, was certainly unexpected and unforeseen and should be considered an accident subject to coverage,” Chief Judge Jonathan Lippman wrote. “Contrary to State Farm’s argument, we perceive no danger that this result will frustrate efforts to fight fraud in the no-fault insurance system. Significantly, there is no allegation whatsoever of fraud in this case and it is patent that benefits should continue to be denied to those who intentionally cause their own injuries.”

Judges Carmen Beauchamp Ciparick, Victoria Graffeo, Eugene Pigott Jr. and Theodore Jones Jr. agreed.

“This result is also in keeping with a national trend toward allowing innocent insureds to recover uninsured motorist benefits under their own policies when they have been injured through the intentional conduct of another,” Lippman wrote. He cited case law from Iowa, New Jersey and Montana.

The minority said the uninsured motorist coverage should not apply since it was not an accident from the driver’s perspective. A divided midlevel court had reached a similar conclusion that only the other two coverage provisions should apply.

“Popadich could not have obtained indemnification from a liability insurer; and Spicehandler’s estate should not be permitted to recover under the UM endorsement,” Judge Robert Smith wrote. Judge Susan Read agreed.

They noted that limitation on auto liability policies apparently derives from established public policy that insurance may not indemnify someone for intentional wrongdoing, though courts in some jurisdictions have made compulsory exceptions, reasoning that the purpose of liability insurance is to protect victims.

“Whether such an exception is justified, and if so whether it should be created by judges or by legislators, are questions that we should not address until we have a case that presents them,” Smith wrote.

Calls to State Farm and its attorney and to the lawyer for John Robert Langan, Spicehandler’s domestic partner who submitted the claim under an automobile policy he had bought that insured Spicehandler, were not immediately returned Tuesday.

A study performed by a leading research firm examined the specific impact of vehicle glass claims on policyholder retention and found that policyholders who experience a glass claim are more satisfied than those who have not filed a claim. As a result, they are 5.4 percent more likely to renew with their insurer. Satisfaction was even higher among policyholders who had chosen Safelite AutoGlass(R) with 98 percent of Safelite AutoGlass customers responding that they intend to stay with their insurance company after experiencing a positive vehicle glass claim.

Considering $3.4 billion is spent by insurance companies in advertising each year, according to TNS Media Intelligence, and the high cost of obtaining new clients versus retaining existing clients, simply providing a positive glass claim experience can significantly save insurance companies money.

In the study, policyholders were asked to rate their insurance provider on a scale of 1 to 10 (with 10 being the best):

• The average score from policyholders who have not experienced a vehicle glass claim was 7.95
• The average score from policyholders who have experienced a vehicle glass claim was 8.38
• The average score from policyholders who have experienced a vehicle glass replacement claim with Safelite AutoGlass was 9.05
• The average score from policyholders who have experienced a vehicle glass repair claim with Safelite AutoGlass was 9.10

The third-party researcher also asked policyholders to rate the provider of their vehicle glass repair or replacement service, and Safelite AutoGlass received an “Excellent” rating 85 percent of the time compared to 83 percent of competitors. In addition, less than one in 20 Safelite AutoGlass customers experienced a service issue.

“We measure our customer satisfaction through the Net Promoter Score method, and while we’ve consistently had high satisfaction scores from customers who would recommend our service, we wanted to verify this data with independent research,” said Pete Pearson, a senior vice president at Safelite.

“This study confirms what was found in the 2010 J.D. Power and Associates National Auto Insurance Study, which also showed a correlation between policyholder satisfaction and key metrics like retention, intent to recommend, and intent to renew. Policyholders shop around more than ever, and the majority of those who shop because of a poor service issue change providers. One can therefore understand the importance of providing a positive glass claim experience. We’re proud to see that Safelite AutoGlass is the most likely to deliver that great experience,” he added.

Theft statistics for 2009 underscore the importance of adding theft coverage to your auto insurance policy. And by adding comprehensive to your auto insurance policy, that will include auto theft protection to certain amounts.

Every 20-30 seconds, a car is stolen. In 2009 the value of stolen motor vehicles was nearly $5.2 billion. The average value of a motor vehicle reported stolen in 2009 was $6,505.

New Year’s was the day on which someone’s vehicle is most likely to be stolen. Halloween was #2, followed by three-day weekends: Independence Day, Memorial Day, President’s Day and Labor Day. Other high-risk holidays include:

New Year’s Eve
Valentine’s Day
Christmas Eve
Thanksgiving
Christmas Day

Although theft rates are going down because of increased security, if your car is the one stolen, statistics don’t help you much.

The NICB recommends that you park in well-lit areas, always lock your vehicle and take the keys, and install anti-theft equipment. Especially if you live in the highest rated car theft cities for 2009.

By Rank
1 Laredo, TX Vehicles stolen: 1,792
2 Modesto, CA Vehicles stolen: 3,712
3 Bakersfield, CA Vehicles stolen: 5,530
4 Stockton, CA Vehicles stolen: 4,479
5 Fresno, CA Vehicles stolen: 5,875
6 Yakima, WA Vehicles stolen: 1,525
7 San Francisco-Oakland-Fremont, CA Vehicles stolen: 26,374
8 Visalia-Porterville, CA Vehicles stolen: 2,440
9 Las Vegas-Paradise, NV Vehicles stolen: 10,706
10 Albuquerque, NM Vehicles stolen: 4,815

Think very hard before waiving the theft portion of your auto insurance policy if you live in the above areas.

If you own a car that is considered by auto insurance companies as being high risk for theft, you will pay higher rates as well.
If you are paying for comprehensive insurance coverage, you are paying rates determined by the likelihood of your car being stolen.

Your auto theft rates will be determined by where you live and what you drive.If you plan on buying another car, do some research on which cars are most likely to be targeted by thieves. For 2010 (LA Times) they were:

1. Cadillac Escalade (topped the list since 2002.)
2. Chevrolet Silverado
3. Dodge Charger
4. Chevrolet Avalanche
5. Infiniti G47 coupe
4. Chevrolet Avalanche
6. GMC Sierra Crew Cab
7. Nissan Maxima
8. Hummer H2
9. GMC Yukon XL
10. Chevrolet Tahoe

Please whatever you buy, do not make it a Cadillac Escalade if you are interested in low auto insurance rates! I know someone that was car jacked driving their new Cadillac Escalade to the store. And car insurance rates are ongoing.

On the other hand, a low value used vehicle that is low theft, like my Honda Odessey, has very low theft rates as well as loss or claims.

Did you see on the San Diego local news, cars submerged up to their roofs in water? Mission Valley was turned into a Lake esp. around the Qualcomm Stadium area. What do those people do that have flood damaged cars? A drop of prevention is really worth a gallon of cure. Avoid flood prone areas. In San Diego, we have very light rainfall. Stay abreast of the forecast if you live near a swelling stream, culvert or other low point.

When your car acts like a boat, that is a very bad thing. Be smart and do not drive through standing or even worse, running water. I saw one guy get stuck even in a full size Hummer. If you find your car has water up the bottom of the car, do not attempt to start the engine. If you suck water into the engine and other systems, that will cause further damage. Your car’s brakes, engine, electrical and transmission systems will not perform when being submerged.

Mildew can build up in hidden areas that are concealed. The interior may need to be torn out and dried. Engine fluids contaminated with water need to be drained and replaced. I am giving you these tips because unless you have comprehensive coverage for your vehicle, your car will probably not be repaired if flooded. You car might not be worth fixing.

If you have an older car, or it’s paid off, you may not have comprehensive coverage. A car worth $2000 is probably not worth paying extra insurance premiums for comprehensive. If you have liability insurance only, know that the property damage portion only covers damage you cause to another parties property, when you hit them.

Most car insurance, even if it is comprehensive, will not cover damage to personal property inside the car. So any Christmas gifts damaged by water are not covered, radios, etc.

If your car is financed or leased, the finance company most likely requires you to maintain full comprehensive coverage on the vehicle. If you have comprehensive insurance and file a claim for a flood damaged car, it’s often declared a total loss. To report your auto insurance claim, contact your car insurance company before you go give permission to repair or replace your vehicle. The faster you can begin repairs on water damage, the less damage there will be. If it is totaled and you agree on a price with the insurer, you will have to sign the car over to them. The it will have a salvaged title with the “flood” brand on it by the DMV. You’ll probably have to pay any deductibles from your comprehensive coverage.

If you have a homeowner’s flood policy, that will not cover damages to a vehicle. Flood policies supplied by FEMA aka The National Flood Insurance Program only cover flood damage that has occurred to a home, not a car. Remember, you are your best insurance. Merry Christmas and may you have a drier new year!

Number of Accidents 23% Greater Than Daily Average

More Californians crash their cars on December 15 than any other day of the year, according to an Allstate Insurance Company review of its California auto insurance claims over the past four years. The number of accident claims on December 15 jumps 23 percent compared to the daily average during the rest of the year.

“This spike in crashes could be related to weather, holiday shopping, travel or other distractions,” says Robert Feldman, Allstate agency owner in metro Los Angeles. “What’s important for drivers is that we stay focused while at the wheel whether on the highway or in the driveway—on December 15 and every day of the year.”

Crunching the numbers on its California car accident claims, Allstate found that the daily average number involving its policyholders during the past four years is 435. On December 15 that number jumps to 539. The fourth worst day of the year is just three days later. On December 18 the average number of claims is 523.

According to Allstate, the top five days for collision claims in California are:

Top 5 Days for California Car Accident Claims

December 15
February 14
October 13
December 18
September 5

Three Tips to Keep Clear of Crashes

Allstate is asking California drivers to use December 15 as an opportunity to consider three simple safe driving tips.

Eliminate Distractions

Cell phones, channel-changing and shifting packages are all common distractions that can take our minds off our driving. Turn off the phone, place packages in the trunk and make your listening choice before putting the car in gear.

Drive According to Conditions

Rain, snow, high winds, even bright sunshine can all affect driving. Allow space between you and the nearest vehicle, slow down in congested areas and understand that another driver may be distracted—so drive defensively.

Don’t Drink and Drive

Holiday cheer has no place behind the wheel. The National Highway Traffic Safety Administration reminds drivers to keep the party off the road. Plan ahead and designate a sober driver, call a cab or use public transportation if you’ve been drinking alcohol.

To collect the data, Allstate looked at its California auto insurance accident claims from 2006 through 2009 to determine daily claim counts and the average number of claims for each day. The company, the country’s second largest auto insurance provider, used the data to reveal days when automobile insurance accident claims are most prevalent.

Last month the Highway Loss Data Institute, an auto insurance research organization, made its make- and model-specific loss data for 2007-2009 passenger models publicly available on its website. Along with government safety rankings and websites offering free car insurance quotes online, consumers in the market for a new vehicle can use this resource to better locate a quality auto that may be more affordable to insure.

The report includes data for hundreds of passenger-vehicle models, ranking them in relation to the average insurance losses for all vehicles. Viewers of the report can easily break down the statistics to view how particular models stacked up overall or across each of six types of coverage (collision, comprehensive, personal injury, medical payments, property damage liability and bodily injury liability). The rankings can also be viewed by vehicle style and size. Results are based on loss data during a period that began with the time of first sales of the vehicles and ended in May 2010.

Coming out on top in this year’s report was a mid-size sports model convertible with losses for all coverage types coming in at 47 percent below the average for all autos.

A small four-door model showed the highest losses relative to all vehicles, having losses that were 63 percent higher than the average for all autos.

Drivers looking for a new car may want to access the report in order to get a feel for how greatly a specific model’s insurance losses may statistically deviate from the norm. In addition to this information, consumers can use the resources at http://safercar.gov/ to become educated on how safe a particular model is considered to be.

Although average losses and vehicle safety will end up influencing the end price of insuring a car, positive rankings on the HLDI report and SaferCar.gov do not guarantee lower premiums. Insurers generally use their own data to calculate the final cost of coverage. These resources can, however, serve as useful guides.

By JAIMEE LYNN FLETCHER

Readers are torn on whether the city’s new fee for nonresidents who cause an accident is a good thing – some saying they welcome the cost recovery program while others say they plan to boycott the city.

“From their pedestrian stops to outrageous parking fees at the beach to now this,” supportsb1070 commented on ocregister.com. “If I want to go to the beach, guess I will have to choose one of the many others… just wait (until) the tourists start getting caught up in this, I’m sure it will hurt their tourism.”

But tmeatzie wrote: “This is a great idea, totally fair! (It makes) people accountable to pay for services rendered.”

City officials on Monday finalized an ordinance that will charge a fee to nonresidents who are at fault in an accident, which would be upwards of $3,000 in fees, depending on the accident.

The story generated more than 120 comments and the issue gained national interest and was reported in a variety of publications including the San Francisco Gate, USA Today and the Washington Examiner, among others.

Fees will vary based on services rendered, the most expensive being extraction for someone trapped in their vehicle, which will cost nearly $2,000. A car fire comes with a $750 bill and each fire truck that responds to the scene will cost $405 an hour.

The program is expected to generate $100,000 a year that would go toward equipment replacement costs or other Fire Department needs.

The city will bill the at-fault driver’s insurance company and those who are not insured will be billed directly.

Officials at the Insurance Information Network of California, a Los Angeles-based nonprofit that informs consumers on various insurance issues, say it is more likely the cost would come out of the driver’s pocket because many auto insurance policies would not cover the fee.

Fullerton, Garden Grove, Costa Mesa and Santa Ana have all implemented a similar program, officials say. Santa Ana charges a fee for those who don’t live in the city and residents.

Comments on ocregister.com weighed a little heavier on the opposing side for the Huntington Beach fees; however, quite a few readers wrote in defense of the new ordinance.

Those against the new rule say emergency services should be covered for all tax-paying citizens from any city and wondered whether or not this rule would lead to more cost recovery methods for the city.

Dlrpuppy wrote that he worries the fire department will start responding to accidents that may not need fire services to collect on the fees.

“This is preposterous. There are no checks and balances here. It is the role of the government to provide emergency services.”

Others said they expect the city will soon reconsider installing red light cameras, an enforcement option the city rejected in 2009.

“Cameras will be coming soon,” wrote mjcooper74. “Mark my words, it will happen.”

Some readers in support of the fee called for their cities to follow suit, saying Huntington Beach taxpayers shouldn’t have to foot the bill for an outsider having an accident.

“Who do you think should pay for your accident?” wrote hbforever. “Why is everyone so up in arms about this? You, not the taxpayers, should be responsible for your own actions.”

Oclegaleagle added the new ordinance makes sense.

“If you are at fault for a traffic collision that damages property…you are likely to be billed for the damages. You break it, you buy it,” he wrote. “This is nothing new. It is legally sound.”

Here’s what other readers had to say:

Pulchritudinous: “I really hope my city decides to do the same thing. I can’t explain how many accidents are caused by our neighboring city residents who don’t know how to drive.”

Mjcooper74: “Lemme see if I got this straight…last year HB decides against red light cameras, fearing the resulting tickets will drive tourists away yet now they are willing to nail the same nonresidents for accidents?”

Psmetaophage: “It makes sense to me. Perhaps people should study their auto insurance to be sure it covers these extra costs.”

Schmenkey: “Just one more reason to avoid Huntington Beach. Every broke city in California is looking for ways to dump their financial problems onto its residents. How about just write more tickets to the idiots who run red lights, speed and do…other violations?”

A new article analyzing auto insurance claims for hybrid vehicles concludes that owners of these “green” automobiles may soon see changes in premiums as a result of rising average claims costs. The feature article, published earlier this month in Mitchell International Inc.’s latest Industry Trends Report, highlights how the growing number of hybrid owners and their habits have been slowly altering the average claims trends for this vehicle type. Considering the data, the author of the article predicts that owners of hybrids are likely to see increased auto insurance premiums as a result.

Drivers’ ability to obtain affordable car insurance is dependent on a number of factors; one factor with many implications is the type of automobile that is being insured. This piece of data can inform the coverage-provider of two important things: a general range of how expensive any future repairs might cost and a relative idea of what type of driver the consumer may be. “A make or model of car that has a high number of claims or higher claims cost will be charged a higher premium for comprehensive and collision coverage,” explains the Indiana Department of Insurance in its consumer handbook. The department goes on to state, “Persons sharing characteristics with high-claims groups will be charged more for insurance coverage.”

Unfortunately for some consumers, the claims data characterizing hybrids and their owners have changed for the worse when compared with the numbers from 2008. At that time, according to Mitchell International, the small group of consumers purchasing hybrids was marked by conservative driving practices, and insurers went after this relatively low-risk group with attractive discounts on premiums. But, as the buyer base changed, so did the typical risk profile for hybrid owners.

The article also emphasizes the existence of a gap in the price of repairs between hybrids and non-hybrids as a possible motive for insurers to edge up hybrid owners’ rates. The study showed that “hybrids overall have a 6.5 percent or $182 higher average claim severity” than their non-hybrid counterparts. Accounting for this disparity could be the fact that hybrid owners tend to take their automobiles back to the dealership for repairs, which means that more expensive original equipment manufacturer (OEM) parts are likely to be used over non-OEM parts, according to the article.

According to State Farm Mutual Automobile Insurance Company claims data, vehicle crashes are more likely on the 4th of July than on other major U.S. holidays.

An average of 6,031 collision claims has been made by State Farm policyholders on July 4th over the past five years (2005 to 2009). New Years Day is a distant second with 5,403 State Farm collision claims per day. Memorial Day is a close third with 5,321, followed by Easter (5,261), Labor Day (5,211), Thanksgiving (4,271) and Christmas (4,092).

However, all seven major holidays produce fewer crashes than do most other days of the year. The average number of collision claims made per day by State Farm’s auto policyholders over the last five years is 7,435.

“We tend to associate holidays with driving and driving with crashes,” says State Farm Vice President-Strategic Resources Laurette Stiles. “But the fact is we are even more susceptible to collisions on a regular old day when we are driving to and from work and making all of the other little trips we routinely make.”

Nonetheless, State Farm encourages motorists to be cautious this weekend as the nation celebrates birthday No. 234.

State Farm is the No. 1 insurer of vehicles in the country; almost one of every five vehicles insured in the United States is insured by State Farm.

By Caroline Pardilla

Lists come out every year detailing the most stolen cars and, with that, what steps one can take to deter car thieves. Yet, a car is stolen in the United States every 24 seconds according to the Insurance Information Institute. Auto theft continues to thrive despite those lists and regardless of new anti-theft technology that emerges with every new model year.

What else can you do besides not drive the most stolen car in America and equip your car with anti-theft protection? We’re going to give you the unique opportunity to look inside the mind of the car thief and learn how he steals cars. With the help of police auto theft experts and auto theft professionals, we’ve compiled this list of some of the ways thieves steal cars followed by suggestions of how to stop them from doing it to you.

We have no intention of providing new information to the wrong people and simply want to educate the good guys. We haven’t disclosed anything that car thieves don’t already know and we have left out specific details to avoid making this a “how-to.” Knowing the insider tricks of auto thieves will motivate you to take the necessary precautions to defend your vehicle.

1.Bump against the car to check for a car alarm. Since it seems like everything from a loud Harley to a rumbling garbage truck can set off a car alarm, people have been conditioned to tune them out. Instead of a motion-sensitive car alarm, use one that has a pager that will notify you as soon as your alarm is activated.

2.Break the window or jimmy the lock to gain entry into a locked car. Don’t tempt car thieves. Keep valuables out of plain sight. Take them with you or store them in the trunk. Also, if you have a stereo with a removable face plate, take it with you instead of tucking it away in the glovebox.

3.Cut the steering wheel itself if there’s a steering wheel lock. Instead of locking just your steering wheel, “lock” your car’s ability to go by using a starter disable switch and putting it in a place where only you can get to it.

4.Look for exposed wiring that can be cut or for the central unit of the car alarm to deactivate it. Instead of going to a big retail chain store, have your car alarm installed by a professional car alarm installer, preferably a reasonably shady one. Unlike retail chain employees, these experts know what it takes to make your car elusive to crooks.

5.Look for car alarm decals to figure out which method to use to eliminate the alarm. Never display stickers that advertise what sort of car alarm you have, or audio system for that matter. Consider using a hood lock cable so the thief can’t get to your battery or car alarm mechanism.

6.Jump into an unattended running car while the owner is at the ATM, dropping off videos, etc. Never leave your keys in the ignition even for a quick errand. Car theft is a crime of opportunity, so don’t make it easy for them to grab yours.

7.Look for the car’s title, registration or anything with a home address on it. Keep your registration and insurance information with you and never leave personal information in your car.

8.Stake out sporting events, movie theaters and shopping center parking lots for the car of your choice since they offer the largest variety of cars in one area. Whenever possible, park in lots and garages that have security and/or parking lot attendants. If not, don’t park in the farthest corner of the lot but rather near the entrance of these facilities to insure the most foot traffic (and the most potential witnesses). Also, opt for paying the extra couple of dollars for the monitored parking lot instead of using the free parking on the less-trafficked side streets.

9.Find the second set of keys the owner “hid” in the car. Don’t leave spare keys in your car or in a magnetic box attached to the underside of your car. Thieves know where all the “hiding places” are.

10.Copy specific vehicle information and take it to the manufacturer to get a replacement key made. Instead of VIN etching the major parts of your vehicle, which doesn’t turn most thieves off, drop your business card into the doors through the window slots to identify your car as yours.
Even though auto theft is a crime of opportunity, if a crook really wants your car, he’ll do whatever it takes to get it regardless of steering wheel locks or car alarms. But with the above knowledge, you can slow him down, make your car inconvenient to him and, hopefully, discourage him from attempting to steal your vehicle. Layering your car with anti-theft protection, especially if it’s at the top of the most stolen vehicles list, is a good start. But, as with anything that is of value to you, the most important protection you can give your car is to take a proactive approach to security when you leave it unattended.