The Fine Print – Presented by Insure.com

My friend who works for the city of New York was crowing this month. His union had won its final courtroom verdict against the city and now he’s in for a big payday.

The case involved titles. Municipalities and companies across the country bestowed big titles on employees — making them administrators. Wow! But these workers caught on to the fact that administrators aren’t entitled to the same benefits as their underlings, who not only get protection through their unions but, most importantly, mandatory overtime pay.

Show me the money

So they have figured out that it isn’t worth it to be a boss. Instead they want the money more than what may, or may not, be an promotion, particularly with the recession biting into their paychecks. (continue reading…)

When the police, FBI and the media have finished probing the tragedy at Century movie theatre in Aurora, Colo., insurance companies will take over.

The big insurers and brokers have risk-assessment units dedicated to preventing this from happening. But somehow it did.

The insurers I called didn’t want to talk about it. First, it’s bad publicity to be connected to this kind of crime. Second, risk assessment teams don’t want to give anyone a roadmap on how to do it. But what I learned in off-the record conversations — and how insurers handled these risks in the past — gave me insights into how they will evaluate this “lone gunman” threat in the future. And how people in a crowded public building should be protected. (continue reading…)

If you find yourself in one of the almost-bankrupt California cities and happen to drive through a busy intersection, beware. Any number of things could happen. The lights could go out because the municipality didn’t pay its electric bill. Then you could be struck by a city vehicle careening through the intersection.

If this happens don’t sit there waiting for the police to show up; there are fewer of them than there used to be. Don’t waste your time trying to find the nearby fire and rescue station since it’s probably closed. And if by chance you need the Jaws of Life, don’t expect prompt service.

But your legal nightmare hasn’t even started yet. You could have a valid claim against the city for negligence and want it to pay your hospital bills, time lost from work and, obviously, pain and suffering. But what’s the point of filing that claim if the city is bankrupt and hasn’t paid its insurance? (continue reading…)

Fireworks on the Fourth of July are as American as apple pie. But get ready for a change. This year, many of us might have to watch the kids down the block set off their own cherry bombs and bottle rockets.

Towns and cities across the country from Austin, Texas, to Euclid, Ohio, are canceling their pyrotechnics and “going dark,” as they say on Broadway. This move will bring tears to children and would-be children such as myself, who brave rowdy crowds, dark, potholed fields and mosquito bites in exchange for the ear-splitting and eye-dazzling fun.

Other municipalities are scaling back their shows, turning what was once a 20-minute display into 10 minutes and summoning up several choruses of “God Bless America” to fill in the gap. (continue reading…)

Jerry Sandusky is in the clear right now, at least in one respect. His legal bills to defend himself against criminal charges that he sexually abused young boys are being paid by a unit of one of the nation’s largest property-casualty insurers, Chubb Corp. And both Chubb and I don’t like it.

Chubb went before the judge presiding over the case and cited Pennsylvania law, which bars enforcement of insurance contracts if “certain reprehensible conduct” occurred. But — for now — the judge denied Chubb’s request, and the insurer could have to pay much more than the $125,000 it’s already given to Sandusky and his legal team.

Factor in the 52 separate charges that he faces, including taking private showers with 10-year-olds, and his defense costs will probably run into the millions. If convicted, Sandusky could supposedly have to pay back the money. But I think they’ll need a good enforcer to collect if Sandusky is in jail and the money is spent. (continue reading…)