Members Only Home   About Us   Contact Us AIIS Members State/Fed Links News Media Insurance Facts Know Your Stuff Free Home Inventory Program & Apps Consumer News   Stolen Vehicles   Total Loss VIN Check   Insurance 411 Weather Center   Travel News/Info Educators Disaster Links Membership Copyright© 2012 Alabama Insurance Information Service, Inc. All Rights Reserved Property and Casualty Insurance Information from the Alabama Insurance Information Service 2012 Hurricane Season Begins June 1st. Track Tropical Depression Beryl Drought Alert The map provides an overview of the severity of the drought across the Southeast as of May 22nd. For a detailed drought map of the U.S., Click here. Troopers Remind Motorists to Buckle Up, Drive with Care during Memorial Day Weekend, Warm-Weather Travels    Making every effort to prevent crashes, injuries and fatalities on Alabama’s roadways, state troopers will be out in full force as part of the Department of Public Safety’s Memorial Day Weekend safety blitz.    “With heavier than usual traffic expected during this extended holiday weekend, we will aggressively enforce traffic laws,” said Col. Hugh B. McCall, Public Safety’s director. “Troopers will target such dangerous behavior as speeding, DUI, distracted driving and following too closely, all of which cause crashes and contribute to more severe crashes.”    In addition, troopers will engage in routine patrols and be available to assist motorists, McCall said. To help ensure safety, all available troopers will be in uniform and on Alabama’s roadways during this program.    The official Memorial Day holiday travel period begins at 6 p.m. Friday, May 25, and ends at midnight Monday, May 28. Last year during the 78‐hour Memorial Day weekend, 10 people were killed in traffic crashes in the state. At least seven of the deaths were alcohol related, and seven crash victims who were vehicle occupants were not using safety restraints.    During this time, troopers also will continue to participate in the national Click It Or Ticket safety initiative, which runs through June 3 and is designed to promote the use of seat belts and child restraints and will be looking for motorists who are not buckled up. In Alabama, the seat belt law mandates that all front-seat occupants ? regardless of age ? be restrained. The state’s child restraint law requires the following size‐appropriate restraint systems for children riding in front and back seats: -- Infant‐only seats and convertible seats used in the rear‐facing position for infants until at least 1 year of age or 20 pounds -- Convertible seats in the forward position or forward‐facing seats until the child is at least 5 years of age or 40 pounds -- Booster seats until the child is 6 years of age -- Seat belts until the child is 15 years of age    McCall said the expanded enforcement initiative is made possible by grant funding provided by the Alabama Department of Transportation and the Alabama Department of Economic and Community Affairs’ Law Enforcement/Traffic Safety Section. He cited ALDOT and ADECA as valuable partners in the state’s traffic safety efforts and thanked them for their ongoing support. NOAA predicts a near-normal 2012 Atlantic hurricane season    Irene in 2011 was a reminder that tropical systems can affect the Northeast and of the threat of inland flooding. For the entire six-month season, which begins June 1, NOAA’s Climate Prediction Center says there’s a 70 percent chance of nine to 15 named storms (with top winds of 39 mph or higher), of which four to eight will strengthen to a hurricane (with top winds of 74 mph or higher) and of those one to three will become major hurricanes (with top winds of 111 mph or higher, ranking Category 3, 4 or 5). Based on the period 1981-2010, an average season produces 12 named storms with six hurricanes, including three major hurricanes.    "NOAA's outlook predicts a less active season compared to recent years," said NOAA Administrator Jane Lubchenco, Ph.D. “But regardless of the outlook, it’s vital for anyone living or vacationing in hurricane-prone locations to be prepared. We have a stark reminder this year with the 20th anniversary of Hurricane Andrew." Andrew, the Category 5 hurricane that devastated South Florida on August 24, 1992, was the first storm in a late-starting season that produced only six named storms.    Next week, May 27- June 2, is national Hurricane Preparedness Week. To help prepare residents of hurricane-prone areas, video and audio public service announcements featuring NOAA hurricane experts and the FEMA administrator are available in both English and Spanish. Tropical Storm Names for 2012 Alberto Beryl Chris Debby Ernesto Florence Gordon Helene Isaac Joyce Kirk Leslie Michael Nadine Oscar Patty Rafael Sandy Tony Valerie William Hot Wheels Classics: Chevrolet Corvette A Truly Hot Car – More Than One in 10 Stolen Over Past 30 Years Click here to view the report. Bicycle Safety and Insurance    Bicycling is increasingly popular, both as a sport and as a means of transportation. And bicycles can cost anywhere from several hundred dollars for a basic bike to thousands of dollars for specialized racing bikes. Whether you use your bicycle to commute to work or simply like to cycle around the block with your children, it is important to understand the rules of the road and protect your financial investment with the proper insurance.    Bicycles are covered under the personal property section of standard homeowners and renters insurance policies. This coverage will reimburse you, minus your deductible, if your bike is stolen or damaged in a fire, hurricane or other disaster listed in your policy.    If you are purchasing a new bike, keep the receipt and call your insurance agent or company representative immediately. If you own a particularly expensive bicycle, you may want to consider getting an endorsement that will provide additional coverage. Your insurance agent or company representative can review your coverage options with you. To learn more, Click here. Motorcycle Crash Data Update    The Insurance Information Institute has updated motorcycle crash data and related information.    2010 Crash Data: U.S. Department of Transportation’s National Highway Traffic Safety Administration (NHTSA) reports in 2010, 4,502 people died in motorcycle crashes, up 0.7 percent from 4,469 in 2009.    According to the latest data available from the Federal Highway Administration, there were about 8 million private and commercial motorcycles on U.S. roads in 2009, compared with 134.9 million passenger cars.    Fatalities among motorcyclists age 50 and older increased by 119 in 2010, compared with 2009, whereas fatalities among motorcyclists under age 55 decreased by 1,391.    Some 106,000 motorcycles were involved in crashes in 2009, including property damage-only crashes, according to latest data from the NHTSA.    Motorcyclists were 25 times more likely than passenger car occupants to die in a crash per vehicle mile traveled in 2009 and five times more likely to be injured, according to NHTSA.    The fatality rate per registered vehicle for motorcyclists in 2009 was six times the fatality rate for passenger car occupants, according to NHTSA.    The National Insurance Crime Bureau said that motorcycle thefts fell 11 percent in 2010 from a year earlier, based on data from the National Crime Information Center of the Federal Bureau of Investigation. Motorcycle thefts declined each year from 2006 to 2010 with the largest decrease occurring between 2008 and 2009. The top five makes stolen and the top five states in thefts for 2010 are shown below: TOP 5 MAKES STOLEN, 2010 1. Honda 12,260 2. Yamaha 9,853 3. Suzuki 8,969 4. Kawasaki 5,470 5. Unknown make 3,420 TOP 5 STATES IN MOTOR CYCLE THEFTS, 2010 1. California 5,662 2. Texas 4,394 3. Florida 4,148 4. North Carolina 2,649 5. Indiana 1,925 A Firm Foundation: How Insurance Supports The Southeast and the U.S. Economy    One of the most important economic benefits an industry of many companies can provide is employment on a state-by-state basis. The insurance industry, made up of companies, their agencies and independent agencies that represent several companies, have a significant presence in the Southeastern state and the Nation. Insurance Industry Employment By State Alabama 26,149 Georgia 68,516 Florida 137,219 Mississippi 11,403 North Carolina 50,425 South Carolina 9,741 Tennessee 45,017 Kentucky 28,965 Southeaster States 377,435 United States 2,266,000 Source: Regional Economic Information System, Bureau of Economic Analysis, U.S. Department of Commerce. To view the entire U.S. employment state-by-state, click here. NICB Reports Metal Thefts Increase 81 Percent Since 2008 -- FBI: “Copper Thefts Threaten U.S. Critical Infrastructure”    A new report from the National Insurance Crime Bureau (NICB) confirms what many Americans have learned through news reports and, unfortunately, their own experience that thefts of copper and other metals are occurring all over the nation. The report reviews metal theft claims from January 1, 2009 through December 31, 2011.    The NICB issued an initial report on metal theft in February, 2009. Since then, incidents dropped off slightly, but as today’s report shows, beginning in August, 2009, thefts steadily increased across the nation driven, once again, by rising prices for base metals—especially copper.    Whether the theft is an expensive personal irritant, like finding your catalytic converter has been stolen, or one that threatens public safety, as in the recent theft of copper wiring which blacked out runway approach lights at the Modesto, Calif., regional airport—metal thefts are increasing in frequency and severity.    In an unclassified intelligence assessment first released in 2008 and modified in 2010, the Federal Bureau of Investigation wrote, “Copper thieves are threatening US critical infrastructure…and present a risk to both public safety and national security.”    Entire stretches of highways have been plunged into darkness and traffic controls at busy intersections have been rendered inoperative—all due to thoughtless acts of greedy copper thieves. Even brass grave markers are disappearing from cemeteries. Yet, bold and often risky thefts sometimes turn out badly for perpetrators. In February, 2011, Gregory Allen Alexander of Roseville, Calif., was electrocuted as he attempted to cut through a high-voltage wire at a municipal sports complex in Sacramento. --------------------    The report identified 25,083 insurance claims compared with only 13,861 identified from the 2006-2008 report—an 81 percent increase.    The top five states generating the most metal theft claims are Ohio (2,398); Texas (2,023); Georgia (1,481); California (1,348); and Illinois (1,284).    The top-five Core Based Statistical Areas generating the most metal theft claims are Chicago-Naperville-Joliet, IL (963); New York-Northern New Jersey-Long Island, NY-NJ (921); Atlanta-Sandy Springs-Marietta, GA (823); Dallas-Ft. Worth-Arlington, TX (674); and Detroit-Warren-Livonia, MI (587). The full report can be viewed and downloaded Here. --------------------    Depending on the circumstances of the theft, these incidents may not generate an insurance claim, or even a police report. Consequently, comprehensive empirical data is elusive. While this report deals primarily with submitted insurance claims, the ultimate impact of this activity falls, to some degree, on all consumers. Losses to businesses and government entities are shared with customers and taxpayers through higher costs for goods and services and/or offsetting reductions in services.    Individuals can do their part to prevent these kinds of thefts by simply being vigilant in their neighborhoods and business communities. If dwellings remain unoccupied for extended periods of time, they become magnets for unlawful behaviors. Wire stripping is among the activities that are routinely discovered in these locations. Your best protection is simply paying attention. Talk with your neighbors and ask one that you trust to keep watch on your home if you will be away and return the favor. As always, you should report suspicious activity to your local law enforcement agency. Unreported crime may breed more crime.    Anyone with information concerning metal theft can report it anonymously by calling toll-free 1-800-TEL-NICB (1-800-835-6422), texting keyword “fraud” to TIP411 (847411) or by visiting our Web site at www.nicb.org. Or, iPhone or iPad users can download the NICB Fraud Tips app to make it easy to quickly send a tip and get a response. The Impact of Global Natural Catastrophes in 2011    Significant natural catastrophes in 2011 included earthquakes, a major tsunami, volcanic activity, numerous major storms, tornados, floods, droughts, wildfires and more.    To see the significance and the amount of this very costly events, click on the world map, right, to view this global map from reinsurer MunichRe. What coverage is included in a standard homeowners insurance policy?    To find out what the four essential coverages are in your homeowners insurance, Click here. Latest Statistics on Homeowners and Renters Insurance Claims -- Southeastern States    View the latest expenditures for Homeowners and Renters Insurance for Southeastern States and overall Claims Data for Homeowners and Renters Insurance by Loss and Type of Claim though 2009, the latest figures available: Click here. Insurers Warn Customers of Post-Storm Scams    If your home was damaged or destroyed by the storms and tornado that struck Alabama on January 23, be wary of offers to help from anyone you do not know. Too often, disasters that bring devastation to life and property also draw unscrupulous service providers that exploit the vulnerability of victims.    “They know people who have lost homes and other valuables are more susceptible to any proposal which suggests an easy and quick return to life as they knew it before disaster struck,” warns Renee Carter, state director for the Alabama Insurance Information Service.    After a disaster, contractors and others providing services to those with damaged homes or businesses will often go door-to-door to sell their services. While many of these business people are reputable, many others are not. The dishonest ones may draw from a variety of schemes to defraud innocent disaster victims.    “Make no hasty decisions. Take the time and proper precautions to protect your property and your money,” adds Carter.    Beware of contractors that encourage you to spend a large amount of money on temporary repairs. Payments for temporary repairs are covered as part of the total settlement from your insurance company. Paying a contractor a large sum for temporary repairs can leave a property owner without enough money for permanent repairs after payment is made by the insurers for the total loss amount. In most cases, people are capable of making temporary repairs to their own property.    Recognize a common post-storm fraud scheme, whereby a sham “contractor” insists that you make a large deposit before repair work can begin. Unfortunately, the job will be started but not completed because the “contractor” will vanish, along with your money! Never give anyone a deposit until you have checked the company thoroughly and have a written contract.    Avoid being defrauded by a provider who uses inferior materials and shoddy work that does not meet code standards to siphon more profit for himself. Investigate the track record of any roofer, builder or contractor that you consider hiring. Look for professionals that have a solid reputation in your community. Your insurance agent, local chamber of commerce, and Better Business Bureau can help. Also, get references. The best indicator of how satisfied you will be with the quality of repairs and service is the satisfaction of others who have used that provider in the past. Other tips Talk to your insurance agent. Ask for recommendations of reputable service providers in your area. Your insurance company’s primary responsibility after a storm is to help you recover as quickly as possible from losses. Hopefully, this event is the first time you have dealt with property damage from a storm or tornado. For your agent and insurance company, it is definitely not. Take advantage of their allegiance to you and vast experience in similar situations. Make sure the company seeking your business is licensed to trade in that service in the State of Alabama. Often, the brochure on your doorknob or in your mailbox after a storm has been left by a company from another state seeking opportunities in your area because of the storm. [State Licensing Board for General Contractors (334-272-5030); Home Builders Licensure Board (800-304-0853) Take your time in choosing a contractor. Contact more than one company and get written estimates for the proposed job. Read the fine print. Do not be pressured into signing a contract with a particular company. As with any repair, you have the right to choose who makes your repairs and when they are made. Ask for estimates to be itemized according to necessary materials and labor costs. Price gouging -- charging too much in a time of crisis -- is against state law when a disaster, an emergency or an abnormal market disruption for critical goods and services is declared or proclaimed by the Governor. Getting multiple estimates for all repair work will immediately reveal any attempts to charge you too much for your needs. Report any violations to local and state officials. Survey your friends, family and neighbors in the area who also suffered damages about what they are paying for repairs and compare with the estimates you received. Do not allow a contractor to inspect your roof or other parts of your property unless you requested it. Talk directly to your insurance company about the damage claim. A contractor cannot speak for your insurer or the details of your policy, no matter how fervent the promise he can help get your insurance company to pay for a specific repairs. Verify proof of liability and workers compensation insurance for anyone hired to make repairs. Never sign a contract containing blank spaces. Unacceptable terms can be added later by a dishonest business person. Never pay a contractor in full or sign a completion certificate until the work is finished and you are sure reconstruction is up to current building codes.    “Contractor fraud forces significant delays in rebuilding or, in many cases, completely halts the rebuilding process after a disaster,” said Carter, “which can make a property owner twice the victim of the same catastrophe.”    If you believe you have been approached by an unlicensed or unscrupulous contractor, contact your insurance company, the local police, the Alabama Attorney General’s Office (1-800-392-5658 / www.ago.alabama.gov), or the National Insurance Crime Bureau hotline at 1-800-TEL-NICB (1-800-835-6422). You may also text your information to TIP411, keyword “FRAUD” and remain anonymous. WARNING! Insurance Scams Involving Unsolicited Service Providers... If You Didn’t Request It - Reject It!    Each year consumers pay more for their auto and homeowners insurance policies as a direct result of fraud.    We’ve all heard the stories—unnecessary auto glass repairs, aggressive and exorbitant towing charges, needless home repairs, total roof replacements, sinkhole damage, solicitation of accident victims.    These and other kinds of insurance scams contribute to an annual loss amount estimated to be $30 billion just within the property and casualty industry.    Repair scams have one common element—a solicitation from an individual offering repair services.    If a homeowner has requested an inspection or if an insurance company has authorized a vendor to conduct an inspection, that’s one thing.    But an unsolicited, unexpected and random “inspection” visit from a service provider, whether it’s a glass repair technician, a roofer, or a structural engineer looking for sinkhole damage to your home could be the first step in a fraud scam.    That is why the National Insurance Crime Bureau (NICB) advises consumers to always consult their insurance company first before allowing anyone to perform any inspection or repair work that will be “covered” by their insurance.    Essentially, an unsolicited contact with you is a key indicator of possible fraud. When someone knocks on your door for a roof inspection and you did not request it; when you are approached at a service station by a glass repair technician offering “free” repair work; when a contractor appears at your door to provide an estimate for replacing your storm-damaged siding—all of these are potentially fraud precursors. The NICB stresses, if you didn’t request it—reject it.    To learn more about potential scams, and to spot them and what to do if approached, Click here to learn more and save an 11-point check list of what you can do. New U.S. Edition of "A Firm Foundation" On-Line    The insurance industry has a significant impact on the nation’s economy that extends well beyond its responsibilities to collect premiums and settle claims. It employs licensed professionals, pays taxes and serves people in their times of greatest need. The U.S. insurance industry employed 2.2 million people in 2009. Of those, 1.4 million worked for insurance companies, including life, health and medical insurers. Property Casualty insurers, 549,300 workers, and reinsurers, 27,100 workers.    Learn more about the industry and how insurers provide significant protection for their policyholders. Click here. A Firm Foundation: How Insurance Supports The Alabama Economy    The insurance industry in Alabama has a significant impact on the state’s economy that extends well beyond its responsibilities to collect premiums and settle claims.    Insurance companies help fund the construction of schools, roads, and healthcare facilities, and a variety of other public sector projects through their investments in municipal bonds.    Created by the Insurance Information Institute for the Alabama Insurance Information Service, this must-read document provides a comprehensive look at what the insurance industry provides to Alabama.    To view the document, Click here.    To view a history of Alabama disasters, Click here.