Insurance Companies Make Millions in Interest by Delaying Claims

This shouldn't come as a surprise- insurance companies are purposefully delaying payment of your claims. The reason for their delay is obvious, but it's something I find myself often explaining to clients. While my clients are disappointed by my explanation, they're certainly understanding.

This website shows how much each large insurance company
 earns by delaying claims: http://whyinsurancewontpay.com/

Everyday an insurance company waits to pay your claim, they earn interest on the sum of money they will eventually have to payout. If they delay across a million claims, the amount of interest they earn is HUGE. For example, Allstate - one of the worst offenders - earns 13 million dollars everyday it can go without paying claims. In just ten days, Allstate will earn over 135 million dollars by delaying.


Insurance companies are like banks. You deposit your money into them in return for a payout in the event you suffer a loss, but your money doesn't just sit in a vault until that rainy day comes. The insurance company takes the money and invests it, often into bonds. Those bonds and investments earn the company interest and profits. It makes sense then that they will want to earn as much profit on your deposit before paying it out.

My former professor, Jay Feinman, is an expert in this field. His book, Delay Deny Defend, breaks down the inner workings of an insurance company and explains how policyholders are affected by potential abuses. You can learn more about Professor Feinman and his book at http://www.delaydenydefend.com/.

Many Bicycle Accidents are Caused by Defective Products or Faulty Repairs

When you ask a bicyclist what his or her biggest fear is, they’ll usually answer “getting hit by a car.” Almost none will answer “my bike” or “my helmet.” The fact is, many bicycle accidents are solo crashes caused by defective products or faulty repairs. A minor accident may turn life-threatening because of a poorly designed helmet.

With many bikers opting for highly specialized bicycles and gear, such solo crashes are on the rise.

When a defective bicycle or cycling product causes a personal injury, generally all individuals and entities in the chain of distribution can be held strictly liable, including the manufacturer, distributor, wholesaler or retailer. 

Strict liability applies to manufacturing defects (injuries caused by assembly-line issues), design defects (injuries caused by improperly designed products) and failure to warn (injuries caused by a lack of warning or improper instructions).

Persons who substantially change the product, such as repair shop, can also be held liable under general theories of negligence.

One weak link can ruin a life.

The most common defective bicycle products are: tires, spokes, chains, brakes and helmets. Often times these parts are incorrectly assembled or made unsafe by negligent mechanics.

If your accident was caused by a defective product or faulty repairs, you’ll want to follow the steps listed here: http://www.phillybikelawyer.com/tips-for-bike-accident.php.

You also need to PRESERVE THE EVIDENCE. Do not discard any parts or gear involved in the accident. Do not have any parts or gear repaired. Do not tamper with any parts or gear. 

The defendant has a right to inspect all of the evidence as it existed at the time of the accident.

If your injuries or losses were caused by a defective bicycle product or faulty repair work, call PHILLY BIKE LAWYER at (267) 423-4464.