There is more to insurance than a price…
The insurance industry as a whole has trained consumers to focus on price when shopping for coverage. Most of us work every day of our life to pay for the things we have, yet most take less than 15 mins to make sure they are properly covered.
Below is the average payouts for auto home liability claims-if you are buying state minimum auto insurance, or basing your coverage on price you may be setting yourself up for a financial disaster.
Please take the time to sit down with an agent and make sure your properly covered.
Did you know that the average Ohio auto claim settlement judgement pay out in 2014- was $465,362.00? Will your state minimums cover $465,632??? Where do you think the balance you owe is going to come from?
“If a judgment is entered against you, you’re known as a judgment debtor, and the plaintiff to whom you owe the judgment is called the judgment creditor. Even though it’s a small claims court judgment, it’s important to decide which method you’ll use to pay your judgment and to know when you must do so. There are consequences if you don’t pay.
Depending on local rules and procedures, you may have several options for paying the judgment. These include:
- Paying the judgment directly to the court
- Paying the judgment creditor directly
- Setting up an installment payment plan
Your small claims court will probably have a form to use if you’re making a payment to the court directly. This form may have a title such as “Request to Pay Judgment to Court.” You’ll file the form, along with the amount of your payment and any other required fees to the court’s clerk. The clerk will file a form showing you’ve paid, called a satisfaction of judgment, and will notify the judgment creditor as well.
If you pay the judgment creditor directly, make sure that you have proof of your payment, such as your cancelled check or a copy of a money order. You’ll want to ask the judgment creditor to file a satisfaction of judgment with the small claims court. If he doesn’t cooperate, there’s a court process for proving that you paid the judgment and having a satisfaction of judgment filed in court records. Check with your small claims court for the process in your area.
Typically the judgment debtor can start collection actions against you once the time for filing an appeal has passed, usually 30 days after the judgment is entered. While you are in an adversarial situation, do try to cooperate with the judgment creditor in finding a way to pay the judgment because it can save both of you money and time.
If you think you are safe because you don’t own anything or you have nothing they can take. Think again…
Some of the methods for collecting a judgment include:
- Garnishing your wages or bank account. There are limits on how much can be withheld from your net wages, and if your wages are below a certain limit, garnishment might not be available.
- Collecting from various types of property or property interests you own. A judgment creditor could seek to collect on a judgment through seizing personal property, including vehicles, real estate or intangible resources, such as accounts receivable or judgments owed to you.
- Seeking suspension or other action against licenses you hold, such as professional licenses or a driver’s license.
If the judgment debtor needs to pursue collection actions, you’ll probably be responsible for collection costs and interest on the amount of the judgment. It’s worthwhile to cooperate with the judgment debtor and make arrangements for paying your judgment.
The safe way to avoid this is to have enough coverage on your auto insurance policy. Don’t know if you have enough? Give us a call.