Social Media And Insurance Claims

Using Facebook or Twitter 'could raise your insurance premiums by 10%

People who use social media websites such as Twitter and Facebook have been warned that they could eventually face rises in their home insurance premiums of as much as 10pc.
Services such as Twitter, FaceBook, Foursquare and Buzz can alert criminals when users are not home, according to Confused.com
Services such as Twitter, Facebook, Foursquare and Buzz can alert criminals when users are not home, according to Confused.com, the price comparison service. Foursquare, for example, shows that people are in a specific spot and, more importantly, that the user is definitely not at home, Confused.com added.
It predicted that the new wave in social media could eventually lead to big rises in home insurance premiums.
Darren Black, the head of home insurance at Confused.com, said: "I wouldn't be surprised if, as social media grow in popularity and more location-based applications come to fore, insurance providers consider these in their pricing of an individual's risk. We could see rises of up to 10pc for people who use these sites.
"Criminals are becoming increasingly sophisticated in their information gathering, even using Google Earth and Streetview to plan their burglaries with military precision. Insurance providers are starting to take this into account when they are assessing claims and we may in future see insurers declining claims if they believe the customer was negligent."

The company offered the following advice to users of social networking websites:
1. Never post your home address or other personal information such as your home phone number on social networking sites
2. Don't follow people you don't know on social networks and use block others from seeing your profile if you don't know them
3. Turn off location-based services on Twitter and Facebook unless you absolutely need to use them

Let’s get this party started or you might want to not start it once you know how you may be liable for the actions of the attendees if you serve alcohol. We all like to have a good time particularly during celebrations for events such as graduation, holidays, anniversaries, New years and the list goes on. Did you know that as a “social host” (which is what you are if you are serving alcohol at your event) you are liable the actions of third parties who go out and cause harm to others such as an auto accident.Dram shop liability refers to the responsibility of the tavern, restaurant or other business (or social host) that sells or gives the alcohol to an obviously intoxicated person or a minor who then causes harm to another. Dram shop liability laws vary widely by state in regards to serving alcohol to an intoxicated person. For instance, ten states such as Nevada have no dram shop liability laws at all. Most states impose liability on social hosts where: Alcohol is served to a minor which is fairly obvious or The host was reckless in serving alcohol or should have recognized the extent of the guest's intoxication and not served him or her more alcohol. So what should you do? Consider the following:

• Don’t serve drinks to minors
• You might consider using chaperones to monitor quest – a designated driver, if you will
• Host the event at a liquor licensed restaurant, bar or other facility which would be responsible for serving drinks
• Some say implement a “Cash Bar” I don’t share that view as you could possible be on the hook
• Don’t serve drinks at all

Please know that the aforementioned is not a guide but a researched opinion. You should consult a legal professional in your state to get precise information on this topic.

Click here to see Social host/dram shop laws for each state.