Archive for April, 2011

Athletes and the pill

Friday, April 29th, 2011

Sometimes it’s hard to know which is the more strange: the way some people behave or the laws that can make some behavior criminal. Take the question of having a drug in your possession. Oakland Raiders wide receiver Louis Murphy is now a qualified expert in the law. A few years back, he was caught with some marijuana in his possession. Everyone knows the dispute over the status of this drug. But many people use this drug for pain relief and, around the world, it’s either not criminal at all or, as in some US states, medicinal use is accepted. So, however you look at it, most people are aware of its status as a “street drug” and therefore are not surprised when they read about convictions. Switch over to prescription medication and more people can be caught by surprise. In many US states, it’s an offense to be in possession of any “legitimate” drug unless you carry a prescription with you to justify the possession. The reason is easy to give. Many prescription-only drugs are derived from highly addictive substances and the US states want to control their use. Whether it’s right to use the criminal law is not the issue. Having decided to control all versions of some drugs, you must carry a prescription to distinguish criminal from lawful possession. It’s the same as having your driver’s license with you when in control of a vehicle. The police are entitled to ask you for proof a doctor has approved your use of these drugs.

This week, Louis Murphy was pulled over in his SUV and, after a brief but violent fight resulting in an arrest, the police officers found eleven little blue pills in an unmarked bottle. Murphy had no prescription. Presumably, like millions of other men, he bought the drugs from an online pharmacy without the need for a prescription. So this should be a warning to everyone who buys their drugs through the internet. No matter what the drug, you can find yourself on the wrong end of the criminal law if you carry the drug with you in a public place. Just to clarify, it’s perfectly alright to have the drug in your bloodstream and, if the drug was sitting in your home, the police would need a warrant to search. Without a warrant allowing a search for drugs, it would be very difficult to get a conviction should the drugs be “found”. (more…)

Pay-as-you-drive Insurance Keeps Expanding in USA

Monday, April 25th, 2011

Many people look at all kinds of cost cutting tips when they are trying to trim their insurance premiums. Is that the best option?

What about an entirely different kind of insurance?

This week, Progressive announced that it is adding itself to the growing list of insurance providers offering pay-as-you-drive (PAYD) insurance policies. Many people are able to save hundreds, even thousands, a year in insurance by using PAYD. Could you?

What is Pay-as-you-drive Insurance?

This is a type of usage-based car insurance. It’s been used in Europe for a while, but is just now catching on in the United States. Here’s how it works:

  • You drive
  • Your miles are recorded/li>
  • Your miles are reported to the insurer
  • You pay a flat rate for how many miles you drive

Why is this cheaper?

With traditional auto insurance, you pay a premium for coverage over a set period of time. While rates are partial determined by your annual mileage, many people actually pay far more for coverage than they actual use on the road. Drive 100 miles? Pay for 100 miles. Drive 10, pay for 10. It’s that simple.
By paying by the mile, you pay for exactly what you use. If you barely drive one month, you won’t pay much at all.

People who drive less than the average driver can save good money with PAYD. For people who barely drive at all, you can save over a thousand dollars a year.
If you have a bad driving record, PAYD allows you to really control your rate by driving less.

How are miles recorded and reported?

This seems to vary by company. There are several methods:

  • Checkups
    You check in with an agency approved mechanic, dealer, or agent to have your mileage recorded. They send it to the insurance company, who then send you a bill.
  • Honor System
    Smaller insurers may simply ask you to look at your odometer and tell them what it says. While it seems like they are just relying on you to be honest – and I’m sure most of you are honest – if the numbers seem off, they will not let it go. Should you file a claim and the insurer find out you’ve been lying about your mileage, they can drop you and stick you with the bill, claim unpaid.
  • Black Box
    A black box is a GPS chip that automatically reports the whereabouts of your vehicle to the insurer’s computer. This also tracks your mileage automatically.
    This also makes it easier to recover a stolen vehicle, which saves the insurer some money. As a result, your theft coverage will be very inexpensive.
  • OnStar
    PAYD insurance through GMAC for vehicle with OnStar is easy and cheap. OnStar automatically reports your mileage to GMAC. Since it’s OnStar, you can talk to an operator at any time to get your current money owed. (more…)