Insurance cost shuts down teen entrepreneur

[Kat Kanning]

That sucks.

[lildog]

The insurance industry is a side effect of the lawsuit mentality we have now in this country.

You hurt yourself with a product because you use it incorrectly or even just because your stupid, turn around and sue the company who made it.  If someone uses your product in a crime the victim turns around and sues you.

It?s out of control!

When I was serving as the president of a national fraternity we ran into insurance problems as our rates more then tripled in just under 3 years.  As it was the insurance was about half our national budget BEFORE it went up and up? we had to face some fierce choices on cutting back spending on necessary things and increasing dues to our members because the insurance industry had us over a barrel.  And many private schools said flat out they would not allow us to participate on their campuses without insurance.

After looking into the problem I realized as an organization we had ZERO assets so I opted for an insurance plan that covered officers (yes as president I was open to lawsuits if an undergrad got hurt or died within one of our fraternity houses) but left the organization as an entity exposed.  I figured with zero assets what would they get if they sued us?  You would not believe the amount of problems this causes not only with the members who disagreed with me but with schools who felt entitled to tell a private organization how to run its business?  never mind the first amendment giving us the freedom of assembly, these schools even though we meet their requirements of having insurance covering all the undergrad members still insisted they would ?close us down? if we did not cover our own entity.  When I asked one school dean what difference is it to them if we as an outside entity leave ourselves exposed as long as we cover the students and even the school officials that participate in any actives under the umbrella of our organization.  I was given spin about how it would open the school up to lawsuits (since ?victims? wouldn?t be able to get money from the fraternity) and other hogwash.

That?s actually what led to my stepping down as the national president? I mean why fight pointless fights and spend weekends traveling to have these idiots tell you that you don?t know how to run an organization when you would be much happier just staying at home with your kids.  My family won out.

[YeahItsMeJP]

...after failing to get insurance through a rider on the city's policy, and then finding out his business could not be insured through his parents' homeowner policy, Bustard was faced with either paying a $5,000 premium for his own policy or having to close his booth.

The statement "Bustard was faced with either..." is not true. ? ?He had other options.

Why didn't he call a company that sells business insurance? ?That's how almost all businesses are insured as far as I know. ?$200-400 per year isn't that much to pay.

Because business insurance, thanks to federal law, cannot be purchased by a 17 year old. In fact what would have had to happen is perhaps his father would buy it and then list his son as an employee on the insurance. Most insurance companies, however, will charge an extra fee per employee.

JP

[EZPass]

The insurance industry is a side effect of the lawsuit mentality we have now in this country.

A lawyer once told me that anybody can sue anybody else for anything.? You have 2 choices: you can choose to pay or you can choose to pay to defend.

[Michael Fisher]

The insurance industry is a side effect of the lawsuit mentality we have now in this country.

A lawyer once told me that anybody can sue anybody else for anything.? You have 2 choices: you can choose to pay or you can choose to pay to defend.

Beware the victim mentality!