Millennial Money: Don’t freak out about your emergency fund

By Amrita Jayakumar Of Nerdwallet

THE ASSOCIATED PRESS

Let’s be real: For millennials, having an emergency fund is way down on the financial worry list, behind student loan debt, medical bills or saving for a down payment.

Some weeks, it can feel like you barely have enough money to get by, let alone put some away for a rainy day.

But that cash stash can be crucial in preventing a debt spiral or keeping you afloat if you lose your job. Regardless of income, building your emergency fund doesn’t have to be intimidating.

START SMALL, BUILD A HABIT

First, pick an amount you can put away on a regular basis, no matter how small. Then, commit to it.

“It can be as little as $10 a week into a separate savings account,” says Lara Lamb, a certified financial planner at Abacus Wealth Partners in Los Angeles. Making a small contribution every week is less painful than shooting for an ideal final sum, she says. Automatically transferring the money to a separate account helps you succeed at saving.

The saving habit _ even if it’s small _ is valuable for your finances in the long term, says Eric Gabor, a certified financial planner at Eagle Grove Advisors in Jersey City, New Jersey.

A family with at least $250 in savings is less likely to face financial turmoil such as a missed utility payment or eviction, according to a 2016 study by the Urban Institute, a Washington, D.C.-based think-tank . Any amount above that _ $400, $500 _ improves your chances of navigating a setback.

Getting started is especially important for younger adults. An Urban Institute study released this year found 35.6 per cent of adults ages 18-34 surveyed in December 2017 had experienced “financial insecurity” in the previous 12 months. That was the highest among the study’s three age groups of adults under 65. It defined financial insecurity as the “inability to come up with a small amount of money to buffer negative economic shocks or to pay his or her credit card or nonmortgage loan.”

Lamb suggests working toward one month’s fixed expenses, which includes rent, groceries, transportation and insurance. “Don’t worry about your eating-out money or shopping money,” she says. “If you are in an emergency or a transition, the whole idea is you would cut back on your spending.”

A savings account that pays a high interest rate is a smart place to keep your fund, both planners say, so it can grow.

MAKE USE OF WINDFALLS

An easy way to kick-start your fund is to use windfalls _ part of a tax refund or even birthday money from relatives.

Young professionals typically get tax refunds instead of owing money, Gabor says. The IRS allows you to direct deposit your refund in up to three accounts, so you can send part directly to your emergency fund.

If no windfall is imminent, check your checking account. Leave a small buffer so that you aren’t at risk of overdrawing and put anything else in the emergency fund to earn interest, Lamb says.

There’s no ideal amount to keep in your checking account. But both financial planners warn that having a lot of extra “cushion” in a checking account carries the temptation to spend it.

PLAN FOR NON-EMERGENCIES

If you’re building the habit of saving for emergencies, use that muscle to plan for other expenses.

Financial experts often use the terms “irregular expenses” and “unplanned expenses.” An unplanned expense is something you don’t foresee, such as an illness or car repair. Irregular expenses are predictable costs that come up during the year _ think of car registration fees or holiday season spending.

Ideally, an emergency fund shouldn’t be used for irregular expenses, Lamb says. Instead, build a separate pool of money for them.

“Sit down and look at last year’s worth of spending and look at the things that popped up periodically,” she says. “Think about the coming year and how that might change. Figure out the annual amount and divide by 12. That dollar amount is what you set aside every month in an irregular expense account.”

USE THE MONEY WHEN YOU NEED IT

Don’t be afraid to use your emergency fund when you need it. Knowing the difference between unplanned and irregular expenses can help you decide when to tap it.

If the alternative is maxing out your credit cards or taking a high-interest loan, it’s cheaper over the long term to use your cash, then immediately start rebuilding the fund.

$160,000 Non-Pecuniary Assessment for Brain Injury and Chronic Pain

Source: Erik Magraken BC Injury and ICBC Claims Blog

Reasons for judgement were published today by the BC Supreme Court, Vancouver Registry, assessing damages for a mild traumatic brain injury and chronic pain sustained in a BC vehicle collision.

In today’s case (Ranahan v. Oceguera) the Plaintiff was involved in a 2013 rear end collision.  Although faut was not formally admitted the Court found the Defendant fully liable for the crash.  The Plaintiff suffered chronic injuries from the collision and in assessing non-pecuniary damages at $160,000 Mr. Justice Mayer provided the following reasons:

[144]     I find that as a result of the accident, Ms. Ranahan has sustained mild traumatic brain injury and soft tissue injuries to her spine, which has developed into chronic neck pain, upper back pain, post-concussion syndrome, cognitive problems with memory and focus, imbalance, tiredness, fatigue, tinnitus, eye strain, sleep disturbance and chronic headaches. I also accept that the imbalance caused by her accident resulted in a further injury, the left ankle dislocation with a chip fracture, while coaching a soccer game.

[145]      I also find that Ms. Ranahan suffers from ongoing mood symptoms including irritability, moodiness a reduction in patience and positivity. She is experiencing on-going difficulties dealing with stress. Although Ms. Ranahan admits that prior to the accident she was under significant stress as a result of her husband’s health issues, family and work responsibilities she was managing these stresses and was fully functioning at work and at home and was able to participate in a number of sports and social activities.  

[146]      I find, based on the totality of the lay and expert evidence, that there are no genuine issues of causation in this case. I find that but for the accident Ms. Ranahan would not be suffering from her current physical and psychological/cognitive symptoms…

[157]     I find that, as a result of the accident, Ms. Ranahan experienced and continues to experience physical and emotional pain, suffering and limitation. Relevant facts have been set out earlier in my reasons and there is no need to repeat them.   

[158]     The impacts have interfered with her family and business life but as a result of her stoicism these impacts have been managed to a certain extent. In addition, her injuries have significantly impacted her recreational and social pursuits but she has not been completely unable to participate in some of these activities.  

[159]     I find that there has been some improvement in some of Ms. Ranahan’s symptoms. What is not clear is whether there will be any further improvement. There appears to be a belief amongst some of the medical experts, including Drs. Chow, Johnston and Boyle, that further assessment and treatment may result in improvement. The prognosis of Dr. Chow and Dr. Johnston is guarded.

[160]     Many of the cases relied upon by Ms. Ranahan occupy the higher end of the spectrum for non-pecuniary damages for similar injuries. The cases relied upon by ICBC are in my view at the lower range and the damages awarded in those cases are not sufficient to address the pain, suffering, loss of enjoyment of life and loss of amenities suffered by Ms. Ranahan. 

[161]     Having reviewed the cases provided by the parties I assess Ms. Ranahan’s non-pecuniary damages at $160,000.  

Lawyers coaching B.C. doctors to avoid injury caps under new auto insurance rules

The excerpted article was written by

B.C. doctors are being coached by trial lawyers to avoid classifying motor-vehicle injuries as “minor” under new rules that, starting in April, will cap some claims.

“An early and optimistic prognosis will have a devastating impact on your patients’ legal rights if their recovery does not ultimately follow this course,” law firm Murphy Battista warned physicians in a Jan. 24 letter.

“An example of a way in which a patient’s rights can be protected is if the family physician explains they ‘don’t yet know’ whether an injury will cause that patient ‘serious impairment.’ ”

That letter and others like it have prompted the organization representing physicians to urge its members to guard against what it describes as a campaign of misinformation around the changes to insurance settlements introduced by the Insurance Corporation of British Columbia.

“Doctors of BC has been made aware there are letters, flyers and other types of communications being sent to physicians that may contain misleading and inaccurate information about new ICBC regulations for treatment of patients,” reads a Feb. 14 statement from the association to physicians.

Doctors of BC says the changes will not limit patient care or restrict physicians from making independent medical decisions. In fact, it says, patients will have access to more options for treatment.

“Under the new legislation, the overall allowance for medical care and recovery expenses will double to $300,000 to better support patients injured in a crash. ICBC will also pay more per treatment based on fair market rates and customers will no longer be out-of-pocket for most expenses.”

Last year, Attorney-General David Eby described ICBC as “a financial dumpster fire” and announced dramatic changes to rein in costs. The Crown corporation is on track to post losses of $1-billion for each of the past two years.

The provincial government passed legislation to curb skyrocketing payments for minor-injury claims by capping settlements for pain and suffering at $5,500 and limiting when accident victims can sue.

In the newsletter Bridge, which provides “legal perspectives of interest to the medical doctor,” physicians are advised to avoid using the grading system in the paperwork that ICBC will use to determine if an injury falls within the cap.

“Initially, the physician may have attached a Grade 2 [that would fall under the cap] to the patient. It may be difficult to re-classify. In light of this issue, it may be prudent for the physician to initially stroke through the Grades with the statement ‘Not possible to assign grade at this time.’”

The changes have put the government at odds with the Trial Lawyers Association of B.C. The group warns that injured individuals are paying the price for financial mismanagement at ICBC. The organization declined to respond to interview requests from The Globe and Mail.

Vancouver lawyer Joe Murphy, co-founder of the firm Murphy Battista, said it is perfectly reasonable for lawyers to point out to doctors the impact their assessments could have on their patients’ rights.

“Unfortunately, you’ll find out if you have an accident that you are not entitled to treatments unless the adjuster decides you are,” he said in an interview.

He said the Doctors of BC statement is itself rife with inaccuracies.

“It is ironic. I’ve read through this, and many of the statements are based on inaccurate or misleading information. I don’t think the person who wrote this read the legislation,” he said.

Mr. Eby said in an interview on Thursday that he has heard from doctors about the unsolicited legal advice they are getting. “I’m glad the Doctors of BC are prepared to step up and warn physicians to call out misinformation when they see it.”

The Doctors of BC was consulted on the improvements to benefits for lost pay and medical rehabilitation for all people injured in accidents − the first major improvements in auto-accident benefits in more than 25 years.

Andrew Yu was one of the physicians who collaborated on the ICBC changes on behalf of Doctors of BC. He said members should not be influenced by lawyers when it comes to assessing their patients. “Some of these letters and brochures seem to offer direction on what words to use or not to use. We support the autonomy of family physicians to use their clinical discretion,” he said.

Coroner calls for seatbelts on buses following Humboldt crash

By Stephanie Taylor

THE CANADIAN PRESS

REGINA _ The coroner’s service in Saskatchewan has released its report on the deadly Humboldt Broncos bus crash, calling for tougher enforcement of trucking rules and mandatory seatbelts on highway buses.

The office made recommendations to six different government agencies following a review of last spring’s collision.

It also says the Ministry of Highways should look at its policy on signs at the intersection where the crash occurred and Saskatchewan Government Insurance should implement mandatory truck-driver training.

Evan Thomas of Saskatoon was among 16 people killed last April when a semi truck barrelled through a stop sign at a rural crossroads north of Tisdale and into the path of the junior hockey team’s bus. Thirteen others on the bus were injured.

“A tragedy this size, it can’t just be one thing that went wrong,” his father, Scott Thomas, said Monday.

Thomas said the coroner’s findings provide him with a sense of justification for some of the things that he and other families have been hoping to change.

What hit home for Thomas are the recommendations directed to Transport Canada for mandatory seatbelts and improving national safety codes for driver training and electronic logging.

“To me this has to be a nationally regulated profession and these guys should be treated as professionals just like airplane pilots are.”

Thomas said he believes Jaskirat Singh Sidhu, the truck driver who is waiting to be sentenced for causing the crash, never should have been behind the wheel in the first place.

“He never should have been responsible for a vehicle of that size on that roadway, and somehow the system allowed for it.”

In December, the Saskatchewan government announced it will make training mandatory for semi-truck drivers starting in March. Drivers seeking a Class 1 commercial licence will have to undergo at least 121 1/2 hours of training.

Transport Canada announced in June that the department will require all newly built highway buses to have seatbelts by September 2020. Some charter bus companies say many new vehicles already have seatbelts, although there is no way to ensure passengers are wearing them.

Since the crash, Thomas and other Broncos families have been spreading the message to other sports teams to buckle up and some have taken up the challenge.

Another recommendation calls for the chief coroner to create a mass fatality plan and for the coroner’s office and health officials to review how they identify the dead and injured.

Days after the crash, the coroner’s office apologized for mixing up the body of a player in the morgue with an injured player in hospital.

Thomas said he would like to see the coroner’s report made binding. A coroner’s report into a crash at the same intersection that killed six people in 1997 recommended installing an additional warning device such as rumble strips. The government at the time declined.

“If the government would have acted after the ’97 coroner’s report, rumble strips would have been there. And I got to think that would have significantly changed the outcome of that day,” said Thomas.

The coroner’s report lists the deaths as accidental and says the chief coroner is not calling for an inquest.

Lawyers coaching B.C. doctors to avoid injury caps under new auto insurance rules

B.C. doctors are being coached by trial lawyers to avoid classifying motor-vehicle injuries as “minor” under new rules that, starting in April, will cap some claims.

“An early and optimistic prognosis will have a devastating impact on your patients’ legal rights if their recovery does not ultimately follow this course,” law firm Murphy Battista warned physicians in a Jan. 24 letter.

“An example of a way in which a patient’s rights can be protected is if the family physician explains they ‘don’t yet know’ whether an injury will cause that patient ‘serious impairment.’ ”

That letter and others like it have prompted the organization representing physicians to urge its members to guard against what it describes as a campaign of misinformation around the changes to insurance settlements introduced by the Insurance Corporation of British Columbia.

“Doctors of BC has been made aware there are letters, flyers and other types of communications being sent to physicians that may contain misleading and inaccurate information about new ICBC regulations for treatment of patients,” reads a Feb. 14 statement from the association to physicians.

Doctors of BC says the changes will not limit patient care or restrict physicians from making independent medical decisions. In fact, it says, patients will have access to more options for treatment.

“Under the new legislation, the overall allowance for medical care and recovery expenses will double to $300,000 to better support patients injured in a crash. ICBC will also pay more per treatment based on fair market rates and customers will no longer be out-of-pocket for most expenses.”

Last year, Attorney-General David Eby described ICBC as “a financial dumpster fire” and announced dramatic changes to rein in costs. The Crown corporation is on track to post losses of $1-billion for each of the past two years.

The provincial government passed legislation to curb skyrocketing payments for minor-injury claims by capping settlements for pain and suffering at $5,500 and limiting when accident victims can sue.

In the newsletter Bridge, which provides “legal perspectives of interest to the medical doctor,” physicians are advised to avoid using the grading system in the paperwork that ICBC will use to determine if an injury falls within the cap.

“Initially, the physician may have attached a Grade 2 [that would fall under the cap] to the patient. It may be difficult to re-classify. In light of this issue, it may be prudent for the physician to initially stroke through the Grades with the statement ‘Not possible to assign grade at this time.’”

The changes have put the government at odds with the Trial Lawyers Association of B.C. The group warns that injured individuals are paying the price for financial mismanagement at ICBC. The organization declined to respond to interview requests from The Globe and Mail.

Vancouver lawyer Joe Murphy, co-founder of the firm Murphy Battista, said it is perfectly reasonable for lawyers to point out to doctors the impact their assessments could have on their patients’ rights.

“Unfortunately, you’ll find out if you have an accident that you are not entitled to treatments unless the adjuster decides you are,” he said in an interview.

He said the Doctors of BC statement is itself rife with inaccuracies.

“It is ironic. I’ve read through this, and many of the statements are based on inaccurate or misleading information. I don’t think the person who wrote this read the legislation,” he said.

Mr. Eby said in an interview on Thursday that he has heard from doctors about the unsolicited legal advice they are getting. “I’m glad the Doctors of BC are prepared to step up and warn physicians to call out misinformation when they see it.”

The Doctors of BC was consulted on the improvements to benefits for lost pay and medical rehabilitation for all people injured in accidents − the first major improvements in auto-accident benefits in more than 25 years.

Andrew Yu was one of the physicians who collaborated on the ICBC changes on behalf of Doctors of BC. He said members should not be influenced by lawyers when it comes to assessing their patients. “Some of these letters and brochures seem to offer direction on what words to use or not to use. We support the autonomy of family physicians to use their clinical discretion,” he said.

Source: The Globe and Mail

Crawford Appoints Greg Smith as Chief Client Officer (Canada)

FOR IMMEDIATE RELEASE

Crawford Appoints Greg Smith as Chief Client Officer (Canada) TORONTO (February 21, 2019) Crawford & Company (Canada) Inc. announced today the appointment of Greg Smith to the position of chief client officer overseeing the sales, account management and marketing functions within the Canadian operations, effective immediately. This strategic decision reflects the organization’s commitment to bringing compelling value propositions to the marketplace while enhancing the voice of the customer across all global service lines. “As a progressive and innovative leader within Crawford for the past 23 years, Greg has had considerable experience in all facets of the organization, and is well-versed in emerging trends and InsurTech developments,” said Pat Van Bakel, president and chief executive officer, Crawford & Company (Canada) Inc.

“His knowledge of Crawford’s capabilities and the needs of our clients, in addition to the reputation that he holds within Crawford, position him well to support operations that deliver unique, fully-integrated service solutions to our clients.” As a veteran employee, Greg has consistently shown his commitment to supporting Crawford’s corporate mission of restoring and enhancing lives, businesses and communities. Within his new role, Greg will work with the organization’s sales, account management and marketing teams to grow market share by delivering industry leading claims outsourced solutions which address clients’ existing and emerging needs.

Greg’s tenure with Crawford includes leadership positions in marketing, project management, and claims operations before being appointed vice president, National Programs in 2017. He established the Key Account Management team in 2011 and was appointed senior vice president shortly thereafter. In 2016 he established a national shared services function which included information technology, human resources, procurement, quality & compliance. He holds a Masters of Business Administration (MBA) and Bachelor of Business Administration (BBA) degrees, is a Fellow Chartered Insurance Professional (FCIP) and has earned his Canadian Risk Management (CRM) designation. Greg is also an active member of the insurance industry through his activities with the Chartered Insurance Professionals’ (CIP) Society, as event chair for the CIP Symposium and member of the Ontario Council. He is also a member of the Ontario Risk and Insurance Management Society (ORIMS). “We are excited to see Greg continue his stellar career trajectory with Crawford and look forward to the future success we believe he will bring to the organization.” said Pat Van Bakel. For media inquiries, please contact: Amanda Bortolus Marketing Director, Crawford & Company (Canada) Inc. Email: Amanda.Bortolus@crawco.ca

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