Frank N. Darras, America’s Top Insurance Lawyer to Elite College & Pro Athletes, Shares The Common Fatal Disability Insurance Purchase Mistakes
Published October 14, 2015
Morgan Breslin, the NFL star that never was, became sports news once again when he recently filed suit (case number: BC59270, filed in Los Angeles County Superior court) against USC for breach of contract and negligence. The lawsuit claims university officials guided him in purchasing a million-dollar loss of value insurance policy that did not pay out after he suffered a career-ending injury.
“The NCAA made a recent historic decision to allow its members to purchase career-ending disability insurance for its early-round, draft bound athletes and allowed college athletes to borrow against future earnings to pay for these plans,” says Frank N. Darras, founding partner of DarrasLaw. “The decision itself is a triumph, because it has the potential to benefit not only the athlete, but the college or university as well. But when ill-informed decisions are made without consulting a disability pro, the Morgan Breslin lawsuit saga becomes more than just a passing headline.”
Breslin previously filed suit against Lloyd’s of London for denial of his loss of value insurance claim (case number 2:15-cv-00326-R-AS, filed in United States District Court for the Central District of California). Lloyd’s allegedly denied his claim because the pertinent health information he submitted before the policy was issued was supposedly misleading or misrepresented. This ongoing and expanding lawsuit, coupled with new allegations against USC, demonstrates why colleges and universities must get real help when coordinating and assisting their elite draft-bound athletes with private loss of value, slot-drop insurance or career-ending coverage, along with evaluating policy applications and bulletproofing claim submissions.
The benefits of draft slot protection and career-ending disability insurance extend well beyond the obvious. These high-stake policies offer student-athletes the possibility of returning for another year of college eligibility without the worry of losing it all, if disaster strikes and a career-ending injury occurs or a lesser injury or sickness causes their draft slot position to plummet.
Option one: The player can purchase a career-ending disability policy through the NCAA Exceptional Student-Athlete Disability Insurance Program. In this scenario, player can get a NCAA-approved bank loan to pay the insurance premium, and the bank gets paid back with interest once the ranked player in the draft signs professionally.
Option two: The school could consider funding the premium of either a NCAA-sponsored career-ending coverage or a privately purchased policy by using funds from their Student Assistance Fund.
Option three: Elite college players can pay for their own private individual career-ending coverage or drop in projected slot protection from the private market.
However, the process gets tricky, and that’s how a Morgan Breslin misstep takes place. Colleges and universities need someone on their side who is familiar with what types of elite athletic protection insurance are available, what pitfalls to avoid in the selection, application and submission of a claim to ensure the athlete gets paid and the school doesn’t get sued.
With a proven track record of helping elite athletes receive their rightfully earned benefits, Darras has inside knowledge about the top five problems colleges, universities and their athletes run into when selecting the right disability insurance coverage. To learn more about these problems and how to avoid them, visit DarrasLaw’s blog.
The disability insurance landscape is hard for most people to navigate alone, but it becomes more difficult when elite athletes are involved. As America’s top long term disability insurance litigation firm, our attorneys are experienced in handling high-stake disability insurance matters for exceptional athletes, beginning with our free services:
Free consultations. We’ll help review insurance carrier proposals and policies prior to purchase and educate athletes or compliance departments on application tips and pitfalls.
Free claim help. Should a loss in slot or a permanent total/career-ending disability claim be necessary, we can assist in completing bulletproofed claim forms.
National litigation, if the carrier unreasonably delays or wrongfully denies the benefits.
DarrasLaw has recovered nearly $800 million in wrongfully denied insurance benefits for clients from all across America.