Reducing E&O Risks for Insurance Agents
Your insurance agent clients are experts in their fields and seek to provide the most quality and comprehensive coverage to their customers. However, are they are protected as those they serve? Therefore, ensure your insurance experts are protected with the right Insurance Agent Professional Liability Program to secure their operations and mitigate risk and financial burden. In addition, share the following information with them.
The vast majority of claims come from allegations of misrepresentation. Insureon states that these claims account for approximately 24 percent of the claim scenarios, which can cost your clients and their firms hundreds of thousands in damages and legal fees. For example, if your client fails to recommend the proper coverages or limits and their customers suffer a loss because of this, your client is likely going to face a legal battle.
Not all claims can be predicted, but most can be prevented. Ensure your clients are selling insurance “by the book” and they are transparent in their communication with their customers. There should be no grey area or misinformation given regarding premium prices, coverage limits, deductibles, or details of the policy. This best practice will help to build rapport and a positive reputation with their clients and also steer insurance agents away from potential lawsuits.
About PL Risk
In addition to bringing you the latest news from the insurance industry, PL Risk provides Resources for Agents and Brokers nationwide. We’ve recently implemented Hiscox Now, which allows agents their own access to Hiscox and instant quoting. To learn more about our operations, contact us today at (855) 403-5982.