Review Your E&O Carrier’s Requirements for Carrier Writing Standards. There’s a myth going around that if an agency writes with a carrier rated B+ or better by A.M. Best, their E&O policy will cover them. Based on the E&O policies …
Proper Authorization. I recently saw a situation where, in a divorce, one spouse deleted the prized vehicle of the soon to be ex-spouse to spite that person. Not knowing of the divorce, the agency complied. Of course the vehicle was …
Binding Summaries. A significant risk unrecognized by most producers and CSRs is the risk of being sued by the agency’s own insurance companies. A large proportion of E&O suits that make it all the way to court are brought by …
Discussing Claims with Insureds. A common and often key personality trait of CSRs and producers is that they are people pleasers, especially relative to customers. When it comes to claims, being a people pleaser can get agencies into trouble. In …
Unexpected Staffing Issues do cause E&O claims. Staffing is not usually the title of a PowerPoint slide in an E&O class but staffing is at the heart of many E&O claims. The simplest way in which staffing causes E&O claims …
Staff Licensing. Staff licensing may seem like such an obvious topic that it does not deserve even to be discussed in a blog. However, many facets exist to staff licensing that can and do create E&O exposures, and even possibly …
Certificates of Insurance, Part 2.Last week’s blog covered the reason certificates cause so many E&O mistakes due to processing errors. This week’s blog covers the second reason certificates of insurance create so many E&O errors. That reason is agencies are …
Certificates of Insurance. Certificates are probably the most frustrating aspect of processing commercial insurance today. A blog is not the place to detail the entire universe of certificate E&O exposures and thankfully, Bill Wilson has written a great manual available …
Voice mail disclaimers. Most agencies today have standard voice mail disclaimers that state something to the effect of, “No coverage can be bound or obtained by leaving a voice mail.” I support this disclaimer. However, two E&O exposures are created …
Offer all clients higher liability limits. One of the most common E&O claim examples virtually ever producer and CSR knows is this: What happens if an insured has a large liability claim and they don’t have high enough limits, and …
