Notifying Umbrella Carriers of Potential Claims. Every reader likely knows the importance of notifying an excess/umbrella carrier of potential claims in a timely manner. When the excess/umbrella carrier is the same carrier providing underlying coverage, this is not an issue. …
Policy Change Requests Can Only Be Made if Requesting Party Has Authority/Insurable Interest. Many years ago when I first entered the industry, I remember an experienced underwriter telling the story of an angry ex-wife cancelling the insurance on her ex-husband’s …
The Value of a Name. Applications are called applications and quote sheets are called quote sheets for good reasons. A quote sheet is only supposed to be for quoting and even then, it is a conditional quote. It is conditional …
Loss Control Results Usually Require Disclosure. An agency that uses non-carrier loss control services, regardless of whether it is a third-party firm or an agency’s in-house loss control service, almost always has to disclose any recommendations to the carrier. In …
Producers Not Having Adequate Knowledge of their Clients’ Industry. An agency can have all the right procedures and even follow all the right procedures and still not mitigate one of their biggest E&O exposures: Producers writing accounts for which they …
An interesting case was recently decided by the Georgia Court of Appeals. In Garner and Glover Co. v. Barrett, 738 S.E.2d 721 (Ga. App. 2013), the issue was the duty of an insurance producer to notify an excess insurer when …
Accepting Payment After Hours. Many agencies continue to accept premium payments even when closed. Customers put their payments through mail slots, under the door, wedged between the door and the door frame, or by some other means. This is perceived …
Inflation Factors on Personal Lines Property. Some personal property forms lack automatic inflation adjustments that increase the structural limit annually. Usually these are dwelling forms, but not always. In any given year, the difference is usually so minor that the …
Privacy Compliance. It’s not serious until you get caught, right? The normal individual human reaction to complex laws and laws that defy relatively easy compliance is to acknowledge their existence, give them lip service, and generally ignore them. Complex laws …
Carrier Rating Notifications. What responsibility does an agency have to notify clients of carrier ratings? On new business, it is a good idea to list the carrier’s rating. However, if the carrier has an A.M. Best rating of less than …
