You Didn't Tell Me!
If your agent leaves out the good parts, get your day in court.
You thought you had coverage, but you didn't. Or maybe your
agent didn't tell you about a particular type of coverage or
advised you incorrectly, and you suffer a loss. Do you have
recourse against your insurance agent? Possibly.
Increasingly, insurance agents are facing errors and omissions
claims for failing to advise clients properly. "When someone
is told there is no coverage, they need to investigate further and
find out why," says Brian Gilchrist, an attorney with Allen, Dyer, Doppelt,
Milbrath & Gilchrist, P.A. in Orlando who works a lot with
insurance law.
According to Gilchrist, some common mistakes for which agents
are being sued include failing to procure adequate coverage;
procuring coverage with unacceptable exclusions or conditions;
selling policies from financially troubled carriers; renewing
policies on different terms without notice to the insured; failing
to offer additional or optional coverages; and failing to insure
all necessary people, entities and property.
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Gilchrist says agents should take the time to understand your
business and your needs. "The agent's duty is to act as
more than a retailer of whatever policies are behind his
desk," Gilchrist notes. If you suspect your agent of
professional negligence, contact an attorney experienced in
insurance law.
Jacquelyn Lynn is a freelance business writer in Orlando,
Florida.