Insurance agents dedicate their lives to helping clients protect their financial assets and reputations. Unfortunately, they sometimes neglect to offer themselves the same level of self-care when it comes to professional liability. Here are two of the most common claims made against insurance agents and how to avoid them.
Coverage Was Insufficient
Some clients blame their insurance agents when they suffer a financial loss that their policies do not cover. The most obvious way to avoid this type of lawsuit is to be completely sure that the policies you advise for your clients are the most appropriate to their situations. Another way is to be choosy about the clients with whom you agree to work.
Policy Changed Unexpectedly
Even small changes in providers or policies can severely impact clients’ finances, causing them to retaliate against you with a lawsuit. To protect yourself from this possibility, you must stay abreast of news potentially impacting your clients and inform them in writing of all changes, no matter how minor.
Insurance agents know they are as prone to mistakes as any other professional and that the best form of protection from client claims is a solid errors and omissions policy. Be sure that you are practicing what you preach by carrying sufficient insurance coverage.