E&O For California Insurance Agents
Omissions can occur anytime while you work as an insurance agent. It may come up as a breach of a sales agreement. When an omission happens, litigation may be submitted against you. When you are properly protected by errors and omissions coverage for property and casualty insurance agents, you’re shielded from funding the full expense of the defense for any lawsuit that is filed against you arising from any negligence committed or allegedly occurred. Statistics prove 1 out of every 7 brokers will report an E and O claim in their career. Insurance agents are 4th among professions in number of legal proceedings being filed against them. Only physicians, attorneys and accountants have more (Tillinghast Survey). Insurance agencies render vital services to individuals, families, and businesses by assisting them to find and contract adequate insurance coverage. Most insurance brokers, though, do not contemplate the risk involved with retail insurance sales. Recommendations that you provide for insurance, either to purchase or decline, may come back as a legal claim where a customer decides that you were wrong in your guidance. Customers facing a financial loss regarding insurance coverage, or inadequate coverage, may lodge a claim naming you, endangering your career, livelyhood and property. Precautions you need to take concerning your profession. Your career as an insurance agent has a lot to do with the care you provide your clients. In the course of performing your duties as an agent, you may make or allegations leveled of an error or mistake. Your clients could decide to recover damages legally. If your agency is not adequately covered by errors and omissions insurance policy, you may end up funding the full expense of thelitigation process. However, you can help yourself with errors and Omissions insurance for insurance agents. This is a business liability insurance device tailor made to protect insurance agents from whatever errors, mistakes or omission that may be alleged or committed while discharging their duties.