Posted On: January 29, 2007, 10:04 am CST

Posted By: Irene Ochoa CIC, API, AIS CISR

I agree. However, I've always considered State Farm agents more like State Farm employees. Like any other "captive agent", they only represent one company and that is where they derive all their income.

Will a "captive agent" bite the only hand that feeds them in order to protect their insureds? Have they ever?

I'm interested to know if their employment contracts allow them to express an opinion that differs from the company line?

I've had success helping my clients collect for denied claims, by re-submitting the claim under another policy,(if they have one) HO3, HO4, HO5 or HO6 in another state (any state) that doesn't exclude wind. The policies usually have a "limitation" for contents located at another residence. We've used the limitation to make at least a partial recovery.

Unfortunately, companies are changing their policy wording to close up this policy limitation that allowed for recovery.

My best advice is to read the contracts carefully. Even policies sold by other agents or companies may afford coverage. Don't accept what any adjuster or underwriter tells you unless you've done you homework and read that contract. Pretend the loss is your personal loss and be a detective looking for coverage.

Don't forget to look into the state insurance laws. I've had companies rely on their contacts to deny claims until I pointed out state laws that required them to honor the claim.

Catastrophe adjusters work in many states and can't possibly know all the rules. Educate them. ie, ACV roof settlements are not allowed in all states.

To quote a mentor of mine, Sajjad Hashmi, Ph.D., "The insurance industry is the glue that keeps the modern society together. Without this product, none of us would sleep peacefully."

Many educated, responsible and client focused independant agents do their best every day. And when we do, our clients can sleep peacefully, in that knowledge.