agency errors and omissions News

How Policies Respond When Buying or Selling an Agency

It’s rare to read an industry magazine or attend an industry conference without the topic of mergers and acquisitions coming up. The issues addressed typically include the cost of acquisitions, tax implications, systems matters, when a consultant is needed and …

Burand’s Agency E&O Blog: Tip #59

Renewal Processing Time. Due to many reasons, including agencies cutting staff too much, I find many commercial CSRs are far behind in checking their policy renewals. Being behind creates significant E&O exposures such as missing errors and making mistakes trying …

Burand’s Agency E&O Blog: Tip #58

ACA Grandfathering Disclaimer. According to the Wall Street Journal (Nov. 6, 2013), the first E&O suits have been filed against an insurance company for allegedly misleading a consumer into changing their health insurance deductible and thereby obviating the grandfathering clause …

Burand’s Agency E&O Blog: Tip #57

Review Renewals. While my recommendation to review renewals might seem so simple that even mentioning it might seem like I’m scratching the bottom of the barrel, I am writing this recommendation because I am seeing too many agencies that are …

Burand’s Agency E&O Blog: Tip #56

Personal Lines Quote Sheets. In most agencies, CSRs base their personal lines quotes off the data gathered per their quote sheets. Two common problems exist using quote sheets. The first is many agencies’ quote sheets are inadequate. The questions are …

Burand’s Agency E&O Blog: Tip #55

Fees & Agency’s Standard of Care. An agency’s Standard of Care requirement has many moving parts and variables. Simple answers generally do not exist because the applicable standard is case and fact specific. However, a key to making the agency’s …

Burand’s Agency E&O Blog: Tip #54

Fees & Agency’s Standard of Care. An agency’s Standard of Care requirement has many moving parts and variables. Simple answers generally do not exist because the applicable standard is case and fact specific. However, a key to making the agency’s …

Burand’s Agency E&O Blog: Tip #53

    TPA Activities. Some agencies are unknowingly conducting TPA activities. Others are knowingly offering these services without knowing whether their E&O policy will provide coverage. Many insurance agency E&O policies specifically exclude coverage for TPA activities/services. TPA services can …

Burand’s Agency E&O Blog: Tip #52

Update Census Forms on AORs/BORs. When an agency takes over a group benefits account by AOR or BOR, it is likely picking up the prior agency’s/broker’s mistakes. Sometimes, for many different reasons ranging from innocent mistakes to cheating, an insured …

Burand’s Agency E&O Blog: Tip #51

State Guaranty Funds. Many agency owners, producers, and CSRs believe state guaranty funds provide blank insolvency protection for any client insured by an admitted carrier. This is not true. Many state’s guaranty funds are limited to insureds of a certain …