From the 2015 PLUS Conference session “PLI for Agents and Brokers: Increasingly Risky?,” Peter Biging (Goldberg Segalla LLP) and Lisa Doherty (Business Risk Partners) discuss the evolving claims environment, including the rise of third party claims. For much more on the E&O insurance market join PLUS and hundreds of your industry colleagues for the 2016 Professional Risk Symposium, April 20 and 21 in Chicago. PLUS members can view this entire Conference session in the PLUS Multimedia Library.
Marc Zimet of Jampol Zimet and panelist for the 2015 PLUS Conference session "PLI for Agents & Brokers: Increasingly Risky?" joined us in the Media Zone to discuss the standard of care and how agents and brokers can protect themselves.
From the PLUS Journal article “The Insurance Broker’s Duties and Potential Liabilities in the Insurance Coverage Dispute” (December 2011) by Michael J. Cawley. Broker as Agent of the Insured The broker is most commonly the "agent" of the insured, in the principal/agent sense, and it is within this relationship that most claims arise against the broker. A broker can be sued under several theories, including breach of contract, fraud or misrepresentation; but the two most common assertions are common law negligence and breach of fiduciary duty. Negligence. Most courts start "from the basis that insurance agents have a duty to exercise [...]