Professional Liability Blog
July 18, 2017
Insurer May Be Liable to Policyholder for Agent’s Failure to Explain Coinsurance Provision Reducing Coverage to Less Than Amount Requested
Insurance agents are wise to mention and explain policy provisions that may cause a reduction in coverage below what the customer wants to have. And in Florida and other states that attribute an insurance agent’s negligence to the insurance company (enabling a direct action against the company), insurers are wise to devise processes that ensure what is requested by the customer is reflected in the insurance policy.