Loss Control topics tend to advise on what an agent should be doing in order to avoid a claim. This blog focuses on five definite ways an agent can increase the potential for an errors & omissions claim being made against them.
1. Only advise your clients (and potential clients) what is covered under their policy—they don’t need to know what their policy excludes. Research has shown that clients and potential clients are more interested in what is not covered by their policy than what is. A good practice is to provide specimen policies and riders with proposals. This will help clients and potential clients have a better understanding of their policy benefits. This will also allow the client (or potential client) to identify any concerns. By furnishing this information, clients and potential clients may ask you to sell them additional protection.