Agents frequently insure entities on whose boards they serve. There are inherent conflicts and dangers in this business-building approach. Exercise Caution!
Continue reading about Caution! — Agents on Boards – 2/4/10 Knowledge Knugget
Many agents serve on boards of directors, frequently non-profit, sometimes for-profit, and end up writing the entity’s insurance. From a D&O perspective, this creates an inherent conflict of interest, and from an Agents E&O perspective, often creates an uncovered cause of loss, should a claim arise.
I think most agents who write insurance under these circumstances [...]
Inability to trigger an extended reporting period can rob a retired professional of peace of mind.
Some insureds like to handle their own claims — until they blow up. If the carrier is aware of this self-management and agrees to it, no problem. If not, the insured is risking an uncovered loss.
Continue reading about The Perils of Self-Management of Claims
