Call Us (800) 460-6424 ☰ ˟
Logo
(800) 460-6424
  • Home
  • Get A Quote
    • Agents E&O Quick Application
    • Commercial Crime Application
    • Commercial Crime Quick Application
    • Cyber Liability Application
    • Data Breach Insurance Quote
    • Director's & Officer's Application
    • Director's & Officer's Quick Application
    • Employment Practices Liability Application
    • MGA/Wholesaler Application
    • Real Estate Professional Liability
  • Policy Review
  • Insurance for Your Agency
    • Errors & Omissions
    • Data Breach
    • D & O Insurance
    • Cyber Liability Insurance
    • Commercial Crime
    • Employee Dishonesty
    • Professional Liability Insurance
    • Punitive Damages
    • Real Estate Professional Liability
  • Resources
    • Articles
    • Refer a Friend
    • Insurance Glossary
    • Contact Us
    • Financial Ratings
  • About Us
    • About U.S. E & O Brokers
    • View our Blog
    • Our Locations
    • Employee Directory
    • Customer Testimonials
    • Privacy Policy
  • Blogs
real estate button
cyber liability button
master policy programs button
Home > Blog > Establishing Codes of Conduct for Agents
TUESDAY, DECEMBER 5, 2017

Establishing Codes of Conduct for Agents

image of business man assessing riskLike all businesses, insurance agencies require attention to detail and professionalism. Should agents fail in their duties, they may cause significant harm to their clients.

By default, the responsibility for the agent’s actions often falls to the agency. Therefore, the agency should do everything possible to limit agent mistakes. Furthermore, the agency should carry appropriate errors & omissions (E&O) coverage for when mistakes happen.

The Benefits of E&O Coverage for an Agency

Insurance agencies help customers find, enroll in and maintain policies. They have an obligation to achieve the correct results for their business.

Should an agent fail to act professionally, this could harm the client. For example, the agent might incorrectly fill out an auto insurance claim. Or, perhaps the agent doesn’t submit the claim to the insurer in a timely manner. These scenarios might lead to a claim denial for clients who might have otherwise had coverage. The improper handling of claims, and subsequent denials, might financially harm clients.

As a result of the agent's misconduct, the agency might be liable for the damage to the client. The agency might therefore have to compensate the client. In such cases, E&O insurance might come in handy. This insurance can protect the agency if professional negligence occurs. It might cover legal costs or other forms of compensation to a client.

Codes of Conduct Can Help

The more responsibility an agent takes, the lesser chance they might make mistakes. Agencies should implements codes of conduct to help agents remain transparent:

  • Follow hiring and retention practices. Evaluate agents periodically to ensure that their skills, knowledge and commitment represents the agency’s best interests.
  • Require employees to create comprehensive binders of individual client profiles. Agents should use these binders to track the policies policy of individual clients.
  • Restrict or control the potential for employee distraction. For example, some agencies go so far as to ban cell phone use by agents handling claims.
  • Create a company handbook outlining best practices. If employees understand the rules, they likely can better avoid problems.
  • Independent agencies should know the reporting practices of each insurer they work with. Agents might have to follow different rules with different claims.

With attention to professionalism, you can reduce the threat of mistakes in your agency. However, you should always have E&O coverage for cases of unfortunate mistakes. A strong policy can often help agencies better reduce their own personnel risks. Call and talk to our team of professional at 800-460-6424 and put over 25 years of experience to work for you.

You might also like to read:

After the Storm: Insurance Agents E&O Lessons Learned

How E&O Insurance May Help New Employees

Posted 3:18 PM

Tags: errors and omissions, code of conduct tips, e and o insurance
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2025
  • 2024
  • 2023
  • 2022
  • 2021
  • 2020
  • 2019
  • 2018
  • 2017
  • 2016
  • 2015
  • 2014

  • cyber liability insurance(31)
  • errors and omissions insurance(16)
  • e&o insurance(15)
  • e and o insurance(14)
  • business insurance(10)
  • directors and officers insurance(9)
  • d and o insurance(8)
  • eando insurance(7)
  • errors and omissions(7)
  • commercial crime insurance(4)
  • insurance(4)
  • directors & officers insurance(4)
  • coverage(4)
  • cyber insurance(3)
  • insurance agencies(3)
  • data breach(3)
  • professional liability insurance(3)
  • directors and officer's insurance(2)
  • claims(2)
  • e&o(2)
  • officers(2)
  • small business owners(2)
  • small business insurance(2)
  • cyber liability(2)
  • omissions(2)
  • directors(2)
  • e & o(2)
  • tips to avoid scams(2)
  • errors and omissions (e&o) insurance(2)
  • errors(2)
  • policy(2)
  • covid-19(1)
  • ransomware(1)
  • phishing scams(1)
  • renewal(1)
  • billing errors insurance(1)
  • dando insurance for insurance agencies(1)
  • crime coverage(1)
  • e and o(1)
  • cyber attacks(1)
  • eando insurance for insurance agencies(1)
  • storm surges(1)
  • finance(1)
  • cyber damage(1)
  • directors and officers insurance for the insurance industry(1)
  • social media(1)
  • white collar crime(1)
  • fraud week(1)
  • insurance fraud(1)
  • d&o insurance(1)

View Mobile Version

Featured Products

Featured Product Real Estate Featured Product Lawyers Featured Product Cyber Liability Featured Product Commercial Crime
Carrier
Carrier
Carrier
Carrier
Carrier
Carrier
Carrier
Logo
Social
Quick Links Home About Us Refer A Friend Contact Us
Location Corporate Headquarters
9811 Katy Freeway, Suite 625, Houston Texas 77024
Contact  O - 800-460-6424  O -  713-984-1370 F -713-984-1152
© Copyright. All rights reserved. Powered by Insurance Website Builder