Insurance Agent Negligence – What Is It And How Do I Recover?
Your insurance agent is somebody you rely upon because of their expertise in an industry that is complicated and confusing to many of us. An insurance agent may manage your coverage paperwork to make sure certain properties are covered for their correct value, and are properly represented within your insurance coverage. Insurance agents are also mandated to determine which policies meet a client’s need for coverage, based on their requests and the information provided.
Insurance agents may also help you file claims and meet notice requirements that comply with the insurer’s policies and Florida law. Overall, they are there to navigate the murky waters of insurance policy language and guide you toward optimal coverage.
Problems arise when an insurance agent makes errors or omissions that can dramatically affect your coverage and rights to recovery.
This can occur in any number of ways, for example:
- Your insurance agent failed to renew your coverage, or if the coverage could not be renewed, they failed to notify you or find a replacement policy
- Your insurance agent misrepresented what kind of insurance coverage you needed
- Your insurance agent misrepresented the type of insurance on offer
- Your insurance agent failed to pass on notification of your claim
- Your insurance agent failed to provide the insurance you requested and inform you of the fact
- Your insurance agent misrepresented the type of coverage you were receiving when signing you up
- Your insurance agent retained your premiums or transferred them elsewhere instead of paying the insurer, thus jeopardizing your coverage
Ultimately, an agent’s failure to obtain the insurance requested or needed can result in a financial calamity for the insured, who was unaware of the gaps in coverage or mishandled processing of a claim.
Damages to Be Recovered in Cases of Insurance Agent Negligence
To succeed on a claim of negligence, an insured must show that the Florida insurance agent had a duty of care to perform certain acts and that they breached that duty. For example, an agent has a duty within the scope of their job to seek and obtain coverage for a client that adequately covers the value of their property. Failure to carry out even that basic duty can result in a breach and subsequent claim of negligence.
The types of damages frequently encountered in cases of insurance agent errors or omissions include:
- Inadequate insurance coverage. For example, if a client wants to insure a commercial building for $2 million, the agent should not insure the building for $1 million. If it can be proven that the agent was aware of the value, risk, or condition of the insured property, they can be held liable for providing inadequate coverage.
- Not obtaining the type of insurance coverage that was requested. For instance, if a client seeks full coverage for a commercial boat, but the agent does not include passenger liability, this can put the client in a poor financial position if any incident should occur involving passengers.
- Not suggesting appropriate types of insurance coverage that the client clearly needed. If an agent does not offer flood insurance when it is clear the client’s home was located on a floodplain, that could be another example of negligence by the insurance agent.
Contact Our Daytona Beach Property Damage Claims Attorneys
If you find out your insurance coverage does not match the insurance policy you thought you agreed to, you should speak to a lawyer right away. Pursuing a claim against an insurance agent can protect you against costs you should not have to pay while also holding the individual and their agency accountable for their negligence. Let the Daytona Beach insurance agent negligence attorneys at Bundza & Rodriguez, P.A. help you. Call or contact our Daytona Beach property damage attorneys online today and request a consultation to protect your rights in filing a claim.