* * * * * September 1010 * * * * *
It is a common procedure to obtain a signed “Cancellation Request” or “Lost Policy Release” when the insured requests cancellation of a policy. For commercial policies, always make sure that the signature on the form is that of an authorized party for the first named insured. For personal lines, always require that both spouses sign the form if the insured is a married couple.

* * * * * August 2010 * * * * *
If you agency is still receiving fax transmissions the “old fashioned” way by paper fax, here is a tip which might be helpful for you. Always check the date in the header when you receive a new fax to make sure it is today’s date. The date in the header is generated by the sending machine, and could be manipulated by someone in a fraud situation. If it is not correct, stamp the page with your mail “RECEIVED” which includes the correct date.

* * * * * July 2010 * * * * *
Think of education as an opportunity to bring value to your agency. If you look for the simplest classes just to satisfy your CE requirements, you may not really learn anything new. Challenge yourself and others in your agency to seek out classes which will broaden and strengthen your product and industry knowledge.

* * * * * June 2010 * * * * *
Did you know “all risk” is a bad word? Avoid using the term in conversations, correspondence and proposals, since it might imply that all risks are covered. Instead, use the name of the coverage form, such as “special” or “HO 00 05” or use the terms “open perils” or “all risks of physical loss except as excluded”. This will more accurately describe the coverage which we have referred to as “all risk” in the past.

* * * * * May 2010 * * * * *

Could your web-site be creating an E&O exposure?  Be sure to include disclaimer language on any page in your web-site which explains programs or coverages.  The disclaimer should indicate that policies vary from company to company and that only the policy can determine if a loss is covered.

* * * * * April 2010 * * * * *
Consider including a sign-off page in your commercial proposals which would allow the customer to acknowledge coverages which were offered and refused. This creates strong documentation in the event a loss occurs which would have been otherwise covered by one of these coverages.

* * * * * March 2010 * * * * *
When creating customer proposals, consider adding the date in the footer on each page. This will prevent the possibility of one page being used out of context at a later date.

* * * *February 2010 * * * * *
Many agencies have written procedures, but these do not always address the requirement of documentation. Review your procedures and update them to address when and how to document. Documentation is recommended for any conversation or action which takes place regarding the insured’s coverage. Good documentation helps to prevent E&O claims.

* * * * * January 2010 * * * * *
Always name both spouses as named insureds in the declarations page for personal auto, homeowners and other personal lines policies. This should be done regardless of who the property is titled to or who holds the mortgage or lien. Doing this will provide equal protection for both spouses and reduce your E&O exposure

* * * * * December 2009 * * * * *
Adopt the use of a coverage checklist for reviewing exposures and coverages with your commercial insureds. This not only helps you to remember to ask about certain exposures, but will also provide good documentation as to what was discussed with your customer. Many E&O claims could have been avoided had a checklist been used.

* * * * * November 2009 * * * * *
Are there some employees in your office who are not regular users of your agency management system and therefore struggle to document in the system? Consider requiring these individuals to use e-mail as a method of documentation. A short e-mail to the CSR or Account manager could then be attached to the customer file in your agency management system. This not only creates good documentation, but helps keep the service person “in the loop” as well.