Commercial Lines

​As we head into a new year, there’s no better time to equip producers with foundational insurance industry knowledge and concepts.

Inadequate limits are an all-too-common claim in independent insurance agency E&O. And with inflation today outstripping even the inflation guards inserted on some policies, these claims are becoming more frequent.

Why would premium be charged on values that exceed the limit of coverage?

To accurately calculate a potential business income loss, the costs and added time are much different than they may have been just a few years ago.

Since the restoration contractor invoice is paid out of the building limit, how can an agent ensure the cost is covered? Should the price of the building be inflated?

Berkley Design Professional’s innovative approach to professional liability insurance addresses the current business litigation climate and provides a solution for both design firms and owners or developers.

An insured has a $5-million limit on their umbrella policy but wants to show only a $2-million limit on the certificate of insurance. Is it permissible for an agent to list lower limits on the COI than what the policy actually provides?

The new structure provides a dedicated limit for every project a firm works on after the retroactive date specified in the professional liability policy—even if the policy aggregate limit is exhausted after a claim.

An agent is issuing a new certificate of insurance with policy limits of $1 million/$2 million. The agent knows of a $500,000 claim. What policy limits should be shown on the COI?

Want to avoid getting a letter from your E&O carrier informing you of an uncovered, excess exposure? When selecting E&O coverage limits, ask—and honestly answer—these questions.