Has E and O Ever Helped You when You Needed It?

Markingriffin · 10-27-2009, 10:23 AM

Has E and O ever help you when you needed it? Sooner or later some of us will need E and O. I'm just wondering if any of you have ever needed it and what it did to either help you, or if they did nothing to help you

I've heard a lot of stories lately where the agent needed the E and O to save them and it didnt do anything to help them.

Do you have any stories to share with us?

Bob_The_Insurance_Guy · 10-27-2009, 10:46 AM

Been in business for 12 years. No E&O Claims to date. Every time I sign up for renewal, I forward it to my attorney, who explains it to me.

I sleep at night.

CHUMPS FROM OXFORD · 10-27-2009, 11:11 AM

One very FRIVOLOUS claim. About 15-20 years ago....a client bought a life insurance policy from me. Not a big face amount. Premium was perhaps $75 per month or so.

She wrote "INSURANCE" in the notes area on the check.

Many months later, she claimed that she had NO IDEA it was life insurance and claimed it was presented as something else. Evidently, some work associates of hers really did get duped by other agents and she wanted to cash in on the situation.

Anyhow...policy was rescinded and she got her money back. And I know that she knew what she was buying.

Maybe this wasn't E&O but after typing all of this, I'm not going to delete it!

healthagent · 10-27-2009, 11:15 AM

This would be one reason I record, with consent, all presentations.

CHUMPS FROM OXFORD · 10-27-2009, 11:48 AM

I should have done that. I did have some notes in the file, but that was it.

Nazz Utopia · 10-27-2009, 02:21 PM

Healthagent, You record every presentation? Where or how do you store those? Just curious - Todd

healthagent · 10-27-2009, 02:32 PM

I use the Ring Central soft phone, then just press "record." You could also use Google Voice.

arnguy · 10-27-2009, 03:32 PM

I know of a case where the agent wished he had E&O coverage. The agent sold a life policy to a woman who it turned out was already in the throes of cancer. Apparently she lied on the application taken by the agent. About a month later she died from the advanced cancer. The insurance company denied payment and the husband alleged that his late wife had answered all the questions truthfully. Furthermore, he alleged that the agent falsified the answers in order to consummate a sale. The agent happened to be an aquaintence of mine for whom I would attest to his honesty. The insurer finally did pay the claim, but then proceeded to sue the agent. At that time he had already incurred well over $5,000 in legal fees (that was a goodly sum in those days) for his defense. I left that agency before the matter was finally settled, but I am sure that he had to pay much more in addition to what he had already had paid. All of this was out of pocket expenses for him.

healthagent · 10-27-2009, 03:37 PM

It's real folks. An agent friend of mine just lost a lawsuit with Suntrust - judgment for $40K.

A few of his annuity clients claimed he misrepresented the products. Suntrust immediately caved - refunded everything and here's the priceless part, WITHOUT even notifying him or getting his side of the story.

Then they went after him. He fought a 2 year court battle and lost.

Record your presentations!

WinoBlues · 10-27-2009, 11:38 PM

OK, I know Holloween is this weekend, but you guys are scaring the pee pee out of me.

Freddie · 10-29-2009, 07:25 PM

Originally Posted by healthagent

I use the Ring Central soft phone, then just press "record." You could also use Google Voice.

Do you ask questions like " you understand this ....insurance..." or something?

Another option is one of those Pulse pens where you can take notes and it records the audio. You can then save the notes to a file with the audio.

YouGotMyMoney · 10-29-2009, 08:11 PM

Google Voice ONLY records incoming calls, and you MUST press 4 to record.

Yoda · 10-29-2009, 08:29 PM

SOMEONE SAID- "It's real folks. An agent friend of mine just lost a lawsuit with Suntrust - judgment for $40K.

A few of his annuity clients claimed he misrepresented the products. Suntrust immediately caved - refunded everything and here's the priceless part, WITHOUT even notifying him or getting his side of the story.

Then they went after him. He fought a 2 year court battle and lost.

Record your presentations!"
=============================================

Me thinks "if a few" of his clients were pissed off then more then likely he was guilty of something and obviously a judge agreed with me! Fly straight people and you wont have to worry about recording your calls and the cms secret shoppers and using your E&O insurance. I have never had anyone threaten to take me to court ever. Do I know people who have had to use there E&O insurance? You better believe it. And were all those people that had to use their E&O insurance comeplete a-holes? You better believe it!

My bitch about E&O is that it would not cost near as much as it does if we did not have so many slime bag and stupid insurance agents creating claims.