Claims Examples
Insurance Services Liability
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A bank purchases an insurance agency to sell auto and homeowners insurance to its customers. In transitioning to a new computer system, the agency fails to act upon a renewal date and a customer’s homeowners insurance lapses. When the customer experiences a loss and is unable to collect, he sues the bank and the agency for negligence. |
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A small business owner purchases a policy from the bank’s insurance agency, but does not buy business interruption coverage. After his plant has a fire, he sues the agency, alleging that the agent never explained the need for such coverage. |