“Agents and brokers who place relatively straightforward risks with admitted carriers traditionally have not had to concern themselves with the problem of carrier insolvency,” writes Matthew S. Marrone, a partner in Goldberg Segalla’s Professional Liability Practice Group. “If admitted carriers become insolvent, guaranty funds typically cover losses. But hard-to-place risks, which require the broker to access the surplus lines market, can present a virtual minefield.”

In this article from his “Avoiding E&O” series in Property Casualty 360, Matt explores this complex issue and provides best practices for brokers to help prevent or defend errors and omissions claims.

Read the article here:

• Matthew S. Marrone, “Avoiding E&O: When an Insurer Goes Broke, Can Policyholders Blame the Broker?” Property Casualty 360, March 4, 2015