Colleen M. Murphy, a partner who focuses her practice in Global Insurance Services and Management and Professional Liability, recently spoke with the Insurance Journal about the issues surrounding errors and omissions claims. These types of claims often run into a “failure to procure coverage” but as Colleen explained in the article, in today’s market that is not the only issue.
“An agent may be doing a good job in offering sufficient coverage,” Colleen said, “but if they are not documenting that the insured declined a specific amount of coverage then they are at risk.”
She also went on to discuss today’s sophisticated insurance market, and being prepared with checklists.
“Make sure that if you have a newer producer, that the producer is going out to that account with someone else who’s more seasoned and will not miss something,” she said.
Colleen’s most important bit of advice was in regard detecting bad clients and bad business practices, stating that “bad business leads to a disproportionate amount of E&O lawsuits and claims.”
“Bad Business,” Insurance Journal, July 4, 2022
Colleen M. Murphy is the leader of the firm’s insurance agents and brokers practice within its Management and Professional Liability practice group. Over the past 25 years, she has represented hundreds of agents and brokers in complex matters and brings a deep understanding of their business concerns, the regulatory climate surrounding the industry, their errors and omissions (E&O) risks, and the contractual agreements and relationships with their carriers and insureds. She has also performed loss-control audits, rewritten agency contracts, and gone to bat for agents and brokers’ insureds in contentious coverage disputes. Colleen’s clients rely on her to provide strategic counsel on risk management, E&O loss control, regulatory matters, and other big-picture issues affecting their businesses. As a nationally recognized authority on the defense of insurance agents and brokers in E&O lawsuits, Colleen has been called on to oversee their defense in numerous states, including New York, Pennsylvania, New Jersey, Connecticut, Illinois, Maine, South Carolina, and Tennessee. A significant part of her practice includes representing insurance agents and brokers, third-party administrators, and independent adjusters in insurance regulatory and licensing matters as well as consumer complaints in state insurance departments.