Author: Troy H. Lehman
Insurance brokers provide valuable services. The role of a broker is to assist us determine our insurance needs and provide us with advice on appropriate insurance coverage and the cost of that coverage.
Insurance brokers have a legal duty to serve their clients in a conscientious and diligent manner. Where an insurance broker breaches that duty by providing negligent advice or by negligently failing to advise a client of appropriate insurance coverage, the broker is liable to his or her client who suffers damages as a result.
Our insurance system is complicated. If you are involved in a motor vehicle accident causing serious injuries or someone is hurt on your property it is crucial that you have the appropriate insurance in place. If the appropriate coverage is not in place you may be exposed to financial ruin. If the negligence of a broker puts a person in that position, the broker is liable to compensate his or client for the damages suffered.