Insurance Agent Negligence: The Duty Agents Owe to Their Customers

Web Admin - Tuesday, March 04, 2014

illinois insurance agent negligence lawyerInsurance agents often act as a person’s main point of contact throughout the process of procuring an insurance policy. This means people are relying on insurance agents to do their job thoroughly, carefully, and professionally. To that end, the law imposes a duty of reasonable care on insurance agents to ensure that they perform their jobs accurately. 

The fact that agents have this duty means that if the agent harms a customer through their negligence, they may be liable to that customer in court for the damage that their insurance negligence caused. Generally speaking, these sorts of claims for negligent errors and omissions come in two forms: improperly filing or filling out insurance paperwork, and failure to properly counsel the client on the type of insurance they need.

Types of Insurance Agent Negligence

Insurance agent negligence often occurs in an agent’s clerical capacity. An agent must exercise reasonable care in the filling out of insurance paperwork to make sure that the insurance company provides coverage and that the policies are properly updated. An example of this sort of negligence in the realm of car insurance would occur if a person wanted to add someone to their insurance policy, and yet after informing the agent, the agent never properly filed the paperwork to add them to the policy. If the new person, who should be covered under the insurance, was in a car accident, the agent would be liable for the person’s lack of coverage.

Insurance agents also have a duty to exercise ordinary care when advising clients about the types of policy they need, along with possible limits and exemptions of the policy. This claim comes up often in the case of policy exclusions, which are special circumstances in the insurance policy for which the company refuses to pay. These exemptions can often be long and complex, which means that the insurance agent may be liable for negligently advising the customer if they do not make the exclusions clear. 

For an example of this, consider a person buying homeowner’s insurance who explicitly wants coverage for every item in their home in the case of a fire. If an agent provides them a policy that excludes jewelry or some other class of property, the insured might have a claim against the agent for negligent errors and omissions.

The Statute of Limitations

Statutes of limitations are time limits that the law places on people looking to file lawsuits. In the case of insurance agent negligence, Illinois law limits people to two years to file the suit once the person has a cause of action. However, that time limit can be deceptively complicated since it does not say when a person has a cause of action. Generally, courts start the clock running once the insurer first takes a position that runs against the insured’s expectations. That can mean in some cases the insured needs to act quickly, since it is possible that their underlying insurance case will not even be finished before the statute of limitations related to the agent expires.

If you believe you have been the victim of insurance agent negligence, find an Illinois insurance attorney near you. They can help protect your rights in court and ensure that you recover fair compensation for the harm done by negligent insurance agents. Our firm represents people across the northwest suburban area, in towns like Rolling Meadows, Buffalo Grove and Barrington.

About the Author: Attorney Ken Apicella is a founding partner of DGAA focusing in the areas of personal injury, employment, insurance coverage disputes, and civil litigation. Ken earned his J.D. from DePaul University College of Law in 1999. He has been named a SuperLawyers Rising Star and a Forty Illinois Attorneys Under Forty to Watch. Ken has written and lectured for the Illinois Institute for Continuing Legal Education and regularly serves as a moderator at Northwest Suburban Bar Association's Continuing Legal Education seminars.

Recent Posts


capital gains tax Crystal Lake employment law attorney bicycle dooring accidents whistleblower protections employment lawyer agent Arlington Heights medical malpractice lawyer ken apicella Illinois boating accident lawyer Barrington boating accident attorney personal injury lawyer Home Sale Contingencies Schaumburg insurance lawyers estate planning trusts Inverness insurance attorney Barrington civil litigation attorney uninsured motorist Rolling Meadows corporate lawyer forming a corporation in Illinois Crystal Lake will lawyer Chicago insurance claim attorneys medical malpractice Illinois rollover accident lawyers fiduciary rule delay digital information Liquor Control Act Arlington Heights insurance attorney Illinois DUI attorney Inverness civil lawyer defective products Deer Park traffic accident attorney slip and fall estate planning attorney license reinstatement personal injury Colin H. Gilbert Crystal Lake law firm landlord tenant law Des Plaines DUI attorney Barrington Illinois estate planning lawyer taxes Inverness real estate attorney Chicago employment lawyer texting and driving Crystal Lake insurance lawyer Illinois trucking safety Rolling Meadows tax attorney minimum wage Des Plaines insurance attorney Des Plaines pet law attorney car accident job lawyers medical marijuana motorcycle accident lawyer involuntary manslaughter Crystal Lake traffic lawyer Mt Prospect Attorney traffic laws swimming pools Illinois insurance attorney problem employees new real estate form Illinois traffic laws Arlington Heights real estate lawyer personal injury claims Rolling Meadows employment attorney personal injury law firm medical malpractice compensation car collision Jay Andrew insurance claim dispute attorney Class A misdemeanor Inverness elder law lawyer coronavirus Illinois mortgages spinal cord injury real estate attorney Illinois small business Long Grove wills and trusts attorneys Barrington injury attorney pizza emoji installment contracts pedestrian accidents Long Grove estate planning attorneys Illinois insurance disputes employee discrimination first degree murder living wills caregiver DUI penalities real estate Illinois insurance dispute lawyers Rolling Meadows traffic attorney insurance disputes Des Plaines motorcycle accident attorney traumatic brain injuries Illinois elder law attorney condo Arlington Heights personal injury lawyer Crystal Lake civil litigation lawyer Illinois injury lawyer Illinois defective products attorney Schaumburg civil litigation attorney creditors Schaumburg corporate attorney Illinois red light cameras denial of life insurance deed transfer Illinois employment law attorney Arlington Heights employment law attorneys investment property rest breaks distracted driving accidents estate planning, death tax, succession plans, business estate plans, Barrington estate planning lawyers Barrington medical malpractice lawyers compensatory time changes to mortgage law Employment Discrimination Law Schaumburg Crystal Lake employment lawyer Illinois speeding lawyer Thanksgiving icy parking lots Arlington Heights estate planning attorney commercial leases Long Grove real estate lawyer Fair Labor Standards Act Schaumburg personal injury attorney Crystal Lake medical malpractice lawyer comp time preventable medical errors Long Grove estate planning texting while driving Buffalo Grove employment lawyer Rolling Meadows boating crash lawyer Illinois insurance claims lawyers insurance adjusters Deer Park medical malpractice attorney unpaid assessment criminal defense Rolling Meadows personal injury lawyer workers compensation Des Plaines drug lawyer jet ski personal injury, auto accident injuries, delayed injuries, serious injuries, Des Plaines personal injury attorneys Legal Info denied insurance claims rumble strips Palatine civil litigation lawyer probate claims car accident lawyer murder defense employee rights Chicago employment attorney civil rights violation Schaumburg estate planning attorney Rolling Meadows traffic law firm BAIID Rolling Meadows personal injury attorney Inverness personal injury attorney Crystal Lake car accident lawyer Illinois personal injury lawyer Palatine punch death Barrington real estate lawyer criminal Des Plaines personal injury attorney Illinois employment laws Rolling Meadows criminal attorney insurance denials Illinois home inspection Chicago car accident lawyer Mount Prospect elder law attorney medical research Long Grove estate planning attorney federal crimes operating agreements Illinois bicycle safety Chicago corporate attorney Arlington Heights wills and trusts attorney corporate law Long Grove real estate attorney Illinois traffic attorneys Inverness real estate lawyer subcontractor insurance dispute attorney denied insurance claim Illinois medical malpractice lawyers Des Plaines collections attorney estate tax traffic tickets DMV construction accidents, personal injury, wrongful death, Arlington Heights personal injury attorneys, workers' compensation traffic violations defense Crystal Lake medical malpractice law firm Rolling Meadows accident lawyer marijuana crimes attorney Buffalo Grove law firm residential real estate license suspension Rolling Meadows Attorney Des Plaines real estate lawyer Rolling Meadows Traffic Lawyer defective products lawyer Illinois collections attorney Chicago lawyer Exclusions Illinois law Buffalo Grove probate lawyer Schaumburg estate attorney Chicago trucking accident attorney insurance claim denial dynasty trusts social media after death Chicago biking tips Arlington Heights injury attorney child safety Palatine insurance lawyer Food and Drug Administration's Food Safety Modernization Act POA Arlington Heights personal injury attorney Illinois insurance claim dispute lawyers Affordable Care Act privacy laws right to work DGAA Des Plaines accident attorney probate auto accidents personal injury claim Chicago traffic lawyer appealing an insurance claim healthcare claims DUI attorney Illinois lawyer homestead rights motorcycle accident IRA benefits wage theft Arlington Heights accident attorney civil litigation Joliet general practice lawyers Schaumburg employment law attorneys Des Plaines criminal attorney Illinois registered agent Mount Prospect wills and trusts lawyers living trust vs will pedestrian injuries, pedestrian fatality boating accidents Deer Park criminal attorney DUI defense Des Plaines tax law firm internet construction contracts Illinois medical malpractice claim Barrington criminal defense lawyer estate planning hit and run accident life insurance claims Crystal Lake employment attorney Rolling Meadows insurance lawyer digital evidence employment attorney CAM Crystal Lake criminal defense attorney Illinois traffic accident lawyer Illinois medical malpractice case real estate leasing Barrington drug crime attorney Rolling Meadows insurance dispute lawyers, insurance dispute TBI dog bites Chicago estate planning lawyer Crystal Lake pedestrian accident lawyer gift tax exemption, estate planning, estate planning strategies, Illinois estate planning, South Barrington estate planning attorneys Palatine elder law attorney probate fees food poisoning Schaumburg probate attorney Palatine corporate law attorneys Chicago will attorney, social media platforms, Illinois estate planning lawyer, traffic accidents Palatine employment lawyer drug crimes Arlington Heights car accident lawyer murder charges speeding trucking accidents Arlington Heights wills and trusts lawyers drugs power of attorney for healthcare Deer Park workers compensation lawyer Self-Directed IRA Accounts Palatine employment attorney Schaumburg traffic lawyer insurance dispute IRELA Rolling Meadows criminal lawyer Inverness corporate attorney employment contract Illinois personal injury Illinois pet lawyer South Barrington real estate lawyer Illinois personal injury lawyers traffic deaths Arlington Heights traffic attorney modern family estate planning healthcare Schaumburg personal injury lawyers insurance claims sole proprietorship pregnant women controlled substance underfunded trust financial advisors llinois Real Estate Lawyers Association mortgage insurance disputes, Illinois insurance disputes, Illinois insurance dispute attorneys, denied insurance claims, Arlington Heights insurance dispute attorneys crossover accidents Arlington Heights lawyer golf accidents Palatine personal injury lawyer estate planning, digital assets, Revised Uniform Fiduciary Access to Digital Assets Act, Illinois digital assets, Illinois estate planning, privacy Illinois Schaumburg criminal attorney real estate contract fiduciary rule Buffalo Grove medical malpractice lawyers Palatine corporate attorney pedestrian accident digital assets, digital fiduciary, estate planning, digital content, Long Grove estate planning lawyers Illinois criminal defense attorney Detainer Actions Barrington employment law firm Arlington Heights Traffic Lawyer Rolling Meadows marijuana attorney Kenilworth estate planning attorneys medical malpractice claims Barrington estate planning lawyer Illinois attorney PTSD Illinois Wage Payment and Collection Act employment law, meal breaks, rest breaks, hotel employees, Des Plaines employment law attorneys Federal Food Drug and Cosmetic Act Barrington employment attorney wrongful death pain and suffering reckless homicide Fourth of July Kenilworth estate planning attorney DUI Chicago attorney bike accident Inverness injury lawyer Des Plaines Schaumburg criminal law attorney South Barrington real estate attorney elder law Rolling Meadows drug defense attorney Barrington workers compensation attorney drug crimes lawyer license special needs trust Illinois wrongful termination lawyer life insurance Rolling Meadows probate lawyer landlord meal breaks car crash Illinois Workers’ Compensation Commission real estate attorneys Super Mario car accidents Schaumburg car accident attorney insurance denial appeals drug crime Palatine employment law lawyer Barrington personal injury lawyer Illinois employment lawyer Illinois employment law living trust real estate lawyer insurance claim Illinois living will Illinois estate planning attorney wills and trusts murder business litigation dealing with problem employees Barrington litigation attorney Inverness accident lawyer vacation home fines Rolling Meadows employment law attorney independent contractor disability benefits underinsured motorist ACA Illinois motorcycle accident lawyer Barrington employment law attorney Des Plaines injury law firm drunk driving statistics foreclosed rental property Illinois car accident attorney spinal cord injuries Deer Park employment law attorney Retaliatory Discharge wrongful termination medication errors home inspection lawyer car crashes clemency LLCs Illinois civil litigation lawyer Illinois will lawyer Arlington Heights criminal lawyer life insurance lawyer Rolling Meadows estate planning attorney Illinois wills and trusts attorneys products liability nursing home negligence Mount Prospect real estate lawyer breach of contract Barrington estate planning attorney Chicago will attorney Schaumburg injury lawyer Palatine business attorney Illinois business lawyer Arlington Heights pedestrian accidents Family Medical Leave Act Arlington Heights wills and trusts attorneys Deer Park DUI lawyer revenge porn Illinois medical malpractice attorney power of attorney employment contract, employment law, employment at-will, Deer Park employment law attorneys, contract, civil litigation attorney Illinois jet ski accident lawyer Crystal Lake medical malpractice attorneys fault based insurance Deer Park traffic lawyer Illinois construction accident attorney Schaumburg wrongful death attorney breathalyzer test dram shop law Arlington Heights trucking lawyer liability Rolling Meadows Buffalo Grove criminal defense lawyer construction accidents Rolling Meadows real estate attorney cell phone tower data Buffalo Grove real estate attorney Barrington attorney Rolling Meadows car accident lawyers Crystal Lake bike accident lawyer low-ball insurance settlement Buffalo Grove insurance claim dispute lawyers guardianship attorney liability claims senior citizens distracted driving accident victims unauthorized overtime Illinois insurance lawyer Crystal Lake traffic attorney Rolling Meadows insurance dispute lawyers blood alcohol content Palatine traffic lawyer Schaumburg employment attorney Riverwoods estate planning lawyer Inverness traffic law firm Des Plaines personal injury lawyers cell phone accidents Arlington Heights employment attorney Arlington Heights Attorney pedestrian-automobile accident Illinois workplace discrimination attorney Crystal Lake pet attorney income distribution deducation Buffalo Grove car accident lawyer Schaumburg construction accident lawyer gift taxes Illinois corporate lawyer mass shooting consent to a search overtime pay insurance negligence rent to own real estate contracts unpaid overtime GM ignition switches expungement Palatine law firm Deer Park accident attorney workplace sexual harassment college kids field sobriety test car accident lawyers Whistleblower Claims estate attorney Illinois trusts attorney Inverness estate planning lawyer Des Plaines Traffic Lawyer brain injury institutional trustee probate lawyer Illinois job attorney elder abuse Crystal Lake accident attorney Palatine estate planning lawyer preventing accidents digital assets Barrington criminal lawyer Illinois employment law attorneys blended families Crystal Lake estate planning lawyer Illinois workers compensation attorney boating under the influence living trust benefits Palatine criminal defense lawyer Kenilworth estate planning lawyer Palatine trusts lawyer Schaumburg elder law lawyer insurance claim delay pet law Arlington Heights wills and trusts lawyer Inverness DUI lawyer owner responsibility employment law Illinois estate planning Colin Gilbert traffic offenses rollover accidents automated cars Palatine drug lawyer Rolling Meadows personal injury lawyers Buffalo Grove traffic lawyers slip and fall accidents Palatine traffic accidents Des Plaines medical malpractice attorney Crystal Lake injury attorney ObamaCare Barrington Traffic Lawyer Crystal Lake business law attorneys trustee trauma after an accident Crystal Lake personal injury attorney trench injuries IRS Landlord Tenant Ordinance condo association Crystal Lake tax lawyer employees Illinois real estate head on collisions severance agreements workers comp Inverness probate lawyer drunk driving Des Plaines personal injury lawyer Buffalo Grove corporate attorney marijuana rollover car crashes startup company car crash injuries Rolling Meadows insurance attorney trucking accident lawyers Deer Park real estate law firm no contest clauses irrevocable trust traffic crimes hiring employees Illinois LLC creation underage DUI Illinois Smoke Detector Act trusts wrongful termination, employment law, whistleblower protections, Illinois employment laws, discrimination in the workplace Illinois insurance claim dispute lawyer cell phone wills Rolling Meadows business lawyer Schaumburg drug defense lawyer Schaumburg personal injury lawyer estate planning lawyer FSLA license revocation real estate zoning employee misclassification work unions bicycle accidents probate claims process Rolling Meadows DUI lawyer deadly crashes Illinois Trust Code Attorney Ken Apicella loss of consortium Crystal Lake car accident attorney Chicago estate planning Arlington Heights TBI attorney Illinois employee rights attorney. Deer Park personal injury lawyer Illinois Sales Representative Act Illinois employment attorneys commercial leasing manufacturing Arlington Heights car crash attorneys filing a medical malpractice claim Schaumburg real estate lawyer paid sick leave Arlington Heights tax lawyer Illinois insurance claim attorney Palatine Attorney insurance agents Crystal lake insurance dispute attorney commercial real estate insurance agent negligence Crystal Lake personal injury lawyer digital media accounts, estate planning, Arlington Heights estate planning attorney, Barrington business law firm hands free device anesthesia errors Des Plaines claims law firm Palatine construction attorney Des Plaines civil attorney overtime violations Illinois wills and trusts Illinois workers compensation lawyer unfunded trust Illinois pedestrian accident attorney Illinois probate lawyer boating DUI eluding a police officer sexual images insurance claim denials advance healthcare directive surgical mistakes medical malpractice, missed diagnosis, delayed diagnosis, medical mistake, Deer Creek medical malpractice lawyers Home Remodeling Repair Act Illinois driving without license Des Plaines drug crimes lawyer pay when paid contract attorney fees personal injury accidents product liability probate process tax attorney natural gas explosion sexual harassment foreclosure Illinois business law atorneys estate planning for college students estate plan criminal law insurance claim dispute traffic violations pet bites Schaumburg medical malpractice lawyer IRA trust transfer insurance attorney Rolling Meadows employment law attorneys Rolling Meadows litigation lawyer Illinois estate planning law firm Palatine workers compensation lawyer BUI Barrington personal injury attorney Illinois Transfer on Death Instrument Chicago insurance law firm truck collisions holiday statistics Illinois Probate Act of 1975 personal injury attorney Illinois tax attorney loopholes Illinois Human Rights Act criminal record DNR Illinois real estate lawyer Buffalo Grove personal injury attorney in terrorem provision comparative negligence liens Buffalo Grove injury lawyer federal regulations for LLCs natural gas caretaker rights vacation home Illinois traffic ticket lawyer Illinois traffic attorney fatal car accidents Palatine probate lawyer Palatine civil attorney workers compensation benefits BAC accidental death benefits Palatine real estate lawyer traumatic brain injury Forcible Entry health insurance dispute driving small business Des Plaines real estate attorney Palatine injury attorney Schaumburg estate planning lawyer drug possession Do Not Resuscitate Illinois workplace lawyer life insurance policy Schaumburg Attorney bad faith insurance claims FMLA back injuries Buffalo Grove traffic attorney premises liability contracts Illinois employment law firm Transfer on Death Instrument Illinois personal injury attorney jet ski accidents employment law, Illinois employment laws insurance dispute, insurance dispute lawyers, insurance claim denial, insurance claim delays, Rolling Meadows insurance dispute attorneys Rolling Meadows medical malpractice lawyers suspended license School Visitation Rights Act trust payments Buffalo Grove personal injury lawyer Deer Park motorcycle accident lawyer Policy Cancellation real estate closing