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


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