Executive Risk Expands Professional Liability Insurance for Insurance Agents and Brokers

Executive Risk has expanded its professional liability policy for insurance agents and brokers. The policy, named BrokerNet, now includes coverages formerly available only by endorsement, as well as a unique risk management feature.

``Insurance agents and brokers are prime targets for claims by dissatisfied customers,'' says Sean Fitzpatrick, vice president of underwriting, Executive Risk, and head of the company's Professional Services Division. ``A much more insurance-savvy consumer has come to expect the highest levels of service from insurance salespeople, who operate in an increasingly regulated and competitive environment. That adds up to a dramatic increase in the exposures faced by insurance sales professionals.

The company says BrokerNet can cover retail property and casualty agents (including personal lines agents and auto specialists); life, accident, and health insurance agents; third-party administrators (TPAs); and specialized insurance agents, such as general agents, managing general agents (MGAs), wholesalers, reinsurance intermediaries, and specialty retailers. ``Agents and brokers who do not fit in the 'box' of association-driven national programs are given special attention by our underwriters to meet their unique exposures and needs,'' says Linda Blechman, product manager, Executive Risk.

BrokerNet's coverages can include errors and omissions (E&O), directors and officers (D&O), employment practices liability (EPL), fiduciary liability, FLEX (floating excess insurance), and crime. Among the coverage, Blechman says, are a broad definition of professional services; automatic coverage for subsidiaries and independent contractors; an option for employment practices liability insurance (EPLI); first-dollar defense; deductible waiver option; coverage for punitive damages where insurable by law; and multi-year policy options.

Other BrokerNet policy features include defense coverage outside the limits, an optional three-year reporting period, no insurer insolvency exclusion, and partial severability.

Blechman adds that all BrokerNet insureds have access to a toll-free risk management telephone ``info line'' that offers advice on developing liability situations. Qualifying insureds also receive a comprehensive manual that explains liability exposures and recommends loss control measures.