Webinar: E&O Resources for Handling Coronavirus Questions

IIANC hosted a webinar featuring the following panel of industry experts to discuss how best to handle questions in your agency about Coronavirus in order to reduce potential E&O claims. 

  • Richard F. Lund, JD -  Vice President, Senior Underwriter, Swiss Re Corporate Solutions
  • Michael Medford – Attorney, Manning, Fulton & Skinner, PA
  • Stuart Powell, CPCU, CIC, CLU, ARM, ChFC, AAI, ARe, CRIS - IIANC Technical Consultant
  • Rebecca Shigley, CIC, TRA, FLMI, AIE, AIRC, ACS - IIANC Chief Operating Officer

Watch Now

What You Do and Don't Do When a COVID-19 E&O Suit Arrives

This article, from the Big "I" Professional Liability committee, outlines the timely actions and reactions agents should have when threatened or served with an E&O suit arising out of this pandemic. You may read the article here .

If Carriers Ask Your Agency to Deny Claims...

Chris Boggs, CPCU, ARM, ALCM, LPCS, AAI, APA, CWCA, CRIS, AINS, Executive Director of Risk Management & Education at Big I provides information and recommendations for agents that might be asked by carriers to deny Coronavirus claims.     

March 23:  Why Agents Should Not Deny Claims on the Insurance Carrier’s Behalf
March 25:How Agents Should Respond if Insurance Carrier Continues to Push for the Agent to Deny Claims

E&O Risk Management and the Coronavirus (COVID-19)

By Swiss RE Corporate Solutions

You are all very aware of the events of the last several weeks and the Coronavirus. We are not health experts and there are many others more qualified to give you that advice. We CAN, however, give advice regarding how to reduce the likelihood of an errors and omissions exposure as a result of this event. We have already become aware of some attorneys who are trying to take advantage of this situation for monetary gain against insurance agents. Our advice during this event is no different from what we have said in the past.  If your agency has developed good practices, you will be better positioned to avoid problems. 

Here are the practices of a good insurance agency:

  • DON’T MAKE CLAIMS DECISIONS! Let the insurance carriers do that.

  • DON’T ADVISE YOUR CUSTOMERS IF CORONAVIRUS related claims are COVERED OR NOT! Let the insurance carriers do that. Please see sample letter for your use.

  • If a carrier takes the position that losses arising from the Coronavirus are not, or may not be covered, do not engage in advocacy asserting that "We thought it was covered..." That will simply be used by your client to prove that you knew the client wanted coverage for perils like the Coronavirus, but you failed to procure coverage.

  • Report all claims and potential claims to EACH AND EVERY CARRIER that could potentially have a policy that could apply. This includes CGL, Personal lines, Umbrella, Excess, Workers Compensation, Specialty and any other policy in place for your customers.

  • USE THE RESOURCES PROVIDED TO YOU BY THE BIG I. Follow this link to the Coronavirus webpage. It is a valuable resource for you, your staff and your agency that provides many sources of information.

  • Be empathetic, but don’t tell anyone that something is covered or not. You can continue to tell them you feel sympathy for all affected by the Coronavirus, but customers MUST report a claim to their insurance carrier to determine if there is any coverage for the event.

  • Remember, if you executed an agency agreement with one or more insurance companies, you MUST report all claims or potential claims as required by that agreement, even if your customer tells you not to do so.

  • Maintain vigilant contact with your insurance carriers to determine what action THEY want you to take.


  • Assume that any telephone conversation with your customers or carrier claims representatives ARE BEING RECORDED. While some states prohibit recording of telephone conversations without advising that they are doing so, IT DOESN’T STOP SOME PEOPLE FROM DOING SO.

  • If you use social media for your business, make sure it is up to date! Do not make any promises that something may or may not be covered by insurance companies and policies.

  • DO NOT GIVE ANY STATEMENTS, RECORDED OR OTHERWISE, WITHOUT FIRST CONTACTING YOUR E&O PROVIDER. The Swiss Re Corporate Solutions/Westport Insurance Company/First Specialty Insurance Company claims staff are available if you have any questions about any communications you receive.

  • If you have a conversation with your customer that leads you to believe they may be fishing to make a claim against you, DO NOT HESITATE to contact our claims department. Please use this Westport claims form to report a claim or potential claim to Swiss Re. If any other carrier, please review your policy form for claim reporting instructions or contact us directly should you need additional direction.

  • DON’T MAKE CLAIMS DECISIONS! DON’T ADVISE YOUR CUSTOMERS IF SOMETHING IS COVERED OR NOT! Let the insurance carriers do that. We know this was stated before, but it must be ingrained in your mind.

  • If the Coronavirus ends up being declared a "catastrophe" by the ISO Property Claims Service, you may be eligible under your Westport policy for "Cat Extra Expense" benefits:

    "CATASTROPHE EXTRA EXPENSE. We will pay up to $25,000 per catastrophe subject to a per POLICY PERIOD aggregate limit of $50,000 for the actual extra expenses incurred by you as a result of a catastrophe during the POLICY PERIOD beginning on the date of a catastrophe and for thirty (30) days thereafter. The extra expense incurred must be incurred by you only to assist in the insurance claims processing needs of your customer(s) who have been affected by the catastrophe. The catastrophe must be a declared catastrophe by the Property Claims Services. A $500 deductible for each catastrophe shall apply. Limits provided by this paragraph are part of and not in addition to the limits provided by this POLICY."

We hope that this will help you as this event progresses. If you should have any questions, please let us know.

Contact the IIANC Professional Liability team with questions: Denise Miller - dmiller@iianc.com or Gina Stallings - gstallings@iianc.com.

This article is intended to be used for general informational purposes only and is not to be relied upon or used for any particular purpose. Swiss Re shall not be held responsible in any way for, and specifically disclaims any liability arising out of or in any way connected to, reliance on or use of any of the information contained or referenced in this article. The information contained or referenced in this article is not intended to constitute and should not be considered legal, accounting or professional advice, nor shall it serve as a substitute for the recipient obtaining such advice. The views expressed in this article do not necessarily represent the views of the Swiss Re Group ("Swiss Re") and/or its subsidiaries and/or management and/or shareholders. 

Copyright 2020 Swiss Re