We find that often there is a misconception that listing someone as a driver on an auto policy automatically makes them an insured or that someone is not an insured because they are not listed as a driver. The reality is that the policy language is what governs and listing as a driver is more…
A homeowners insured has his auto coverage with a captive agent. His resident daughter has her coverage with a direct sales insurer. He backs into her car and his auto insurer denies the claim because their policy doesn’t cover damage to a resident family member’s car. If he was insured on an ISO PAP, would…
Your insured’s daughter had a car at college jointly titled to her and mom. Daughter has graduated and moved to another state with the auto which remains insured on mom’s PAP and PUP. In addition, daughter’s boyfriend who hasn’t yet found a job has moved in with her and sometimes drives the car. How do…
The divorce of insureds can often create problems for CSRs handling the transition of their personal lines account. However, even when a divorce is amicable, agents may be expected to provide legal advice in addition to insurance advice. This article discusses that caveat and identifies insurance issues that need to be considered, including handling joint…
On June 26, 2015 in Obergefell v. Hodges, the U.S. Supreme Court in a 5-4 decision ruled in favor of same-sex marriage. So what does this mean for you and your customers? Specifically, what are the P&C coverage implications? This article primarily examines some personal lines issues and the companion article does the same for…
Divorced parents have joint custody of their teenage son. Dad buys a car for the kid and insures it on his own policy. The agency insures mom and dad on separate PAPs with the same carrier and the CSR making the change is concerned about the rating on mom’s policy. The reality is that the…
Have you ever had an attorney or other “expert” advise one of your customers with a teen driver to place that teen on his or her own policy (usually at minimum limits)? If so, are you prepared to explain to the child’s parents why THEY might have no coverage on THEIR policy if sued?
In another article, we discuss the potential coverage gaps if a resident child buys a car and it is insured under a separate policy, as opposed to the parent’s policy. Recently this issue came up again in one of our “Ask an Expert” questions. In this follow-up, we’d like to stress again how important it…
The 18 year old resident son of our insureds enlisted in the Army, went to boot camp for 14 weeks, and took 3 days leave. While riding in a pickup bed that overturned due to the driver’s negligence, he was killed. A UIM claim has been filed, but the adjuster says he is no longer…
Your insured was told by his attorney to title and insure a car in his 16-year-old son’s name to minimize the family’s liability exposure. According to the attorney, if his son kills somebody, they can’t touch the parents’ assets. (Editor Question: Why can’t we practice law without a license, but an attorney can provide risk…
