Trust Account Issues
We’ve recently received several questions about trust accounts. How does an agency with an internal premium finance program know if it is in or out of trust? Can a trust…
Virtual University
Does an NSF Check Constitute Nonpayment?
An insured makes a payment by personal check on a policy that is scheduled to cancel for nonpayment. The check is received before the cancellation date and the company issues…
Canceling Current Policies for Failure to Pay Premiums on Past Policies
An insured received her commercial property renewal and paid it in full. She then received a cancellation notice. According to the insurer, they failed to bill the insured three years…
FREE Disaster Plan for YOUR Agency!
Our Tennessee association has produced an outstanding new disaster plan that includes information on earthquakes, inland storm systems and flooding, fire conflagrations, transportation and industrial accidents, terrorism, and other types…
Disaster Planning & Recovery for Insurance Agencies
Here are the components of a Disaster Recovery Program (DRP) that was unfortunately missing in New Orleans and was woefully inadequate in the State of Louisiana. As critical as the…
Lack of Documentation on L&H Sales
Some independent contractors sell L&H insurance and split commissions with a bank-owned agency. The agency does not get a copy of any of the documentation, from application to policy. Servicing…
“Courtesy” Calls on Cancellations of Direct-Billed Policies
After years of preaching to agencies that they should not call customers whose direct bill policies are in a “pending cancellation” state due to non-payment of premium, at least one…
Can Agencies Cancel Agency-Billed Policies?
Can an agency that fronts money for an insured cancel the policy when the insured refuses to pay? If you think the answer is “yes,” then you’ll definitely want to…
