Why Signing Insurance Applications Can Be Hazardous to Your Wealth

At the signature line, many liability insurance applications ask you if any person who will be insured under this policy knows if anything has happened that might, at some future time, result in a claim covered by this insurance. 

Many of today’s liability insurance policies cover not only you as an insured, but also all employees, sometimes even past employees, temps, volunteers and others. You honestly answer “no”.

Signing a Massachusetts Insurance Application.  Can An Insurance Advisor help Later on you find out you are being sued by a member of the public who fell down in your establishment, had been helped by an employee who didn’t bother to report it because it didn’t look like a serious event. The fact that an employee, who might also be an insured knew about it and said nothing, your insurance may have been voided. If you read the question carefully, the only answer you can give when signing the application is “I don’t know”, because you can’t know everything.  Most people just sign the application.

This is what we call “gotcha” language, and we have a way to fix it. It’s what we do!

  This article has been brought to you courtesy of Thomas Goode, President of Insurance Solutions Group, Inc., of Marblehead MA.  Thomas is an insurance consultant for property & casualty insurance, insurance bid specs, insurance program audits and insurance training. 

 

Contact a licensed advisor

 

  Elliot Whittier Insurance Services, LLC is a local Trusted Choice® agency that represents multiple insurance companies, so it offers you a variety of personal and business coverage choices and can customize an insurance plan to meet your specialized needs. You can visit Elliot Whittier online at www.ElliotWhittier.com, email info@elliotwhittier.com, or call 888-641-5024 and ask for Chris Millerick.

 

 

What to do Next?

Have us review your insurance policies and check that your limits are sufficient. Ask what the cost is to bump it up under higher limit scenarios.

Call today 617-846-5000 or click here 24/7/365 and we will get back to you same day or the next business day