Illinois and a few other states rely solely on policy and lawsuit wording in duty-to-defend cases.

A cupcake shop owner sues his broker for failing to recommend coverage for all claims.

A cupcake shop owner sues his broker for failing to recommend coverage for all claims.

Insurance agents and brokers are in the business of transacting insurance with insurers on behalf of their clients. Unless they take on a fiduciary responsibility, they're only expected to obtain the insurance requested by the prospect. But after a loss, insureds who incur a loss greater than the limits purchased...

When a suit is filed against an insured, the wording of every liability insurance policy requires the insured to report that suit to the insurer in writing. Most insurers find a notice made orally to the company or the agent sufficient because the agent or broker will convert the oral...

New York and most states recognize policy reasons for the narrow view of an insurance broker's duty to its client. Brokers are not insurers and earn not premium income, but commissions for connecting insurers and insureds.

Insurance departments ascertain that insurance producers, agents and brokers are competent and of good moral character before issuing them licenses to provide insurance products.

When brokers and clients have a special relationship, N.Y. says the broker may be liable for failing to advise on additional coverage.