NU’s Next Question Of Ethics: An Agent’s Ethical Duty Re: Recommended Coverage

For Dr. Peter R. Kensicki’s next “Question of Ethics” column, he asks readers to comment on the following:

In most states an insurance agent has no legal duty to recommend coverage to an applicant for insurance unless the agent in some manner assumes that duty.

But what ethical responsibilities does an agent have with regard to recommending coverage and do those duties vary if the producer is a broker? 

Please forward your responses to Dr. Peter R. Kensicki at peter.kensicki@att.net or via mail to his attention at 105 Bittersweet Drive, Richmond, KY 40475.  All responses will be kept confidential.  Please include your role in the insurance business—agent, adjuster, risk manager.

Please respond by June 9. The responses will be summarized in the next “Question of Ethics” column in the June 27, 2011 edition of National Underwriter.