How Do You Avoid E&O Claim?

[AverageJoe]

I've read many post on here on the importance of documentation when dealing with anyone over the issue of insurance especially clients to avoid confusion, come time for a claim, but my question to you is how do you document all your conversations. is there a software you use? are they're recordings for phones? if so, what program do you use?

Basically, if you could describe your process of documentation and the tools needed to ensure there is no misunderstanding with your clients, carriers, wholesalers, etc. how would you? and what do you use to help you?

Thanks in advance, as this is not an immediate issue, but something that I need to look into going independent and definitely a topic and much needed information for insurance agents/agencies all over the nation.

 

[Crabcake Johnny]

Go here: http://www.calsurance.com/agentnavigator/ then at the top left click "newsletter" then "general purpose" then "10 ways to avoid E&O claims." Go into the life and P&C for specific info on those lines.

 

[Bertolinoins]

You should document the conversation in your agency management system and then send a confirmation email with read receipt requested to the insured detailing the conversation. It is a pain in the butt at first but it becomes second nature and avoids a lot of headaches when you can go back and show them exactly what happened and keeps you out of the doghouse in terms of E&O claims and AP audits. One of my larger clients dropped their sales estimates two years ago and ended up with a $41K AP when they did triple of what they projected. The owner was pissed off until I showed him documentation of our conversation with him asking us to drop projected sales from $10M to $2.5M due to the loss of some contracts that he ended up keeping. He admitted fault, paid the AP and has stuck with me... but I am not sure he would of if we were relying on our memory and I could not show him that he requested it.

 

[Guest]

What ^^^^^^^^^ said, smart man, listen to him

 

[Norwayguy]

Since dropping my B/D I've taken to sending a follow up letter following a client meeting. The letter hits the high points of our discussions some of the info provided recommendations made as well as items still to be completed and a copy goes into the clients file.

 

[Mark]

I once posted the thing I get all my clients to sign, but was laugh at, but it has saved me a ton of times.

It is like a disclaimer that states that I told them how important it is to tell the truth on the application.

 

[AverageJoe]

Go here: http://www.calsurance.com/agentnavigator/ then at the top left click "newsletter" then "general purpose" then "10 ways to avoid E&O claims." Go into the life and P&C for specific info on those lines.

great link. The 10 ways were very nice to read. I am wondering more along the lines of what software to get or does your agency management system have all these tools for you to utilize? and if so, what ams do you use? or should I use? a great poster and great guy on here, told me about AMS360. Which he uses and loves. He calls it the Ferrari of ams out there, but also let me in on the cost. if an agency management system has the things you need to document and perform these valuable steps which ams is the best? and which ams would you recommend?
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You should document the conversation in your agency management system and then send a confirmation email with read receipt requested to the insured detailing the conversation. It is a pain in the butt at first but it becomes second nature and avoids a lot of headaches when you can go back and show them exactly what happened and keeps you out of the doghouse in terms of E&O claims and AP audits. One of my larger clients dropped their sales estimates two years ago and ended up with a $41K AP when they did triple of what they projected. The owner was pissed off until I showed him documentation of our conversation with him asking us to drop projected sales from $10M to $2.5M due to the loss of some contracts that he ended up keeping. He admitted fault, paid the AP and has stuck with me... but I am not sure he would of if we were relying on our memory and I could not show him that he requested it.

Thanks for the advice, i know when RBA says something nice, it definitely has value. So my question to you is, what amsystem do you use? what all does that amsystem do? do you record conversations that you have on your phone? if so, what is a program that i could look into so that i have that ability?

like i always say, i know this isnt mandatory and just voluntary information that you will be providing so any if at all information would be greatly appreciated!

 

[Guest]

I use quomation as my management system, it allows you to do all kinds of things, drag abd drop email into the clients file, send an email, heck, you can even text the client, and the management system will track it.
You spole to the client on the phone about something, you make a note in the clients file, of when and what you talked about.

I say this with a lose tongue, but if there is a problem with a client and you say, according to my notes, we talked on this day at this time about this subject, the client will shut the heck up USUALLY......its your saving grace.

 

[Bertolinoins]

great link. The 10 ways were very nice to read. I am wondering more along the lines of what software to get or does your agency management system have all these tools for you to utilize? and if so, what ams do you use? or should I use? a great poster and great guy on here, told me about AMS360. Which he uses and loves. He calls it the Ferrari of ams out there, but also let me in on the cost. if an agency management system has the things you need to document and perform these valuable steps which ams is the best? and which ams would you recommend?
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Thanks for the advice, i know when RBA says something nice, it definitely has value. So my question to you is, what amsystem do you use? what all does that amsystem do? do you record conversations that you have on your phone? if so, what is a program that i could look into so that i have that ability?

like i always say, i know this isnt mandatory and just voluntary information that you will be providing so any if at all information would be greatly appreciated!

I use QQ Evolution as my agency management system but I believe all of them have a conversation log. I don't record calls, I just send the confirmation email with the read receipt. If I see that they have opened it and not responded I will send a follow up email asking if anything was unclear. As I said, it was a pain at first but it just becomes second nature and it nips anything in the bud when a client has trouble remembering.

 

[AverageJoe]

I use quomation as my management system, it allows you to do all kinds of things, drag abd drop email into the clients file, send an email, heck, you can even text the client, and the management system will track it.
You spole to the client on the phone about something, you make a note in the clients file, of when and what you talked about.

I say this with a lose tongue, but if there is a problem with a client and you say, according to my notes, we talked on this day at this time about this subject, the client will shut the heck up USUALLY......its your saving grace.

yeah, i totally agree especially i feel confidence will play a big part knowing that yourself, the agent, documented every step and have the proof to be able to back track and show your client exactly what did happen.