The Law Office of Samuel G. Livingston, P.C.
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What if my insurance difficulties stem from broker error?

If you are currently in financial difficulty due to what you feel to be negligence on the part of your insurance agent or broker, there are several things you need to know.

The first point to understand is whether your insurance was proffered by an agent or a broker. An insurance agent is literally a representative of a specific insurance carrier, and you cannot sue that individual because they fall within the purview of the larger company. In this case, any claim you make would be against the company, which is bound by the actions of their agent.

An insurance broker, on the other hand, may represent several carriers. It is generally agreed that they are acting on behalf of the insured, and may, in some cases, be found liable for professional negligence.

Proving duty for negligence cases in Colorado

In order to successfully sue for negligence, it must be established that the broker had a duty that they neglected to perform. In Colorado, an insurance broker has a legal duty to act with “reasonable care” but, absent a special relationship with the insured, does not have a duty to warn or advise their customer of specific policy provisions.

Possible errors and omissions claims due to negligence

  • Failure to submit an insurance application
  • Failure to obtain the right type of coverage
  • Failure to procure the appropriate level of coverage
  • Failure to renew an existing policy

Your case’s success will depend on your attorney’s ability to prove that the broker promised more than they delivered. Is an error and omissions lawsuit right for you, given these provisions?

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The Law Office of Samuel G. Livingston, P.C.
25188 Genesee Trail Road Suite 140
Golden, CO 80401

Phone: 720-443-5876
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