Overview — Actuaries Errors & Omissions (E&O) Program
Preferred Concepts LLC offers agents access to a specialized actuary professional liability (Errors & Omissions) program through Mercator Risk Services. This program targets actuarial consultants, in-house actuaries and other insurance-related actuarial professionals who need professional liability coverage. The market for actuarial E&O is selective; Mercator works with multiple carriers and underwriting teams to place accounts that many standard markets will not accept.
Who this program is built for
Mercator Risk Services has experience placing proposals for a range of consulting accounts, including but not limited to:
- Pension actuary
- Actuarial consultant with concentration in medical malpractice
- Actuary employed by an insurance brokerage operation for rate development
Coverage focus and advantages
- Targeted E&O wording tailored to actuarial exposures, including professional advice, data analysis and rate development.
- Access to multiple admitted and surplus lines carriers to increase placement options for difficult or niche risks.
- Underwriters experienced with actuarial practices and the professional services exposures that accompany consulting, brokerage and in-house actuarial work.
- Ability to consider accounts with prior claims, financial impairment, or unusual risk characteristics that standard markets often decline.
Ideal accounts and appetite
This program is a fit for insurance agents and brokers placing:
- Independent actuarial consultants and small consulting firms
- In-house actuaries working for brokers or carriers where the exposure involves rate development, reserving or consulting advice
- Actuarial specialists who support medical malpractice programs or other healthcare exposures
Generally, Mercator will consider both routine and hard-to-place actuarial accounts. Accounts with significant claims history, insolvency concerns, or high-severity exposures should be presented with full details; Mercator evaluates these on a case-by-case basis and has solutions for distressed or distressed-appearing accounts.
Underwriting notes
Mercator can usually start a submission using your existing application (except renewals), or they can provide a specialized application for actuarial accounts. Important submission items typically include a description of services, firm size and staffing, prior acts and claims history, sample engagement letters, and financial information when relevant. Minimum premiums and specific terms vary by carrier and risk profile.
Hard to Place: Mercator routinely handles hard to place, distressed and unusual accounts. If your client has claims, adverse financial information, or an unusual scope of services, include full details up front so they can provide appropriate options.
Territories and availability
This program is available in the following states: AL, AK, AZ, AR, CA, CO, CT, DE, FL, GA, HI, ID, IL, IN, IA, KS, KY, LA, ME, MD, MA, MI, MN, MS, MO, MT, NE, NV, NH, NJ, NM, NY, NC, ND, OH, OK, OR, PA, RI, SC, SD, TN, TX, UT, VT, VA, WA, DC, WV, WI, WY. Availability and admitted/non-admitted options may vary by state and carrier.
Practical examples
- You might have a client who is an independent pension actuary providing funding advice to multiple small employers — this program can consider such firms for professional liability protection.
- You may represent an actuary who performs rate development for a specialty brokerage and has a prior minor claim — Mercator can evaluate and often place these harder-to-place risks.
How to submit and contact
Preferred Concepts LLC connects agents with Mercator Risk Services to evaluate actuarial E&O placements. For more information, please call (860) 527-9717 or send an e-mail to [email protected]. You can get additional information on their products, insurance applications, and Specialty Lines insurance information on their Web site www.mercatorpro.com.
Frequently Asked Questions
What types of actuarial accounts are a good fit for this program?
This program is designed for independent actuarial consultants, pension actuaries, actuaries working for brokerages on rate development, and specialists in areas such as medical malpractice. Mercator can also consider accounts with non-standard features on a case-by-case basis.
Can you place accounts with prior claims or financial issues?
Yes. Mercator has experience handling hard-to-place and distressed accounts, including those with prior claims or financial impairment. Provide full details in the submission so underwriters can assess options.
What application materials will underwriters need?
Typical items include a description of services, client list or engagement types, prior acts/claims information, sample engagement letters, and basic financial or staffing information. Mercator can often work from your standard application or provide a tailored application.
Are policies available admitted or surplus lines?
Mercator works with a variety of markets and can access both admitted and non-admitted (surplus) solutions where appropriate. Availability depends on the state and the individual risk characteristics.
How do I begin a submission through Preferred Concepts LLC?
Start by preparing a concise submission with the items noted above and contact the Mercator team via the provided phone or email. They will guide you on the appropriate carriers and next steps for underwriting.
Need help placing an account? Connect with a market specialist.