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...with only marginal vigilance, this real-life insolvency could have been 'predi...stionable investments (in affiliates, real estate, cash increases, low yields, etc.)...

...ng sued on such basis. In Bradley Real Estate Trust, et al. v. Plummer & Rowe...sons. In another instance of 'market realities,' the agent was asked to issue...

...nes of business. Take stock of the real benefits of working for you agency. Co...

... . No warranties, express or implied, are made that the list is either a predictor or a guarantor of a company's financial condition. To illustrate the use of the Insolvency Checklist, please download this financial information excerpted from a 1983 A.M. Best report on a real carrier we'll call the Big Red Insurance Co. (to protect the innocent, guilty, and embarrassed) . Big Red was declared insolvent in 1985. The document presents seven categories of A. M. Best information as exhibits:General Information (Exhibit 1 ... there been any negative operating income or sustained underwriting losses during the past three to five years? Yes. Exhibit 5 indicates a significant deterioration of underwriting and bottom-line operating losses over the past five years. Has the company made any questionable investments (in affiliates, real estate, cash increases, low yields, etc.)? Yes. Using the yields and asset values from Exhibit 2, Big Red's return on investment was only about 2% . In addition, the cash component of the investment portfolio increased from 12.2% to ... most of your time should be focused on tasks and issues that are Important, but Not Urgent' — i.e., the critical functions that affect survival and success. The same can be said for monitoring the financial stability of the carriers you use for direct and brokered business. With more urgent tasks at hand, it's all too easy to ignore warning signs that you could uncover with minimal effort. This article will review methods for you to protect yourself and your clients from insurer insolvency, and provide a handy downloadable tool that ...

... not own, and never has owned, any real property. The Agency ...perty 3(x) Insurance Policies 3(y) Brokerage Agreements 3(aa) Agreements 3...

... Ray Free v. Republic Insurance Co. (1992) 8 Cal.App.4th 1726, 11 Cal.Rptr.2d 296. Absent a special relationship, however, agents in California have been held to have no duty to advise a client as to the proper amount of coverage to obtain on real property, absent a special relationship. Jones v. Grewe (1987) 189 Cal.App.3d 950, 234 Cal.Rptr. 717 (dealing with liability limits, not property limits) . They have been held not to have a duty to advise the client on additional coverage ... nonperformance. For example, if an agent agrees to obtain particular coverage and fails without justification to do so, that agent may be liable for breach of an agreement to obtain coverage with the insured (though not on the contract of insurance) . Troost v. Estate of DeBoer (1984) 155 Cal.App.3d 289, 202 Cal.Rptr. 47. In the cases of an agent acting solely for a disclosed insurer (and not also as a broker acting for an insured), there is authority that only the insurer (as principal ... and not the agent can be held for non physical damage for breach of contract or negligence. Walker v. Home Indemnity Co. (1956) 145 Cal.App.2d 318, 302 P.2d 361; Lippert v. Bailey (1966) 241 Cal.App.2d.376, 50 Cal.Rptr. 478; 4 Couch on Insurance 2d 26A:289. An insurer may also be liable for the agent's representation that a claim would be covered, even if the policy does not cover it. Loehr v. Great Rep. Ins. Co. (1990) 226 ...

...er amount of coverage to obtain on real property, absent a special relationshi...ell as contract claims. Gilmer v. Intestate/Johnson Lane Corp. (1991) ___ U.S....

...oing through probate. However, the real benefit of Single-Premium Whole Life i...hole Life assets in place of bonds or real estate may increase a family's eligibilit...

...m your carriers 4. Referrals from real estate brokers 5. Mailing lists from ...f companies related to yours, such as realtors. The drawback is that most comp...