When insurance brokers commit fraud, we hold them accountable.
Insurance agents owe certain duties to their clients. Among these duties is a suitability requirement. The suitability requirement calls for an insurance agent to look at the circumstances of a client’s situation to determine what is an appropriate amount of life insurance to sell to that particular client. Some of the factors that should be considered include what sort of assets the client has, how many children they have, and what the eventual insurance proceeds will be used for.
The suitability requirement mandates that an insurance agent only sell a proportional amount of insurance to a client. Unfortunately, it can be too tempting to sell a client more insurance than they need in order to profit from the additional commission that accompanies selling more insurance than is needed.
If you have been sold more insurance than you need, there is action that can be taken. Insurance fraud can be grounds for rescission or the undoing of the contract. Punitive damages may be available as well. It will be critical to work closely with a lawyer who knows how to present a compelling claim.
If you have lost money due to your insurance agent’s misconduct, contact the attorneys at Rosenberger + Kawabata.