Posted: Mon Jan 14, 2008 10:30 pm Post subject: Can I Sue My Insurance Customer?
Recently I wrote a home insurance policy on a customer who told me he had no trampoline on his property. He signed the home insurance application that stated "No trampoline on the property".
When the insurance company inspected the property, guess what? - they found a trampoline in the customer's back yard.
Prior to the time the insured received the "Notice to Cancel" from the insurance company, there was an accident involving the trampoline, which seriously injured a neighbor's child.
The customer called the insurance agent to report a claim and the agent advised the customer that since there was a "material misrepresentation" on the original application, the insurance company intended to cancel the policy back to the date of issue (as though it never happened).
The customer was very angry and advised the agent that he was going to see his attorney.
A few days later, an article appeared in the local newspaper which actually "slandered" both the insurance company and the agent.
Can the agent sue the customer for "slander" or "defamation of character"? _________________
Can the agent sue the customer for "slander" or "defamation of character"?
I don't see any reason why you can't move the court. If the article you stated has enough allegations against you that may damage your identity at the industry (& perhaps also for some of the co-related financial services)...then obviously you may!
Allegations of such types may have serious effects upon your future growth prospects!
Soul_reaper _________________ Register Now to have your Insurance queries solved.
Posted: Tue Jan 15, 2008 6:40 am Post subject: Nothing to worry about!!!
Quote:
Prior to the time the insured received the "Notice to Cancel" from the insurance company, there was an accident involving the trampoline, which seriously injured a neighbor's child.
Doesn't really matter...he is not supposed to get paid for this one. It is very important that you disclose your financial history as also never hide anything from your carrier at the point of applying for the policy. If you do it...you're doing it at your own risk!
That is why I see it becomes so crucial that you read all the clauses that depict the terms & conditions of a particular insurance company. Once it is mentioned that its "No trampoline on the property", then the benefits are supposed to be offered to the insured only when the conditions are fulfilled.
I don't see any reason for you to get worried at this point of time.
Thanks,
Plasmastreak _________________ Register Now to have your Insurance queries solved.
Posted: Tue Jan 15, 2008 3:47 pm Post subject: Can I Sue My Insurance Customer?
Quote:
You can sue for anything. Is there another question somewhere in there (other then, would he win... as there are not enough details)?
I thought I was clear, my mistake.
The home insurance company will not insure a property with a "trampoline" due to the increased liability risk.
This fact was explained to the customer and according to the customer, there was "no trampoline" on the property.
When the insurance company inspected the property, they found a trampoline and initiated cancellation procedures to "void" the policy.
Then the accident happened.
The customer has placed an ad in the local newspaper stating (I'm paraphrasing because this is on-going):
Quote:
"I purchased my home insurance policy from John Doe, an agent of XYZ Insurance Company. There was an accident on my property which resulted in serious injury to my next door neighbor's son. When I called Mr. Doe, he advised me that my home insurance policy was being cancelled and XYZ Insurance Company would not pay the claim.
I would advise anyone who is looking for home insurance to not do business with either Mr. Doe or XYZ Insurance Company because neither of them stand behind their insurance policies. They will not pay their claims."
OK, so what do you think? The customer lied on the original home insurance application, then he made public comments designed to cause harm to the insurance agent and the company (which were also lies). _________________
The customer absolutely misrepresented the risk and hazards presented with the exposures on the home, and frankly- was fraudulent on the application for insurance. According to the OP:
Quote:
the insurance company intended to cancel the policy back to the date of issue (as though it never happened).
This process is referred to as "recission" of the contract. Due to the material misrep on the application and borderline (if not outright) fraud on the app- the insurer is considering this to be a material misrep. The OP was correct- it's as if coverage never existed on the home due to the recission.
Finally, the OP absolutely has causal action for a suit, against both the paper and the customer. I personally would nail this POS to the wall for this, and the carrier is correct and well within the parameters of law assuming the policy was rescinded during the initial underwriting investigation period. By the way...I'm not an attorney, I just stayed at a Holiday Inn Express last night...
If you could---tell us how we may find the newspaper article!
Go after them Ins maze...but one correction (from my law classes and no I'm not an attorney) 'written' words are libel, spoken are slander, so let's file a libel suit, and perhaps a slander suit as well! _________________ Have you been helped by a poster? Do you want to show your appreciation? YOU CAN !! Just simply click on the donate button and send them some coin!
He's just a fool trying to blacken your name. If you lie to an insurance company, then they can take that policy and put it through the shredder whenever they want. You should take legal action to make an example out of him, libel and slander isn't covered by the first amendment, otherwise we wouldn't have legal terms for them.
By the way, is the insurance company legally obligated to void a contract if the person had lied? I guess that it would, to avoid double-standards lawsuits.
And tcope, you CAN sue for anything, that's your right, but it doesn't mean that you'll win. I wouldn't be surprised if someone got thrown in jail for filing a ridiculous lawsuit. _________________ I have a new personal crusade. I'm going to hunt down the people who have strong opinions on subjects they don't understand. Then I'll bop them with this cardboard tube.- Dogbert
I ain't a legal expert, take what I say with a grain of salt.
Personally, if I had something in writing from this person stating no tram and this person took out an _ad_ like you describe, I'd be at an attorneys office to discuss the matter yesterday! Why a paper would even publish something like that is beyond me. They might be held responsible, to a certain extent, as well for not confirming what actually took place.
I'd also send a copy of the ad to the insurance carrier to see if they want to pursue the matter as well.
This could end up causing you and the carrier to loose a _lot_ of money. I hope this person has a good liability policy. Oh, wait.....
Whoa...we want details. What the heck happened here? InsuranceMaze- you can't leave us hanging!! Tell us the dirt!! BTW-- I'm glad you're still here...
You know that ain't gonna cut it with this nosey bunch come on ! _________________ Have you been helped by a poster? Do you want to show your appreciation? YOU CAN !! Just simply click on the donate button and send them some coin!
I just don't think that the general public has any idea of what awesome responsibilities an insurance agent takes upon himself or herself when they acutally pass the insurance licensing exam.
In an attempt to deliver the best products with the best possible service, we sometimes take "short cuts". Like, OK, we'll go ahead and bind coverage on your home and I'll come out tomorrow to take the required front and back photos. Sounds professional enough, right?
In this particular situation had the photos been taken prior to binding coverage on this home, one of two things would have happened -
(1) The policy would not have been issued.
(2) The applicant would have been required to dismantle the trampoline prior to binding insurance coverage.
Since the agent and the insurance company bound home insurance coverage, which included liability coverage, the customer had every right to expect legitimate claims to be paid.
The newspaper article was just an opinion expressed by a member of the general public.
The fact the customer actually lied was not even discussed.
In short, it is very difficult to be a good insurance agent, because we are all just "fair game". _________________
Agreed Maze.....same in my profession too...lying unfortunately is common...and people hear what they want to hear many time....glad this worked out....I guess...are you saying that your E&O covered the claim? _________________ Have you been helped by a poster? Do you want to show your appreciation? YOU CAN !! Just simply click on the donate button and send them some coin!
Wow! Thats an awesome story. I did not expect that outcome though. The piece in the paper should have a rebuttal though.It was not fair. Is that trampoline like the smoking thing. If you get coverage then get a trampoline we don't have to tell the insurance agent about it? I hear that you cannot get coverage if you have a fireplace either .Is that true?
You know that ain't gonna cut it with this nosey bunch come on ! 
