E&O Preparedness: Insurance Is Only Part of It

E&O Preparedness: Insurance is Only Part of It

E&O Preparedness

If you’re in the insurance world, you’re definitely familiar with E&O insurance. Investopedia defines it as “a type of professional liability insurance that protects companies and their workers or individuals against claims made by clients for inadequate work or negligent actions. Errors and omissions insurance often covers both court costs and any settlements up to the amount specified by the insurance contract.”

Though having this insurance is an important part of being prepared for E&O issues, it’s only part of it. Maintaining a clean database with complete and thorough client information and communication notes is equally important.

Maintaining thorough client communication notes requires your team understanding note taking requirements as well as the right tool to record and upkeep the notes. Each agency is different and, thus, your note-taking requirements will vary. However, you should encourage your team to have complete contact information for each client (physical address, email address, telephone, etc.), and you should make it clear that entering notes for each and every client communication is required—including all phone calls and emails.

Consider an Agency Management System

Imagine taking client notes on paper and then losing that paper hours later; now, you have to retake the notes going off memory, and they might not be as complete as they were. The same thing can happen with Excel spreadsheets. In fact, 88% of Excel spreadsheets contain errors, and you don’t want this happening with your client records.

An agency management system (AMS), like AgencyBloc, helps your team quickly record client information, notes, and keep important documents all in one place.

Within AgencyBloc, individual records are easy to locate and edit, alleviating the stress of finding the “right” record or the most current one. This way, your team can remain on the same page, and you can be sure in the event of an E&O issue, your notes are in order. Here’s an example of an individual record in AgencyBloc:

Individual record in AgencyBloc

You can see that within this one record, contact information, policy information, activities, notes/attachments, and communication (emails) with the client can be quickly accessed. In an E&O situation, you don’t want to be digging for paper or Excel files; you want to know that all of the information you need is only a few clicks away.

You can also attach documents and assign activities (and keep record of those) for team members based on your individual and group records. Here’s an example of an attachment for an activity for the group, Gramercy Press:

Notes and attachments in AgencyBloc

These activities are kept on file, so you can always look back to see what you’ve done with a client (including phone call notes and any email communication you’ve had).

Lastly, you can keep agent E&O documents on file for them in AgencyBloc. Not to mention, you can setup automated emails to alert them when their E&O expiration is approaching. You can have the emails sent as far in advance before the expiration date as you’d like.

Agent E&O expiration automated reminder

Agent E&O expiration automated email reminders

Setting up this automation for your agents isn’t only convenient for them, but it’s also responsible on your part to be sure you never miss E&O renewals. You can setup the same kind of automation for agent license renewals as well.

E&O preparedness is a combination of having E&O insurance, setting guidelines and expectations for your team on client notes, and having the right system in place to keep your client records in order.

Want to see AgencyBloc for yourself? Schedule a live, 1-on-1 demo with us! AgencyBloc is an agency management system that helps life and health insurance agencies grow their business with an industry-specific CRM, commissions processing, and integrated business and marketing automation.

Also, learn more about how an AMS can increase the value of your book-of-business in our eBook, A Valuable Book-of-Business: Preparing for sale, transfer, or growth in your agency.

A Valuable Book-of-Business

[eBook] A Valuable Book-of-Business: Preparing for sale, transfer, or growth in your agency

What makes a book-of-business valuable? In this eBook, we'll discuss the factors of a valuable book, how to make your data more valuable, and how to maintain it going forward.

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Kelsey Rosauer

By Kelsey Rosauer on January 19, 2017 in Database Management

Kelsey is the Marketing Brand Specialist at AgencyBloc. She plans and creates educational resources to help our customers organize, automate & grow their insurance agency. Favorite quote: "I am convinced that life is 10% what happens to me and 90% how I react to it." —Charles R. Swindoll  More articles


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