Last reviewed: 15 September 2026
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What actually triggers an E&O claim against an insurance agent
Our companion explainer covers whether an agent is required to carry errors-and-omissions insurance in the first place. This page is about something more concrete: the specific, recurring situations that actually generate a real E&O claim against an agent, drawn from industry claim-frequency data rather than a hypothetical list — and none of them require the agent to have acted in bad faith.
The single biggest category: failure to procure the coverage actually requested
Industry claim studies of property & casualty agents' E&O experience — including member-claim data compiled through the Independent Insurance Agents & Brokers of America's (the "Big I") professional liability program — have repeatedly found "failure to procure coverage" to be the largest single category, commonly cited at around one in four claims: a client asked for a specific coverage, limit, or endorsement, and it was never actually bound, or was left off the policy that was ultimately issued, even though the client believed otherwise.
Other recurring patterns on the P&C side
Behind that leading category, the same claim studies identify several other specific, recurring patterns: failing to clearly explain a policy's actual terms or exclusions to the client; failing to identify an exposure a competent producer should have flagged given what the client disclosed about their situation; failing to affirmatively recommend a coverage a client might reasonably have wanted; sending inaccurate or incomplete information to the carrier when placing or renewing a policy; and failing to give the carrier timely notice of a claim once one arose. None of these require any intent to deceive — ordinary carelessness in any one of them is enough to generate a valid claim.
A different pattern on the life and health side
The same industry data shows a somewhat different leading pattern for life and health producers specifically: failing to actually place coverage the client believed had been secured, and failing to clearly explain what a policy does and doesn't cover, are commonly identified as the two leading categories there — distinct from the P&C-side pattern above, since the underlying products and sales process differ.
Why the paper trail matters as much as the license
Because ordinary negligence — not fraud or intentional misconduct — is enough to trigger most of these, the practical lesson isn't about catching a dishonest agent; it's about your own documentation. A written record of exactly what coverage you asked for, what you were told would be in place, and what was actually issued is the single most useful thing you can have if a gap like this ever surfaces — the same kind of documented, factual record our guide to filing a complaint recommends keeping for any producer-conduct issue, not just this one.