What to do if you sell a client the wrong policy.
Q: I have just realised that I sold an inappropriate policy to one of my clients last year. What should I do to rectify the situation?
A: If it can be established that you were aware of the requirementsof your client and sold them an inappropriate policy, then you would be
liable if a claim arises which the insurer consequently refuses to pay
out.
The claim would be a claim in negligence and you would have to look to
your professional indemnity insurance to cover it.
You would also be responsible for any costs incurred in selling the
inappropriate policy and would have to refund any premiums paid by your
client.
If you have
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