Where do most errors and omissions situations typically arise?

Most errors and omissions situations typically arise during sales interviews and policy delivery. This phase involves direct interaction between agents and clients, where important information is communicated and decisions are made regarding coverage and policy details. Mistakes or misunderstandings that occur during these critical interactions can lead to misrepresentations, overlooked details, or confusion about the policy terms.

In this context, agents must ensure they provide accurate information about coverage options, exclusions, and limits. Failing to do so can result in clients feeling misled or inadequately informed, which raises liability issues for the agent or agency.

While errors can occur at various stages such as policy renewals, claims processing, and audit procedures, the personal nature of sales interviews and the delivery process, along with the potential for direct client engagement errors, makes this the most likely point for omissions and errors to happen.