Workmen’s Auto Ins. Co. v. Guy Carpenter & Co., Inc. (Cal. Ct. App. May 4, 2011)
An appellate court in California held last week that an insurance broker does not owe a fiduciary duty to its client. Rather, “an insurance broker’s duties are defined by negligence law, not fiduciary law, and the agency of a broker must be viewed only through the lens of insurance law, which is a constellation of rules and policies all its own.” The court acknowledged the inherent conflict between insurance …
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