When Do I Need To Contact My Insurance Broker?

Wondering when you need to contact your insurance broker? Some reporting tips and requirements that you need to know

When do I need to contact my insurance broker is a common and important question.  Ultimately, the insurance industry is the built upon principle of utmost good faith which is an expectation that complete and accurate information is shared amongst all parties so that proper insurance can be secured for clients.  This fact impacts you as an insurance buyer and as an ALIGNED client. 

Noted below is a number of expectations and/or conditions that must be adhered to, some of which require reporting to your ALIGNED Insurance advocate by your organization as soon as possible/practicable. If reporting requirements are not met, coverage could be denied in the event of a claim or the policy in some instance may be cancelled. Upon receipt of notification by your organization of any of the below, ALIGNED Insurance Inc. will ensure your insurer is notified appropriately and promptly to ensure all parties have a clear, accurate and up to date understanding of the risk which is being insured and coverage as/if needed.

Common situations when you need to contact your insurance broker

  • Addition/Acquisition of Property – A property insurance policy mainly covers you for the property, contents, equipment and operations at the location(s) that you have reported to ALIGNED and which we’ve confirmed are insured. Failure to fully advise of all property, its appropriate value (to the best of your ability/knowledge) or any additions, could result in a claim being denied or penalties (like coinsurance or a margin clause) being triggered, which can reduce the amount of coverage paid if a claim occurs.
  • Representation of Risk – You are bound to represent all facts known to you accurately and completely. These facts can materially influence the insurer in the setting of the rates and/or premium, the appraisal of the risk or the decision to provide coverage at the time of the application or renewal submission. If there are any operations, subsidiaries, joint ventures, services, property, products or procedures that are not represented in full, or concealed, this may result in a claim being denied and/or the policy cancelled.
  • Material Change in Risk – Your insurance policy covers you for the operations and exposures associated with your business that have been reported either during the policy period or on the application/submission at the inception date of your policy. Material changes to your operations, services, products, property, automobiles or use of automobiles, drivers or procedures must be reported to the insurer(s). Failure to report a pending or completed change to your ALIGNED Advocate may result in a claim being denied and/or in coverage being cancelled.
  • Financial Information – If required by the insurer you may be requested to forward relevant, accurate and up to date financial information. This information may include a breakdown of your organizations revenues and/or the organizations latest financial statements. ALIGNED strives to eliminate such requests whenever possible, but if absolutely required you can be assured your financial information will be kept completely confidential and only used for the purpose of securing insurance.
  • Ownership or Named Insured – When you become aware of a pending change or completed change in ownership, or addition/deletion/creation of a legal entity, joint venture and/or named insured on the policy, your ALIGNED Advocate and insurer(s) needs to be notified as soon as practicable, and ideally in advance of any change. This includes acquiring/securing voting rights in another organization or creation of another organization, which becomes a subsidiary. This also encompasses the sale of a subsidiary or a portion of your operations. Failing to fully or accurately report the current complete legal structure and ownership and/or changes to may result in claims being denied or coverage being cancelled for misrepresentation.
  • Property Protection Systems – If applicable you have the duty to report to the insurer(s) as soon as you become aware that there either is or will be any interruption to, or flaw or defect in any:
    • sprinkler or other automatic fire extinguishing system;
    • fire detection system;
    • intrusion system;
    • You are also required to advise the insurer(s) immediately of any cancellation or non-renewal of any contract which provides monitoring or maintenance services to any of these systems.
  • Loss Payees, Mortgagees & Additional Insured’s – The insurer(s) must be advised of any liens, leases, mortgages or encumbrance of other instances of a change in insurable interest in your property/ automobiles/ liability and or requests to add third parties as additional insured’s to your insurance policies. It is your responsibility to pass along all such requests/requirements to your ALIGNED Advocate and they will ensure their interest are added to the applicable policy appropriately and provide the documentation needed to satisfy the third party request.
  • Continuation of Coverage – With respect to the Umbrella and Excess Liability policies, you have the duty to inform your ALIGNED Advocate of changes of insurers and or any underlying limits of insurance policies that may be non-renewed, cancelled and or changed during the policy term which do not have ALIGNED assigned as the broker or, which are not brokered by ALIGNED.
  • Applications of Coverage – You are responsible for completing all applications for the various coverages within your insurance program as requested by ALIGNED and/or required by insurers. The information contained in these applications must be true, complete and accurate to the best of your ability and knowledge.
  • Policy Adjustments – Your insurance policies may be adjusted in a number of ways by the Insurer at the end of the policy term, per conditions in the policies. Please speak to your ALIGNED Advocate if you are unclear on whether that is applicable to an policy in force for your organization or not.



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