14.2.4 Insurance Producers as Professionals.

JurisdictionArizona

14.2.4 Insurance Producers as Professionals. Under Arizona law, insurance producers were traditionally seen as salespeople, with a duty to follow only the orders of their insurance company principal.40 Thus, an insurer’s agent was seen as owing no duty to advise the insured regarding the coverage being purchased.41 This view has been rejected in favor of elevating insurance producers to a professional status.42

This more modern concept of insurance producer as professional is based on the Arizona Supreme Court’s decision in Darner v. Universal Underwriters, which held that “an insurance agent owes a duty to the insured to exercise reasonable care, skill and diligence in carrying out the agent’s duties in procuring insurance.”43 The court also stated there, “insurance agents cannot be considered as professional without assuming the responsibilities and duties generally associated with such a status,”44 and “[o]ne of those...

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