Brokers Don't Have To Reveal Incentives: NY Court

Law360, New York (February 18, 2011, 12:57 PM EST) -- New York's highest court has unanimously affirmed that insurance brokers do not have to tell customers about incentive payments they receive from insurance companies, because brokers have a so-called dual agency status.

The decision affirmed lower court rulings finding that brokers don't have a fiduciary duty to tell their customers about incentive payments they receive from insurance companies based on the volume of business they send to the insurers, according to a unanimous opinion Thursday by the New York Court of Appeals.

The court noted that...
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