Who is considered a fiduciary in the context of an insurance relationship?

In the context of an insurance relationship, the agent is considered a fiduciary. A fiduciary is someone who acts on behalf of another person or group, putting their clients' interests ahead of their own. Insurance agents have a legal and ethical obligation to act in the best interests of their clients when providing insurance advice and services.

The relationship between an agent and a client is typically rooted in trust, where the agent is expected to provide guidance, recommend suitable coverage, and handle claims in a manner that protects the client's interests. This duty to act with loyalty and care underscores the fiduciary role of the agent in the insurance process.

Other roles mentioned, such as the policyholder, underwriter, and insurer, do not carry the same fiduciary responsibilities. The policyholder is the person or entity purchasing the insurance, while the underwriter evaluates the risk and decides on coverage terms. The insurer is the company providing the insurance policy. While these parties play significant roles in the insurance relationship, they do not operate in the fiduciary capacity that the agent does.