Insurance

Question 1

Express, Implied, Apparent Authority Example

Answer 1

Jason believes Tom has the authority to write an Auto Insurance policy based on the signs on the wall. - Implied.

Tom pulls out the agency agreement to write a policy on behalf of All State. - Express Authority

Tom’s agency agreement terminated the day before so the contract was not valid. Jason believed Tom had the authority when Tom did not have the authority to write Insurance Policies. - Apparent Authority.