Loss Examples
Mistakes can occur at any stage of business.
Examples of Seed Sales Representatives E&O claims:
Claims may arise anytime a grower is unhappy with a crop and feels the seed sales rep may be the nearest “deep-pocket”. Some are frivolous, some have merit, but all need to be defended at a cost to the seed sales representative. Defense costs are included in the Seed Sales Representative’s E&O limit of liability.
The following allegations have all caused substantial claims and/or costs on seed sales representative’s policies (from $20,000 to $2,000,000):
Sales Agent delivered non-GMO seed to a customer who ordered GMO and ultimately sprayed the field with roundup killing the corn. Sales Agent was sued for 320 acres at $1000/A totaling$320,000.
✔️ Covered
The customer requested his ordered seed beans be treated. Air gate failed on another bin contaminating his variety of beans with another. This was not noticed and the seed was planted which resulted in diminished production.
✔️ Covered
Customer requested his corn be checked because of odd-looking veins in the leaves. Sales Agent determined foliar appearance was a result of zinc shortage. Ultimately the cause was determined to be a result of low manganese. The yield was reduced by 30 bu/A over 640 acres equaling a loss of $96,000.
✔️ Covered
Management zones were addressed incorrectly resulting in 45 bu/A loss over 360 acres resulting in a suit for $81,000.
✔️ Covered
