Real estate transactions are complex, time-consuming, and stressful for all parties involved. Mistakes can happen during this process: for example, a real estate agent could misrepresent features of the property they are showing to their client or neglect to include an important legal document when closing. Real estate errors and omissions insurance provides coverage against lawsuits or claims brought about by errors made during these processes.
E&O insurance is an essential tool for real estate professionals. Even when claims made against your business are baseless, the legal costs involved with defending it could be financially crippling and damage your reputation considerably. E&O coverage helps mitigate risk, maintain ethical standards, and uphold client trust within your practice.
Average E&O Insurance costs for real estate agents vary significantly by provider and can depend on many different factors, including location, claims history against you, brokerage firm size/type/type size and professional experience – those considered higher risks typically pay more.
No matter the specifics of your business, bundling E&O with general liability and commercial property policies for a significant discount may help save money on an E&O policy premium. Furthermore, investing in education for your team and consistently following best practices may allow you to negotiate an even lower premium price.
Selecting appropriate policy limits for your real estate business is also key. Most insurance providers provide options with per-occurrence and aggregate limits up to $1 million or higher, and higher limits mean greater coverage in case of claims; however, larger limits typically increase premium costs accordingly.
Your best bet for affordable e&o insurance for real estate agents is to use an online platform like NEXT to compare quotes from multiple insurance providers and get quotes from top-rated insurers, send and create certificates of insurance, file claims and manage policies all from one convenient place – not to mention keeping up-to-date on industry news with this feature! Alternatively, contacting individual insurers may take longer for responses due to having to call them individually to request quotes and request coverage – making NEXT more convenient!