As a real estate agent, property manager or mortgage broker, you assist people in buying and selling homes. It can be an involved process that requires plenty of information and expertise – yet even experienced professionals make mistakes that could have serious financial repercussions for clients. Errors and omissions insurance (E&O) is essential in helping to manage potential client disputes without jeopardizing your finances as an agent or manager.
E&O (Employment & Occupancy) insurance protects your real estate business against lawsuits brought about by claims related to negligent or ineffective work performed, and reimburse legal fees and settlement costs associated with claims brought forth against them. This coverage should be considered essential by any real estate business and typically comes either as a stand-in policy or combined with other forms of commercial coverage policies.
Errors and Omissions Insurance in Texas Real Estate typically depends on various factors, including your business size, coverage needs and location. Furthermore, certain states require you to maintain such insurance. Additional considerations that can affect its price include your profession, previous claims history and the size of coverage limits you need.
Errors and omissions policies in Texas cover claims arising from professional negligence, such as providing inaccurate or misleading information to clients. Others provide general liability coverage that protects your business against lawsuits alleging damages caused by accidents such as clients falling at a property or being injured during viewings.
Error and omissions insurance requires you to decide the level of liability coverage that’s right for your needs, with enough of an available limit to cover even your largest claims. Also consider whether or not a deductible would reduce premium costs but force you to pay out-of-pocket more often when claims occur; multi-year policies can often be more cost-effective than annual renewals.
Find the ideal errors and omissions insurance in Texas can be daunting with its variety of policies and varying costs, but by understanding what each covers and their price comparison, identifying your ideal plan should become much simpler. Rest easy knowing you’re covered for any unforeseen incidents with an E&O policy to defend against common errors, omissions and negligence claims! With a little research you can locate one.