Real estate business can be an arduous endeavour. Constant movement and multitasking must occur simultaneously to succeed; any small misstep could become an expensive legal nightmare in an instant if something goes amiss; that’s why Errors and Omissions insurance for real estate agencies or brokers is key for ensuring continued success in the industry.

Real estate agents and brokers play an essential role in the industry, providing buyers and sellers with expertise on property listings, market analyses, transaction management, regulatory changes, client issues and technological advances. Even experienced professionals may make errors that lead to costly lawsuits that damage their reputations; E&O coverage helps real estate agents, brokers and their clients recover from these errors by covering legal expenses associated with legal disputes that might ensue from mistakes committed in error.

Errors and Omissions insurance (E&O) is a type of professional liability coverage designed to cover legal fees and judgments that arise due to claims of negligence or failure to perform professional duties. This type of policy is offered to financial and investment advisers, real estate agents/brokers/brokerage firms/insurance brokers among others, while some states mandate real estate agents carry this type of coverage and it may even be part of contractual negotiations in some instances.

There are various factors that influence the cost of real estate E&O insurance, including your deductible level and premium amount. Also important are policy limits and type of coverage provided; an in-depth risk evaluation is the only surefire way of accurately determining how much an errors and omissions policy costs in any particular case.

Real estate agents and brokers typically purchase errors and omissions insurance to protect themselves and their brokerage or individual practice, according to state requirements and contractual obligations. Some policies cover everything from misrepresenting a property’s features to failing to disclose a lien against it – as well as listing properties while they remain occupied for sale and mishandling property paperwork.

E&O policies don’t cover damages resulting from bodily injuries or property damages that arise during the course of their work, making it even more crucial that real estate professionals secure themselves and their businesses with general liability insurance policies.

Real estate can be an increasingly challenging and ever-evolving industry, so be prepared for every challenge with an error and omissions policy from PBI Group. Our dedicated team of experts is on hand to guide you through this complex process and find an individualized policy solution to meet your specific needs. Reach out now!