Insurance for Real Estate Agents Professional Office Package
We offer Real Estate Agent Errors and Omissions coverage for real estate firms which derive at least 65 percent of their commission income from residential real estate sales. We can also package this with business owners under one policy with separate limits for each coverage.
Target Risks: (Not limited to those below)
- Firms with 65 percent or more of residential sales income
- Principal/Partner/Broker with one-year licensed experience or three years licensed agent experience
- Franchise and non-franchise firms
- Up to 50 agents/brokers/independent contractors with maximum income of $5,000,000New ventures are eligible
- And more!
Ineligible for Online Quoting:
Please note we cannot offer coverage to the following:
- Applicants located in AL, AK, CA, CO, HI, ID, IA, KY, LA, MS, NE, NM, SD, TN, TX or WV
- More than two errors and omissions claims or circumstances in the past five years
- Average value of properties exceeding $750,000
- Real estate agents selling their own or related rehabbed properties
- More than 10 percent of income from
- The sale/leasing/management of properties developed/constructed/rehabbed by the applicant or any related entity
- One builder/developer or one location/development(subdivision)
- Sales of personally owned properties or any affiliated entity
- More than 35 percent of income from commercial sales
- More than 50 agents/brokers/independent contractors
- More than $5,000,000 in commission income
- Disciplinary action against the principal of the firm that resulted in his/her license being suspended or revoked
Coverages Available for Real Estate Agents Professional Office Package
- Defense outside the limit
- Personal injury coverage
- Discrimination coverage for damages and defense up to policy limits not to exceed $1,000,000
- $50,000 lockbox coverage
- $50,000 open house coverage
- Coverage for the sales of personally owned properties
- Coverage for independent contractors as insureds when working for the named insured
- Coverage for services as a leasing agent/property manager automatically included
- Wrongful eviction coverage for residential properties
- Retro date coverage for no additional premium
- Privacy Breach Expense limit of $25,000
- Errors and omissions up to $5,000,000
- Businessowners package
- General liability $1,000,000/$2,000,000 limit
- Business personal property limits up to $500.000
- Business income $50,000
Coverage Limits Available for Real Estate Agents Professional Office Package
- Primary limits available up to $5,000,000
Claim Example for Real Estate Agents Professional Office Package
As part of her representation services, a real estate agent prepared a mock closing statement for a client. This statement was meant as a guide for her clients to use to calculate the amount of cash needed to purchase a property in their price range. The statement contained errors, causing the buyer to save less than needed to close on the home. As a result, the sale did not go through at closing due to lack of funds. The buyer sued for misrepresentation.
A minority couple was relocating and used a real estate agent who they discovered on the Internet. The clients flew into the area to take a look at homes and discovered that they were only being shown homes in areas predominantly inhabited by minorities. When they asked if these were the only homes available that fit their criteria and price range, the real estate agent stated that these were the only properties available. Upset by this, the couple retained the services of another real estate agent. They discovered that there were many other properties available and sued the original real estate agent for discrimination.
A couple purchased an existing property and then after closing, discovered that there was termite damage that had not been disclosed. After getting a large repair estimate, they sued the real estate agent for failing to disclose this information.
A couple consulted a real estate broker to purchase a residence in which they could also run a daycare business. The broker made inquiries and showed them a townhouse, which they eventually purchased. After closing, the couple was told by the townhouse association that they were forbidden to use of the property for a daycare business. The couple filed suit for negligence.
A couple asked their real estate agent which school district the residence was located in. The real estate agent mistakenly told the couple the wrong school district. The couple purchased the property and discovered that their children were to attend a different/inferior school district. They sued this real estate agent for misrepresentation.
A couple purchased an existing property and then after closing, discovered there were high levels of radon in the house. Not wanting to risk the health of their two asthmatic children they immediately put the house up for sale and disclosed the radon levels. As a result, they can only get $200,000 of the $235,000 they paid for the house. They sue their real estate agent for not disclosing the radon levels and for their $35,000 loss. Covered under the Environmental Pollutants Coverage Damages and Defense.