Regardless of whether you are a brand new realtor, a seasoned veteran, or somewhere in between, you are human and you will make mistakes. Fortunately, real estate liability insurance is available to provide coverage designed take care of gaffes that cause financial detriment to another party. While general liability insurance plans handle things like bodily injury and property damage, other areas are left uncovered. In response to this deficit, professional liability insurance plans have been designed to cover various forms of falsification, carelessness, and inaccurate advice. These plans also include violations of good faith and ethical practices.
Commonly, claims brought against real estate agents include failures to complete actions such as properly inspecting property, providing reports, disclosing facts, or recommending a price that is of fair market value. Other frequently cited actions include discrimination, slander, and intentional delays of the transaction. Real Estate Agent Errors and Omissions (E&O) insurance, also known as Professional Liability coverage, can assist independent real estate agents, brokers, and contractors, along with real estate and appraisal firms.
In short, real estate liability insurance covers errors and omissions that tend to arise in the real estate industry. Realtors are human and they are bound to make mistakes. Fortunately, companies exist which will guide you through the process of finding an appropriate policy to protect yourself in the occasion that claims do arise. Remember: the best defense is a good offense.