Real Estate Agent Insurance: What You Need to Know
As a real estate agent or agency owner, it’s crucial that you have proper insurance coverage for your business. There are a number of policies—what might collectively be called “real estate agent insurance” [link to real estate industry page]—that you need to protect your business from the high cost of liability and losses. That’s because your business faces many risks, including incidents like:
- A client slips on a wet floor in your office, breaks their wrist, and sues you for the cost of their medical bills and other expenses.
- An employee develops carpal tunnel syndrome from the typing they do at work, which requires surgery and time off from work.
- While driving to a client meeting in an agency-leased car, you run a stop sign, striking another vehicle, and are required to pay for damage to i
- A fire causes damage in your office.
- Hackers get access to sensitive client information in your possession and use it to defraud them. A liability lawsuit exceeds the limits of your cyber insurance policy and you need additional coverage.
These aren’t unlikely hypotheticals—they happen regularly to real estate agents and agencies around the country. Fortunately, reassuring financial protection is available and affordable.
7 Policies Most Real Estate Agents Need
Every real estate business is unique and, consequently, has unique business insurance needs. But there are seven types of insurance that are most commonly required for real estate agents. They are:
Having the policies on this list that are pertinent to your business helps protect you from large—potentially catastrophic—financial burdens.
Real Estate Errors and Omissions Insurance: Particularly Important for Real Estate Agents
Real estate is a business where, in many instances, decisions have to be made and actions taken within a tight timeframe. It’s also an industry where clients have both financial and emotional stakes in their transactions.
Consequently, it’s not uncommon for real estate agents to be sued by clients for alleged mistakes. So, while all the policies above are important, real estate errors and omission insurance is a coverage that you definitely should have. Also called professional liability insurance, this type of policy enables you to do your job confidently and not worry about being hit with a crushing court judgment.
What Does Real Estate Errors and Omissions Insurance Cost?
Multiple factors are considered when determining your real estate errors and omissions insurance cost. However, at biBERK, E&O policies start at around $450.
Getting a quote for your specific E&O insurance cost, or your cost for any type of policy, is easy. You can do that online at your convenience. And if you have questions, our licensed insurance experts are happy to assist you.