Aside from why? number one
being that it is a legal requirement (you can update yourself on the regulation here
), professional indemnity insurance is essential for real estate professionals.
If you provide expert advice and services to clients, then you have a professional duty. This means in performing your role as a real estate professional, you are at risk of legal action if you breach your professional duty, whether intentionally or not.
Professional indemnity insurance is designed to protect you against such lawsuits (and associated expenses). This means it’s vital your insurance suits your needs.
Why? number 2
Taking out professional indemnity insurance covers you for any legal fees in defending an action of professional negligence against the licensee or an employee, and any damages you may be liable to pay following proceedings.
Why? Number three
Because we all make mistakes. Most agents are confident in their experience, service and advice. But this doesn’t mean you are infallible. Should the worst occur, and a mistake is made in the service provided to clients, professional indemnity insurance will prove invaluable.
Why? Number four
Having a safety net gives you the vital protection you need. It is a relatively low cost to your business with a very high return on investment should you ever need to make a claim. This means less time worrying and more time fulfilling the needs of your clients.
The information contained in this article, which is current as at the date of publication, provides only a general overview of subjects covered. It is not intended to be taken as legal advice or advice regarding any individual situation and should not be relied upon as such. Insureds should consult their insurance and legal advisors regarding specific coverage issues. All insurance coverage is subject to the terms, conditions, and exclusions of the applicable individual policies.