Kentucky Real Estate Errors and Omissions (E&O)
E&O Requirements in Kentucky
Kentucky, like 13 other states in the US, requires that real estate agents carry E&O (professional liability) insurance. The Kentucky Real Estate Commission (KREC) allows agents/agencies to purchase this E&O from the state’s group program or any private company, providing it meets the E&O coverage requirements in Kentucky.
A number of KY real estate agents and brokers buy individual E&O policies, and the brokerages often purchase an additional excess errors and omissions policy. While this has worked for some, many Kentucky firms who have had individual agent coverage in the past have been pleasantly surprised to find that a single E and O policy covering both the firm and the agents can be very competitive in price, and provides much broader and stronger coverage.
Are All Kentucky E&O Policies the Same?
Brokerage owners can purchase whichever private errors and omissions policy they find affords the most robust coverage for their brokerage and agents. Because coverage extends to the agents, they receive much better protection than what an individual E&O policy would have afforded them. In over half of the states in the United States, a single firm policy for real estate E&O is standard for real estate agencies.
Many Kentucky real estate E & O policies provide little to no coverage for claims that are common and increasing in frequency. For example, contingent bodily injury and property damage is a common exclusion in policies. If a client were to get injured while you or one of your agents is showing a house, E&O policies with this exclusion would deny the claim. Additionally, most general liability policies also exclude these claims because they are arising from your professional activities as an agent. More claims that are commonly excluded or covered in a very limited way include discrimination, property management activities, broker price opinions, mold, the sale or purchase of property owned by the agent, and escrow claims.
Get E&O Options from FirmSecured
Whether your firm focuses on commercial real estate in Richmond, is a residential real estate agency in Bowling Green or Louisville, or if your team specializes in property management in Lexington-Fayette, our team can help you and your firm find the real estate E&O policy that gives you peace of mind.
We make the process of obtaining options simple with our digitized questionnaire. We will compare your current E&O coverage to the many options we have available so you have a better understanding of what you currently have, and what your options are.
Complete the form below, and our team will reach out to review your real estate professional liability options.
Want to bypass the form and schedule a Google Meet appointment directly? Book time on our calendar here for a conversation about your firm’s errors and omissions options.
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FirmSecured is powered by Veritas Risk Management, an independent insurance agency in Northeast Tennessee, and licensed in over 30 states including Kentucky.
Cyber Insurance for Real Estate Firms
The Kentucky Cyber Landscape is Changing Rapidly
Breach response costs, funds transfer fraud, ransomware, phishing, and more are now common terms in the news. What most smaller business owners don’t realize is that fortune 500 companies are not the only companies being targeted by cyber attacks. Small businesses, especially real estate firms, are a prime target for malicious hackers.
Real estate franchises are now requiring their agencies to purchase cyber insurance because of the increasing cyber risk for agencies over the last few years. Get Kentucky real estate cyber insurance options today!
General Liability Insurance
Prefer to have 1 insurance agent for all of your liability insurance?
No one wants to have an insurance agent for each individual type of insurance coverage. That is one of the reasons our team can also work with your firm to find general liability coverage as well as E&O and cyber. Most E&O policies and franchises require firms to carry general liability, and it is standard for businesses of all types to have this policy in place. Just like E&O and cyber, not all policies are the same. Our team will help you review your options to find the strongest and most affordable option.
