E&O Insurance for Real Estate Appraisers

Hirsch Insurance Brokerage specializes in one type of insurance coverage:  E&O Insurance. While we can help you with other lines of insurance, our agency has spent years helping individuals and business owners alike limit their risk and have access to the best insurance coverage available. One of those coverages is for Errors & Omissions (E&O) Insurance for Real Estate Appraisers in Texas. Also, commonly referred to as Professional Liability Insurance for Real Estate Appraisers.

By the nature of your business, you’re susceptible to an errors and omissions lawsuit so going without it is simply not an option. Protect your business with an E&O policy that protects your business, your reputation and your personal finances.

Hirsch Insurance Brokerage can provide Real Estate Appraisers for both commercial and residential properties with the right insurance policy.

E&O Insurance can protect your Real Estate Appraiser business from a claim such as:

  • Improperly assessing the value of a property which in turn causes a financial loss to the buyer of a property, seller or the lender.
  • Failure to provide “professional” services. This is a broad definition and changes with the situation.
  • Providing a client with incorrect information, mistakes in your service or omission of information that causes a client to lose money.

Here are some examples when a Real Estate Agent or Broker may need E&O Insurance:

  • Property appraised for $252,000.  A retrospective review says it should have in between $225,000 and $232,000.  While the difference is not enormous the lender maintains that it would not have made the loan in the first place, if the appraisal had not supported the value of the loan.  Now in foreclosure, the claimant is seeking relief for considerably more than the $20,000 or $25,000.
  • Appraiser fails to disclose the existence of land use restriction that severely reduced the value of the property, and also failed to use the proper appraisal form or to disclose that the structure was a manufactured home.  Claimant files suit.
  • A home buyer purchases a home with a mortgage and buys the home during a peak market.  The home buyer later tries to sell the home after home prices have softened and cannot regain their investment.  Home buyer sues the appraiser for the original “over valuation”.

Sample Policy features and benefits we can include, but not limited to:

  • A-“ Rated or better, admitted carrier
  • Hard to place risks available (claims history)
  • Network & Information security offense coverage
  • Duty to Defend
  • Broad definition of Named Insured. (Including employees, officers, owners, subcontractors, and the entity itself).
  • Broad definition of Professional Services (no exclusion for reviews, measurements, photographs, and specific types of appraisals—vacant land, etc.)
  • Premises Liability Sub-Limit (bodily injury and property damage during the on-site review of the property).
  • Optional Appraisal Management Company endorsement.
  • Loss of Earnings
  • Subpoena Expense Benefit
  • Sub-Limits for Disciplinary Proceedings and Subpoena Assistance.
  • Generous Extended Reporting options (one to five years).  Plus—Retirement Extended Reporting for qualified insureds at no additional premium.
  • Pre-claims Assistance Hotline

It is important to work closely with your insurance agent at Hirsch Insurance Brokerage to identify the correct insurance coverage your appraiser business needs.

Additional insurance coverage is available for Real Estate Appraisers such as:

  • General Liability Insurance – coverage for products, services, property damage or bodily injury caused by your or a worker.
  • Workers Compensation Insurance – provides employees with income replacement and medical benefits if they are injured while performing duties of their job.
  • Commercial Auto Insurance – provides insurance for your vehicle while it is being used for commercial or business related purposes. If your business owns a vehicle, you need this coverage, or if you’re using a personal vehicle for business purposes, you may need this coverage.

Hirsch Insurance Brokerage is an independently owned insurance brokerage in Houston, TX that specializes in professional liability insurance (E&O Insurance) and related products on a national basis. Our executives have a wealth of experience working in professional liability. You will speak directly with someone who is experienced in professional liability insurance and will work with you to obtain the best options for your business related needs.