In any business, it is important to be able to cut down your overhead costs as much as possible. One area where people think they can save is on insurance. There are policies like errors and omissions real estate professionals need more than they may realize. It might seem unnecessary if you think you are a careful agent with no history of being sued. Errors can happen with any transaction, however, and even accusations can be damaging.
Any Transaction, Anywhere
There is so much paperwork involved with real estate that it is not unheard of for mistakes or errors to occur. Something can go wrong even when advising a client. Although simple errors can be a nuisance that do not cause huge problems, errors that affect your clients’ money can have dire consequences. Without an E&O policy, you could end up fixing that financial error on your own.
Even Accusations Can be Damaging
An error doesn’t necessarily have to occur in order to bring you to court. If a client thinks they have been wronged and decides to sue, you still need to somehow cover the costs of that suit—even if you are found not at fault.
There are some policies like errors and omissions real estate professionals need. Even if you think you are a meticulous agent who doesn’t make mistakes, look into an E&O policy. There can be a certain amount of comfort in knowing that it’s there if you should need it.