When your business is assisting others when they want to buy or sell real estate, your risk management plan needs to be robust enough to handle every aspect of your profession. Since you work with high-value investments that can powerfully affect the fortunes of individuals and businesses who invest in the property, your professional insurance needs to be built around real estate risk management. A more general professional liability plan is not likely to adequately cover the unique liability scenarios you’re likely to encounter. For a more cost-effective and specific form of coverage, you need to work with a professional insurance provider who makes real estate agents and brokers the center of attention.
Common Real Estate Risks
Failing to disclose relevant property details in compliance with local, state, and federal real estate law is one of the biggest avenues of risk, and you can wind up liable for the omission even in the case of a mistake if the information doesn’t make it to the relevant parties. Other risks faced by real estate agents include liability related to travel to and from properties when driving clients, as well as public liability coverage for any walk-in offices operated by the agent. Being an individual’s first point of contact with the real estate market is exciting, but it requires a careful eye on your risks to make the business work.