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Do sales associates working for a big firm like Keller Williams need to have E and O insurance for themselves? Or does the firm provide it for them? How much would I usually expect to pay monthly for it?
Do sales associates working for a big firm like Keller Williams need to have E and O insurance for themselves? Or does the firm provide it for them? How much would I usually expect to pay monthly for it?
Each firm usually has their own policy. I pay $99/yr under my current company's policy. With another company I paid $100/yr.
I believe our current E & O runs about $30 a month, billed to us monthly.
Also, when my kids became teens and started driving i started carrying a $2Mil Umbrella policy. It's still in place years later and a wise investment for anyone in business. It is only a couple of hundred a year.
I believe our current E & O runs about $30 a month, billed to us monthly.
Also, when my kids became teens and started driving i started carrying a $2Mil Umbrella policy. It's still in place years later and a wise investment for anyone in business. It is only a couple of hundred a year.
Would you mind me asking which brokerage firm you both work with?
You're covered under the brokerage's E&O. Unless you decide to do something else on your own, like property management, you don't have to have your own policy.
Quote:
Originally Posted by armenh
Do sales associates working for a big firm like Keller Williams need to have E and O insurance for themselves? Or does the firm provide it for them? How much would I usually expect to pay monthly for it?
$99/yr??? NICE!! I was with one brokerage that charged us $599 per year. Obviously they were sued a lot or pocketing the extra money because we weren't savvy enough to know E&O doesn't cost that much.
Quote:
Originally Posted by Elke Mariotti
Each firm usually has their own policy. I pay $99/yr under my current company's policy. With another company I paid $100/yr.
$99/yr??? NICE!! I was with one brokerage that charged us $599 per year. Obviously they were sued a lot or pocketing the extra money because we weren't savvy enough to know E&O doesn't cost that much.
Our corporate folks are the ones who arrange ours and it's standard pricing for all agents.
Never being involved in the details, I wonder if it is like other insurance and has different coverage amounts, deductibles, etc that adjusts the prices of all other types of insurance?
Maybe that's why one company only pays $99 a year while another pays $599 a year ? You get what you pay for possibly ?
Depends on your area. Agents in the office where I work all are responsible to obtain their own E&O insurance. There is a recommended company that the Realtor Association contracts with for a discount, but you can use whoever you want.
The agents are billed annually in October, and it costs approximately $400 a year, I believe. The broker's is slightly more, plus the company itself has a policy for about $200 a year.
That $400 a year ballpark is pretty standard for agents in my area. Some brokers may require more or less of the additional coverages. I think the base coverage is about $350, but doesn't cover some things that it really should, so the broker at my company requires a couple of "extras".
I can't imagine a $99 a year policy being inclusive enough, unless it was a huge real estate company (like Re/Max)that required all agents to use it, thus getting a huge bulk deal.
My company has E&O insurance that covers my broker in charge and myself.
The last company I worked for I had to pay $50.00 per transaction for the E&O insurance. I figured it out one day, she was making a BUNDLE off of all the closed transactions just on the E&O insurance, lol.
My policy right now cost appx $400 per year, that's for $500K of coverage. There are $250K coverages and $1K coverages so perhaps that is the difference in the pricing quoted above?
Location: Long Beach, MS--Harrison County, Mississippi Gulf Coast
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Real Estate Agents in Mississippi have to carry their own E&O insurance, whether they pay it outright or through a broker--each agent must be covered.
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