Property Managers Errors of Omissions Insurance Requirements and Needs

If you’ve been entrusted as a property manager, someone is placing a great deal of trust in you and your abilities. In many cases, you will be responsible for overseeing and managing property and assets, which are owned by more than a single client. Within your management contract, your responsibilities are extended even further. In a sense, you will become a “bailee” and will be given custody of the property and paid for the duration. With this immense responsibility on your back, it is essential to protect yourself from legal action with a Property managers E&O Insurance policy in the event of something going wrong.

property management insurance

There are many different ways to protect your self, as a property manager. Most will agree that errors and omissions is an absolute necessity.

What are some of the risks faced by property managers? You will find a list of potential complications below.

  • You could be sued for loss of property
  • Document loss
  • Dispute over security deposits
  • Conflicts regarding repairs and damages

Unfortunately, a relationship between a property manager and a renter can sour very easily. If that happens, a renter may find anyway possible to inflict pain upon the manager and their company. This is why you as a property managers must go above and beyond to keep your companies protected with errors and omissions insurance.

About E&O Insurance

When it comes down to it, all property managers need to obtain errors and omissions insurance! This insurance provides the business and professional with protection, in case they’re threatened with legal action, due to negligence. This type of insurance is incredibly broad and covers an array of problems. As a property manager, a simple mistake could easily escalate and the client could easily take action. Although the insurance can be obtained for your own benefit, it is sometimes a requirement, which has been set forth within your management contract.

When attempting to obtain E&O insurance, you should remember that the approximately 75% of insurance agents in Canada only specialize in home and auto insurance. With this in mind, it is of the utmost importance that you hire a broker that has expertise and experience, within the E&O niche.

house model for property management

Your Needs

As a property manager, your sole responsibility and expertise is managing the property, within your grasp. You likely have very little experience purchasing insurance and we understand that. Still, it is imperative to make sure that you enter into an insurance contract, which has been negotiated in an honest and fair manner. When attempting to figure out precisely how much coverage you need, you should understand the costs involved with a legal dispute. The insurance is also responsible for covering legal costs and judgments made against you, as well as court costs. Obtaining a sufficient amount of insurance, which will be able to cover these costs in full along with a sufficient coverage limit, is highly recommended.

Your clients may also insist that you obtain Property Manager Errors and Omissions Insurance, before they enter into business with you. The insurance should be obtained before you begin managing the property and the coverage should be enough to cover the costs of legal action. Property manages may also need to obtain general liability insurance to cover things not generally covered by E&O insurance.

Your Options

Now that you’ve familiarized yourself with the paramount importance of E&O insurance, you should get yourself covered right away. There are numerous ways to do this. You can simply request a quote or give LiabilityCover a call at 1888-480-7677! We provide this type of insurance and our prices are unbeatable.

Other professions we provide E&O insurance to:

Accountants
Advertising
Alternative Energy
Architects & Engineers
Architectural/Engineering technicians and technologists
Appraisers
Attorneys
Bookkeepers
Broadcasters
Building Designers
Business Consultant
Chiropodists
Civil engineers
Collection Agencies
Consultants
Contractors for all specializations
Commercial General Liability Insurance
Chiropractors
Directors and Officers
Easyline
Employment Agencies/Recruiters
Engineers
Environmental Engineers
Energy Audits & Assessments
Event Organizer/Planner
Foreign Legal Consultants
Holistic Professional
Home Inspectors
Information Technology
Immigration Consultants
Interior Designers
IT Contractor
IT Specialist/Technician/Programmer
Independent Contractor
Product Designers
Professionals Liability
Professional Organizer
Lawyer’s Excess Professional Liability
Management Consultants
Medical Professionals (Malpractice Insurance)
Medical Students (Malpractice Insurance)
Multimedia designers
Mortgage Brokers
Neuropathology
New Media
Occupational Health and Safety Consultants
Quality Control Consultants
Paralegals
Placement Agencies
Podiatric
Process Servers
Private Investigators
Project Managers
Property Managers
Publishers and Printers
Recruitment and Employment Agency
Recruitment Consultants
Safety Engineers
Service Organizations
Solar & Wind Farm Engineers & Consultants
Structural Engineers
Sub Contractor
Surveyors
Therapist Professionals
Traditional Chinese Medicine
Fitness Trainers
Travel Agencies
Travel Agents, Tour Operators
Excess & Umbrella Liability
Web-Site Designers
Workplace Engineers & Consultants