Do I need E&O Insurance

[Funky Obsolescence]

Hi. I contract a few times a year with an appraisal company. I've asked if I'm covered under their E&O Insurance. They say, "Yes". However, I'm wondering what to ask for (other than their word) to get confirmation that I am I'm covered for certain. If not I'll buy the insurance. Just don't want to risk losing what little $ I have if someone sues over an appraisal. Thoughts?

 

[Ariba]

Don't you carry E&O insurance for your other clients? Yes, get your own E&O insurance.

 

[glenn walker]

Hi. I contract a few times a year with an appraisal company. I've asked if I'm covered under their E&O Insurance. They say, "Yes". However, I'm wondering what to ask for (other than their word) to get confirmation that I am I'm covered for certain. If not I'll buy the insurance. Just don't want to risk losing what little $ I have if someone sues over an appraisal. Thoughts?

I would be suspicious as its the individual licensed appraiser who is covered under a E & O Policy . Even staff at Wells Fargo B of A have to carry their own policy BUT some do get reimbursed for the cost of the premium.

 

[Funky Obsolescence]

Thanks for the reply. Good to know. This is my only client. Definitely better to be safe than really really sorry.

 

[glenn walker]

Thanks for the reply. Good to know. This is my only client. Definitely better to be safe than really really sorry.

One thing I can tell you is if you get sued they will not be there to pay your defense

 

[DWiley]

When I owned a firm my E&O covered all my employees, but it would not cover a contractor. I never used contractors, so it was not a big deal to us - but I do recall that being specifically called out

 

[Tom D]

minimal policy is not that much. the expense is the attorney fees if it drags out.

 

[Funky Obsolescence]

You guys are great. Thanks for the responses!

 

[Dale Floyd]

An E&O firm policy, like we have, covers all appraisers - even contractors (although I don't have one anymore).

Of the three firms I've used, they gave us a separate page showing the appraisers covered under the firm policy.

If you need more info, just let me know.

 

[Tom4value]

Does the appraisal company sign your reports as a supervisory appraiser? If not, you are not covered.