TY - JOUR
T1 - Errors Omissions Insurance
T2 - The Experience of States with Mandatory Programs for Real Estate Licensees
AU - Larsen, James E.
AU - Coleman, Joseph
N1 - Research Report Submitted to the: Ohio Department of Commerce, Division of Real Estate & Professional Licensing
PY - 2005
Y1 - 2005
N2 - Errors and omissions insurance (E&O) is a mechanism to transfer financial risk, resulting from honest mistakes or negligence committed by a service provider, from both the service provider and the consumer to an insurance company. Real estate licensees in 38 states are free to obtain this coverage if they so desire, but 12 states currently require their active licensees to have E&O. The purpose of this study is to present information that policy-makers should consider in deciding whether to implement a mandatory E&O program in Ohio. Survey data collected from the Real Estate Commission (REC) in the mandated states, 201 REALTORS® operating in those states, survey data collected by the Ohio Association of REALTORS®, as well as empirical data collected from RISC, the preeminent mandatory E&O contract administrator, is presented and analyzed.
AB - Errors and omissions insurance (E&O) is a mechanism to transfer financial risk, resulting from honest mistakes or negligence committed by a service provider, from both the service provider and the consumer to an insurance company. Real estate licensees in 38 states are free to obtain this coverage if they so desire, but 12 states currently require their active licensees to have E&O. The purpose of this study is to present information that policy-makers should consider in deciding whether to implement a mandatory E&O program in Ohio. Survey data collected from the Real Estate Commission (REC) in the mandated states, 201 REALTORS® operating in those states, survey data collected by the Ohio Association of REALTORS®, as well as empirical data collected from RISC, the preeminent mandatory E&O contract administrator, is presented and analyzed.
UR - https://corescholar.libraries.wright.edu/finance/6
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U2 - 10.1080/10835547.2005.12091610
DO - 10.1080/10835547.2005.12091610
M3 - Article
SN - 1521-4842
VL - 8
SP - 61
EP - 81
JO - Journal of Real Estate Practice and Education
JF - Journal of Real Estate Practice and Education
IS - 1
ER -