Can I obtain my own Errors & Omissions Insurance (E&O) rather than pay the annual fee?
Our company E&O insurance policy covers not only the Designated Broker but all Shiloh Street agents at $1,000,000 per claim. For liability purposes, we require that all Shiloh Street agents be covered by our company E&O insurance policy rather than obtain one on their own. Common issues that would arise from having agents obtain their own E&O insurance would be a lapse in coverage, unpaid balances resulting in increased liability to the agent and the company or insufficient coverage. From a liability standpoint, it is recommended that agents be covered under their brokerages E&O policy (it’s also cheaper for the agent that way). All agents will be required to pay the annual E&O fee of $497 beginning 12 months after their joining date, no exceptions. We do shop our company E&O policy to ensure the lowest cost to our agents. We don’t try to make a profit from our annual fee. It’s only to cover the cost of the agent’s E&O insurance as well as the agent’s WA State worker’s compensation tax
