WHAT IS ERRORS AND OMISSIONS (E&O) INSURANCE?
Errors and Omissions Insurance is protection against negligent acts and/or omissions resulting in personal injury, bodily injury and/or property damage liability to a client. Specific examples for real estate include: Error: An MLS listing that has incorrect square footage without the sales associate’s knowledge. Omission: Similar to above, however, the sales associate is aware of the discrepancy and does not disclose the information. In either example, the buyer could sue the sales associate or the agency, and an E&O policy may provide protection.
