April 12, 2023 – Errors and Omissions Q&A

On Wednesday, April 12, we were joined by Leslie Howatt, Executive Officer of the Real Estate Errors and Omissions Insurance Corporation, Amy Peck, Partner at Whitelaw Twining, and Rob McLeod of Axis Insurance. The panel walked through the details of the claim process, discussed additional insurance options, and answered your questions.

Session slide deck (E&O)
Session slide deck (Axis)

The following questions were asked but due to time constraints were not answered during the session. Answers are closed below:

Do the licensed salespeople get a copy of the E&O policy if they have to pay premiums?Yes, every licensee receives the March Risk Report by email and it includes a link to the Indemnity Plan each year. The Indemnity Plan can be downloaded or printed out from the website. The password for the website is “eno.”
Please touch on the coverage (or lack thereof) in relation to property management activities. Property management licensees are covered under the Indemnity Plan. The terms of coverage and limits of coverage are the same for all licensees. There are some exclusions to coverage that property managers should be aware of including Exclusion 14 (a claim pursuant to the Residential Tenancy Act), Exclusion 12 (a claim relating to or arising out of the failure to effect or maintain adequate insurance) and Exclusion 2 (bodily injury).
Commercial General Liability policies will provide coverage for bodily injury claims against property managers so it is important for brokerages doing property management to have such policies in place. Commercial property managers should also ensure that they are named as additional insureds on their commercial client’s policy.
Can you explain the decision for a need to have a property management license to manage their own properties for a PREC? Will this also change for trading services in the future as well?This question should be directed to the BC Financial Services Authority (BCFSA), the regulator of real estate licensees. BCFSA contact information can be found here.
BFCSA defence has been mentioned – would the insurance also cover defence for real estate boards?
For more information, please contact Rob McLeod at Axis Insurance by emailing [email protected].

Most Recent

Past Sessions

November 1, 2023 – Managing Brokers Policies and Procedures Manual Template & Standard Forms Launch

On Wednesday, November 1, 2023, we were joined by Jim McCaughan, Professional Services Support Advisor at BCREA, and Ryan DeLuca, Managing Director at 25th Hour Regulatory Consulting. Jim provided an informative overview of BCREA’s November 2023 Standard Forms Launch, including a summary of the forms change process, standard forms resources, a synopsis of the standard forms launch itself, and more. Ryan gave an invaluable presentation on topics such as why brokerages need a policies and procedures manual, things to consider when creating the manual, sections to include in the manual, best practices, and more.

Session slide deck (25th Hour Regulatory Consulting)
Session slide deck (BCREA)

Resources:

BCREA Standard Forms Pre-Launch Package
BCREA Policies & Procedures Template
- Please note clicking on the Managing Brokers Policies and Procedures Manual Template link above will directly download a Word document that is not viewable on your device until downloaded.
BCREA Standard Forms email address: [email protected]
Ryan DeLuca – BCREA Managing Brokers’ Conference Speaker Video
BCREA Managing Broker Support Line:
- Lower Mainland: 604-520-9440
- Toll-Free: 1-844-414-8655
- Email: [email protected]

The views expressed in these presentations are those of the speakers and do not reflect the views of BCREA or its member boards. Please note, the content of these presentations was current as of the date of each session and we cannot guarantee the accuracy of information provided in past sessions.