Professional inspectors of real estate and other properties must be prepared for negligence suits by getting appraiser E & O insurance. Accuracy is prized above all else in this field as errors may translate to huge losses and charges could be filed in court as a result. Sometimes even without any merit clients could sue just to make money.
Whatever the reason for the charges, putting up a legal defense will cost a lot whether you win or not. Appraiser E &O insurance will take care of expenses up to a predetermined amount for lawyer’s fees and claims payment, if needed. This way you don’t have to suddenly shell out cash which might wipe out your savings and get you into debt. The financial protection of an insurance policy will ensure that you are always in a good position if you have to defend your name.
This insurance must cover the whole area that you work in. If the properties you assess are within a limited region and you do not wish to expand, then coverage over that is all that’s needed. However, it is more of an advantage to get nationwide or even worldwide coverage so you can have peace of mind as you venture into new territories. You and all those working in the same company should have an appropriate policy.
Some appraise E & O insurance plans deal specifically with home inspectors and related professions. They will be your best bet in getting just the right coverage needed that considers all pertinent state and federal laws.