We all make an occasional mistake, don't we? Well if the person making the mistake is the real estate appraiser, it can cost the appraiser and buyers a lot of money to fix. Unluckily for the appraiser, the fault will lie with him if the homeowner can prove that the error was his fault.
In order to protect yourself from the inevitable mistakes that you will make as a home appraiser, you need to ensure that you purchase errors and omissions insurance for yourself. This will prevent financial ruin should a serious mistake occur during the appraisal process.
While it is understood that everyone is going to make a mistake, home appraisers know better than anyone that their mistakes can be very costly. That is why errors and omissions insurance is such a valuable addition to any appraiser's business. What's more, a good policy will cover unlimited appraisals and will cover both residential and commercial appraisals. Knowing what your E&O insurance covers is just as important as purchasing the coverage yourself.
No one wants to have a lawsuit filed against them, no matter what their business happens to be. However, not everyone has the option of carrying insurance to protect them from mistakes.
Home appraisers are fortunate enough to have the option to buy errors and omission insurance to protect themselves from mistakes. It's also worthy of not that most reputable mortgage companies require that appraisers who do work for them have this type of insurance.
Being a home appraiser can be a very lucrative business, however, without errors and omissions insurance you will find very quickly that you will either have a hard time getting a job or that you will be paying for errors out of pocket. Even though you will have to pay a deductible if you are sued for an error in your appraisal, it is much less than the cost that occurs if you pay for it all yourself.
It is critical to protect your appraisal business by buying the best kind of insurance to guard against your mistakes or what others accuse you of being your mistakes. Your business will benefit greatly.
In order to protect yourself from the inevitable mistakes that you will make as a home appraiser, you need to ensure that you purchase errors and omissions insurance for yourself. This will prevent financial ruin should a serious mistake occur during the appraisal process.
While it is understood that everyone is going to make a mistake, home appraisers know better than anyone that their mistakes can be very costly. That is why errors and omissions insurance is such a valuable addition to any appraiser's business. What's more, a good policy will cover unlimited appraisals and will cover both residential and commercial appraisals. Knowing what your E&O insurance covers is just as important as purchasing the coverage yourself.
No one wants to have a lawsuit filed against them, no matter what their business happens to be. However, not everyone has the option of carrying insurance to protect them from mistakes.
Home appraisers are fortunate enough to have the option to buy errors and omission insurance to protect themselves from mistakes. It's also worthy of not that most reputable mortgage companies require that appraisers who do work for them have this type of insurance.
Being a home appraiser can be a very lucrative business, however, without errors and omissions insurance you will find very quickly that you will either have a hard time getting a job or that you will be paying for errors out of pocket. Even though you will have to pay a deductible if you are sued for an error in your appraisal, it is much less than the cost that occurs if you pay for it all yourself.
It is critical to protect your appraisal business by buying the best kind of insurance to guard against your mistakes or what others accuse you of being your mistakes. Your business will benefit greatly.
About the Author:
Home appraisers need to take extra precaution with their businesses. Common mistakes could potentially cost serious time and money if home buyers or sellers elect to file a lawsuit. Do what you can to insure against these lawsuits with Errors and Omissions Insurance, as it could save your business if you do.
