Why You As A Real Estate Broker and Agent Need Real Estate Risk Management, Inc. Coverage

During a dispute the Real Estate Broker and Agent would normally seek to retain an attorney at $200.00 to $400.00 per hour. However, as a member of our Total Protection System these bills would be paid for according to the listed plan benefits.

When a threat of suit arises, Real Estate Risk Management, Inc. pays for additional legal services, which are designed to stop the threat and eliminate the possibility of a claim on your E&O policy.

If this matter goes to mediation, Real Estate Risk Management, Inc. pays for up to five hours of an attorney’s representation, or handled in house with RERM's certified mediators.

At this point, Real Estate Risk Management, Inc. spends on average $2,300.00 per dispute and threat of suit. The Broker and Agent would have paid this if they did not have our coverage. Furthermore, Real Estate Risk Management, Inc.’s success rate at completely eliminating potential lawsuits and subsequent claims on your E&O policy is at an amazing 96%.

When the Broker and Agent are named in a lawsuit, Real Estate Risk Management, Inc. pays legal bills and court costs to meet the E&O deductible up to $10,000.00 per lawsuit. (Note: The California Association of Realtors Risk Management Institute estimates the average Real Estate Agent will be sued twice during their career.)

If a broker and agent retained their own attorney all legal bills paid would not be credited to the E&O deductible.

Through the member dues paid to Real Estate Risk Management, Inc. many other legal services are provided.

Small Claims Court legal advice and counsel.
Board of Realtors complaint hearings advice and counsel.
Commission collection.
Zero deductible legal defense to all Federal or State Regulatory Agencies including but not limited to HUD, RESPA, EEOC, Dept. of Labor and the IRS.
Lawsuits excluded by the E&O insurance are covered up to your deductible in legal fees and court cost.
Personal Legal Protection for Personal property, IRS Audit defense, Motor Vehicle violations and all Disputes, Threats of suit, or Lawsuits.

All of these legal services are paid for because of the membership of thousands of Real Estate Brokers and Agents who are protected by Real Estate Risk Management, Inc. We provide legal protection for items the E&O cannot cover and without this coverage the Agent would have to pay their share of all the costs incurred. The Broker is ultimately responsible to pay the legal bills and the E&O deductible and then the Broker must then collect that amount from the Agent. However, the average Agent does not have this large sum of money, and this ultimately creates a huge problem between the Broker and the Agent.

We at Real Estate Risk Management, Inc. have found that it is only when a Real Estate office is unified that cost-effective legal protection is possible. Over the last decade we have seen the real human cost of Real Estate disputes, threats of suit, blackmail, extortion, mediation, arbitration, complaint hearings and lawsuits on a Broker and Agent. This includes the loss of up to two (2) months in productivity, the damage to your reputation, the stress and related health issues created, even to the emotional and mental problems caused by being drawn into the legal system.

Remember, increased claims and lawsuits can and will cause your E&O rates to go up, or they can even cause the cancellation of your coverage. Real Estate Risk Management, Inc. believes, "The art of the deal is stopping lawsuits, not paying for them.”

With or without your own attorney, a Broker or Agent cannot afford to go into a legal battle without Real Estate Risk Management, Inc. It does not make any practical or economic sense. Remember using your own private attorney absolutely will not work in conjunction with E&O insurance.

On a very positive note, our Buyer & Seller Legal Protection Plan Plus is the greatest listing tool in Real Estate and can make business happen plus build a strong referral base. Please call us for details.

Real Estate Risk Management, Inc. provides Real Estate Brokers and Agents with, “Legal Peace of Mind”. Our goal is to help you prosper by keeping you legally healthy and out of court so that you can continue to “Sell America’s Dream”.