Are You REALLY Protected by the State Group E&O Policy? YES!

The numbers speak for themselves:  Continental Casualty Company, a CNA company, (CNA) has paid over $16 Million in damages and defense costs on behalf of Colorado real estate licensees since January 1, 2004, when Rice Insurance Services Company, LLC (RISC) and CNA first began providing the Colorado Real Estate Commission’s group errors and omissions (E&O) program. 

What should I consider when comparing policies?

v How much has the insurance carrier paid out for Colorado real estate E&O claims in recent years?

CNA, the current carrier for the state group policy has paid over $16 Million in damages and defense costs on behalf of Colorado real estate licensees since January 1, 2004.

v How much real estate E&O insurance experience do the insurance provider and insurance carrier have?

The Rice family and their colleagues have specialized in mandated real estate E&O programs since 1989.  We provide group policies in 11 of the 13 states that require all active real estate licensees to maintain insurance and have a group program.  Real estate E&O is all we do, so we have developed specialized knowledge in this field. Our staff members collectively have more than 150 years of experience in this business, providing a valuable resource to our insureds.  We administer all aspects of the program, including policy issuance, policy administration, customer service, and claims handling.  We support you through the entire process, from purchasing a policy to resolving claims. 

CNA has more than 50 of years experience in E&O programs, including over 20 years of experience in real estate E&O.  CNA is the top provider of real estate liability insurance, delivering more than 100 years of experience, industry knowledge, and the financial strength to manage even the most complex risks. 

v How long has the insurance provider worked with their current insurance carrier?

We have partnered with CNA to provide real estate E&O programs for more than 10 years.  RISC and CNA take pride in providing consistent coverage and highly-praised claims handling for real estate licensees at reasonable prices.  Some people assume insurance companies look for reasons to deny coverage.  Our duty to find coverage where the policy supports it is our utmost concern.

v What does the policy cover?

The most accurate representation of what a policy covers is the policy itself.  Accordingly, we recommend you review a sample of any insurance policy that you are considering purchasing.  A sample copy of our policy is available on our website, www.risceo.com, along with information about specific policy features.  If you prefer, you may call us to request a sample policy and additional information about policy features.  If a carrier cannot provide you with a copy of its policy, then the policy may not be approved by the Colorado Division of Insurance. 

In addition to having our sample policy available to all licensees, we are happy to answer your questions.  Most insurance providers use one entity to sell the policy and another to handle claims.  Because we do both, the information we provide about the policy reflects how it will actually apply in the event of a claim.  Providers who do not administer claims may not know how the carrier actually applies the policy when a claim is made. 

v Why should I support the state group insurance program?

The state group program offers affordable real estate E&O insurance to each and every licensee.  This is only possible if enough licensees enroll in the group program to spread the risk over a large number of insureds.  Without the group program’s low premium, other carriers have no incentive to offer real estate E&O policies at affordable prices.  In states without a group program, real estate E&O insurance premiums may cost thousands of dollars and some licensees report being unable to obtain insurance at any price.