Colorado

Enroll or Renew

Thank you for considering our program. If you have questions about the program or how to purchase coverage, feel free to contact us or view our frequently asked questions. Please note we CANNOT accept any payment information over the phone.

NOTICE:This policy is a CLAIMS-MADE-AND-REPORTED policy and subject to its provisions, applies only to a claim first made during the policy period. No coverage exists for claims first made after the policy period unless, and to the extent, the extended reporting period applies.

January 1, 2024 to January 1, 2025 Policy Period ONLINE NOW AVAILABLE!

Enroll Online: 
Enroll or Renew

Enroll by Mail– Mail your completed form with applicable premium by check or money order (payable to RISC) to either address below:

Individual Licensee Coverage

• Enrollment Form: Purchase coverage to be effective January 1*

January 1, 2023 to January 1, 2024 Policy Period

Individual Licensee Coverage

• Prorated Enrollment Form: Purchase coverage to be effective after January 1*
• Endorsement Request Form: Request to add an endorsement to an individual policy if you already have insurance through the group policy. (If you have not yet purchased insurance through the group policy, you can purchase endorsements during enrollment.)

*IMPORTANT NOTICE ABOUT GAPS BETWEEN POLICY PERIODS AND LOSS OF PRIOR ACTS COVERAGE: If you have a break between the end of one policy period and the beginning of the next, you will lose prior acts coverage. The group policy does not apply to claims concerning professional services performed before your retroactive date (the date from which you have maintained continuous real estate E&O insurance). Therefore, if you have a gap in coverage, you will lose any previously-established retroactive date and your new retroactive date will be the effective date of the new policy. The new policy will not apply to claims involving professional services performed prior to the new policy period, even if coverage was in place at the time of the professional services and again when the claim is made. A break in coverage while you have an active license also violates state law and may result in regulatory penalties and fines. To request to backdate coverage up to 90 days, use the Backdate Request Form. Even if your coverage is backdated to January 1, this procedure does not cure failure to comply with state law, so you may still be subject to state regulatory penalties and fines. Always pay your premium on time to avoid a break in coverage, protect yourself from uncovered claims and avoid penalties and fines.

IMPORTANT NOTICE:
The program referenced herein is underwritten by Continental Casualty Company, a CNA insurance company. This information is for illustrative purposes only and is not a contract. It is intended to provide a general overview of the products and services offered. Only the applicable policy can provide the actual terms, coverages, amounts, conditions, and exclusions, which may be subject to change without notice. In the event of a claim, the nature and extent of coverage is determined based upon the claim’s facts, circumstances, and allegations and application of the relevant policy’s terms, conditions, and exclusions. The E&O program described herein is only available in Colorado. CNA is a registered trademark of CNA Financial Corporation. Copyright © CNA. All rights reserved.

Why Choose RISC

Over $26 Million in defense costs and damages have been incurred as of August 31, 2016 since RISC began administering the Colorado real estate state group program in 2004. RISC and the carrier share a commitment to their insureds and providing valuable coverage to Colorado licensees. When shopping for insurance coverage it’s important to ask about the company’s experience and paid claims in Colorado. If a company is charging a very low amount, you may find out the carrier doesn’t provide much coverage or pay many claims.

The state group program offers affordable E&O insurance to each and every licensee by spreading 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 premiums may cost thousands of dollars and some licensees report being unable to obtain insurance at any price.

Experience – The Rice family and their colleagues have specialized in state-mandated real estate E&O programs since 1989. We provide the group policies in all 15 states that have group programs and require real estate licensees to maintain insurance.

Consistency – We handle all aspects of the program, providing ease and consistency throughout the entire process, from obtaining coverage to claims resolution. With other providers, you may have to contact different companies for different issues, such as purchasing coverage and reporting claims.

Customer Service – We pride ourselves on excellent customer service and the positive remarks we receive from insureds, regulators, educators, attorneys, and others.

Claims Handling – Even if you don’t think a claim will be made against you, how a company responds when a claim is made is important, because anyone can be the victim of a frivolous claim or make an honest mistake. 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.

Our adjusters specialize in real estate E&O claims. Being faced with a claim is often frustrating. Our adjusters handle each claim with knowledge and understanding.

Dedication – You can be confident we will be here for you after you purchase coverage. Unlike some providers, we won’t cancel your policy or refuse to renew your coverage simply because you have a claim. Even the most careful professional may make an honest mistake or be the victim of a frivolous claim, and we are here to help if it happens to you.

IMPORTANT NOTICE: The program referenced herein is underwritten by Continental Casualty Company, a CNA insurance company. This information is for illustrative purposes only and is not a contract. It is intended to provide a general overview of the products and services offered. Only the applicable policy can provide the actual terms, coverages, amounts, conditions, and exclusions, which may be subject to change without notice. In the event of a claim, the nature and extent of coverage is determined based upon the claim’s facts, circumstances, and allegations and application of the relevant policy’s terms, conditions, and exclusions. The E&O program described herein is only available in Colorado. CNA is a registered trademark of CNA Financial Corporation. Copyright © CNA. All rights reserved.

Pricing & Available Coverage

Limits of Liability, January 1, 2023 to January 1, 2024 – $390
$100,000 per Claim / $300,000 aggregate (Damages and Claim Expenses, Combined)
$25,000 per Claim / $25,000 aggregate for Claim Expenses. (Claim Expenses apply to this limit first then deplete the $100,000 / $300,000 limits).
$1,000 Damage deductible. (Only one deductible applies if a Claim involves multiple Mortgage Loan Originators with the same firm.)

• February – $358
• March – $325
• April – $293
• May – $260
• June – $228
• July – $195
• August – $163
• September – $130
• October – $98
• November – $65
• December – $33

First Dollar Defense – Automatically included
Applies WITH NO CONDITIONS to all covered Claims

Defense Costs  – Automatically included
The carrier will pay up to $25,000 (per Claim and in the aggregate) for defense costs in connection with Claims covered under the basic policy limits. Payments for Claim Expenses apply to this limit first, then reduce the $100,000 per Claim / $300,000 aggregate limits which also apply to Damage payments.

Retroactive / Prior Acts Coverage   – Automatically included
Insures prior transactions, provided you have maintained continuous mortgage loan originator E&O insurance (from any provider) from the date of the Professional Services to the date the Claim arises. Some policies do not apply to Professional Services performed while the insured was with a different carrier or associated with a different firm.

Regulatory Complaints Coverage – $35
$2,500 per regulatory complaint / $5,000 aggregate (defense costs)

Subpoena Assistance – Automatically included
Up to $2,500 (maximum during the policy period) in attorneys’ fees to respond to a subpoena arising out of covered Professional Services.

Reverse Mortgage Loan Transaction Endorsement – Two Options
Provides coverage for Claims involving Professional Services relating to a Reverse Mortgage Loan, as defined in the policy.

• $10,000 Damage Deductible for reverse mortgage loan transaction Claims – $1,450
• $20,000 Damage Deductible for reverse mortgage loan transaction Claims – $1,190

Territory – Subject to Policy Provisions       For Licensees domiciled in Colorado, the policy applies to Professional Services provided anywhere in the world, provided the Licensee is duly licensed in the state where services were provided, and the services would require a mortgage loan originator license had they been performed in Colorado.  Licensees not actually domiciled in Colorado are insured only for Professional Services rendered in Colorado.

IMPORTANT NOTICE:
The program referenced herein is underwritten by Continental Casualty Company, a CNA insurance company. This information is for illustrative purposes only and is not a contract. It is intended to provide a general overview of the products and services offered. Only the applicable policy can provide the actual terms, coverages, amounts, conditions, and exclusions, which may be subject to change without notice. In the event of a claim, the nature and extent of coverage is determined based upon the claim’s facts, circumstances, and allegations and application of the relevant policy’s terms, conditions, and exclusions. The E&O program described herein is only available in Colorado. CNA is a registered trademark of CNA Financial Corporation. Copyright © CNA. All rights reserved.

Comparing Policies: What to Consider

What to Consider When Selecting an E&O Policy

Always Review the Actual Policy Provisions – The most accurate representation of what a policy covers is the policy itself. Some questions you might want to consider:

Does the basic policy provide first dollar defense?

RISC: Yes. There is no deductible for defense costs.

WATCH OUT FOR: Stringent requirements that must be followed to qualify for first dollar defense.

Does the basic policy offer unlimited defense costs?

RISC: Yes. There is no limit on the amount of defense costs under the basic policy (defense costs are limited under the discrimination and escrow sublimits; however, traditional E&O policies provide no coverage at all for these claims).

WATCH OUT FOR: Caps on the amount of defense costs an insurer will pay.

Does the basic policy insure transactions you do for relatives?

RISC: Yes. Our group policy applies to claims involving services performed for your parents; grandparents; siblings; aunts; uncles; cousins; children; and your spouse’s parents, grandparents, siblings, and children.

It also applies to services performed for a spouse or domestic partner who has 25% or less interest in the property.

If your spouse or domestic partner has more than a 25% interest in residential property you are considering listing or selling, contact us to inquire about our Residential Personal Interest Coverage Endorsement.

WATCH OUT FOR: Policies that exclude coverage for claims arising from transactions involving parents; grandparents; siblings; aunts; uncles; cousins; children; or your spouse’s parents, grandparents, siblings, or children. This is important, since buyers and sellers often rely on a trusted relative with a real estate license.

Does the policy insure claims relating to all types of real property?

RISC: Yes. Our policy insures claims relating to professional services, regardless of the type of property involved.

WATCH OUT FOR: Limits on the type of property coverage applies to or additional premium for property other than residential. Even if you currently handle only residential transactions, consider whether you are willing to forgo an opportunity to work with commercial property or farm land or to risk not having coverage for a claim resulting from the transaction.

Does the policy insure your firm for its vicarious liability for your professional services?

RISC: Yes. Our policy insures covered claims alleging your firm’s vicarious liability for negligence in your professional services.

WATCH OUT FOR: Policies issued to individual licensees that do not provide coverage for the firm’s vicarious liability for the licensee’s actions, which may leave the firm uncovered in the event of a claim.

Do you have a voice in choosing an attorney?

RISC: Yes. Our policy states that defense counsel must be mutually agreeable to the insured and the carrier.

WATCH OUT FOR: Insurance providers who will not consider your request for counsel or who will not provide you several attorneys to choose from.

Are insureds satisfied with the provider’s service?

Yes. Below are excerpts from actual emails we have received from Colorado insureds:

“I’ve never seen better service than what you provide for us each year. I ask for something and it’s always answered by the end of the day. I wish all companies had your work ethic. I know I’m not the only one asking many questions and you’re always there…. Thank you.” —B.F. (CO licensee)

“My sincere thanks to [the RISC adjuster] for her professional, timely, and compassionate handling of my situation. I have never gone through this… but at this point, I feel that I am in excellent hands with [local defense counsel] and his firm.” —G.R. (CO licensee)

“[T]hank you for going the extra mile.” —M.C. (CO licensee)

WOW!!!!! I am completely blown away by how quickly and efficiently you [provide service]. You and your team are truly the best! Insurance providers who do not consider you their top priority.” — T.J. (Director of HR and licensing of large CO firm)

WATCH OUT FOR: Insurance providers who do not consider you their top priority.

IMPORTANT NOTICE: The program referenced herein is underwritten by Continental Casualty Company, a CNA insurance company. This information is for illustrative purposes only and is not a contract. It is intended to provide a general overview of the products and services offered. Only the applicable policy can provide the actual terms, coverages, amounts, conditions, and exclusions, which may be subject to change without notice. In the event of a claim, the nature and extent of coverage is determined based upon the claim’s facts, circumstances, and allegations and application of the relevant policy’s terms, conditions, and exclusions. The E&O program described herein is only available in Colorado. CNA is a registered trademark of CNA Financial Corporation. Copyright © CNA. All rights reserved.

Sample Policies and Endorsements

1. 2024 Sample Policy  

2. 2024 Optional Coverages  

3. 2023 Sample Policy  

4. 2023 Optional Coverages  

5. 2023 Renewal Notice  

6. Claims