Sample Policies and Endorsements

1. 2024 Sample Policy

2. 2024 Optional Endorsements

3. 2024 Policy Features Flyer

4. Claims

5. Excess Coverage

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 against the insured and first reported to the insurance company during the individual policy period. No coverage exists for claims first made before or after the individual policy period unless, and to the extent, an extended reporting period applies.

January 1, 2024 to January 1, 2025 Policy Period –

ONLINE ENROLLMENT IS NOW AVAILABLE!

Enroll Online: Please Note that we now have a new online enrollment system. Unless you have made a purchase online since this site went live on October 3, 2016 you DO NOT have a login.

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

• Prorated Enrollment Form: Purchase coverage to be effective after January 1, 2024*
• 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.)

Optional Firm Licensee Coverage

• Prorated Enrollment Form:  Purchase Coverage to be effective after January 1, 2024*

*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.

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 Nebraska. CNA is a registered trademark of CNA Financial Corporation. Copyright © CNA. All rights reserved.

Why Choose RISC

RISC is pleased to be continuing to offer the Nebraska Real Estate Commission’s (NREC’s) real estate errors and omissions (E&O) program

Over $3.1 Million in defense costs and damages have been incurred by Continental Casualty Company (a CNA insurance company) on behalf of Nebraska licensees as of August 31, 2023. RISC and CNA share a commitment to their insureds to provide valuable coverage to Nebraska licensees. When shopping for insurance coverage, it’s important to ask about the company’s experience and paid claims in Nebraska. Payments on behalf of Nebraska licensees demonstrate a carrier’s commitment to its insureds.

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.

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 Nebraska. CNA is a registered trademark of CNA Financial Corporation. Copyright © CNA. All rights reserved.

Pricing & Available Coverage

Limits of Liability, January 1, 2024 to January 1, 2025 – $125
$100,000 per claim / $300,000 aggregate with $1,000 damage deductible.  (Only one deductible applies if a claim involves multiple licensees with the same firm.)

• February – $115
• March – $104
• April – $94
• May – $83
• June – $73
• July – $63
• August – $52
• September – $42
• October – $31
• November – $21
• December – $10

Increased Limits– Available for additional premium
Available Increased limits available to individual (not firm) licensees in the amounts of $250,000 per claim / $750,000 aggregate & $500,000 per claim / $1,000,000 aggregate.

Firm Excess Policies– Subject to underwriting approval
Firm excess policies (written by Continental Casualty Company) up to $3,000,000 limits available to firms whose licensees are all insured through the group program. In addition to traditional excess coverage, our excess program automatically includes these key features at no additional cost: (1) Environmental Hazards Claims Coverage sublimits of $100,0000 per claim and in the aggregate for covered claims alleging failure to advise of the existence of pollutants, asbestos, radon, or lead and (2) Discrimination Claims Coverage sublimits of $100,000 per claim and in the aggregate for covered claims alleging discrimination in the performance or failure to perform professional services (this is in addition to the discrimination claim sublimits provided in the underlying group program). All of the firm’s licensees must participate in the group program for the firm to qualify for an excess policy.

First Dollar Defense- Automatically included 
Applies WITH NO CONDITIONS to all covered claims Automatically included
Unlimited Defense Costs There is NO LIMIT on the amount of defense costs the carrier will pay in connection with claims covered under the basic policy limits. (There are limits on defense costs under the discrimination and lock box sublimits and the environmental and regulatory complaints endorsements, since those features are typically not offered for the standard program.)

Firm / Franchise Coverage– Automatically included 
Real estate firm and real estate franchisor included in the definition of insured for vicarious liability for covered claims. Automatically included

Retroactive / Prior Acts Coverage– Automatically included 
Insures prior transactions, provided you have maintained continuous real estate 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 real estate firm.

Discrimination /Fair Housing Coverage– Automatically included 
$50,000 per claim / $50,000 aggregate (damages and defense costs, combined).

Escrow / Earnest Money- Automatically included
Coverage $10,000 per claim / $20,000 aggregate (damages and defense costs, combined).

Environmental Endorsement- Automatically included
$10,000 per claim / $20,000 aggregate (damages and defense costs, combined)

Lock Box Coverage– Automatically included 
$100,000 per claim / $300,000 aggregate (damages) with no limit on defense costs.

Regulatory Complaints- Automatically Included
Coverage $5,000 per regulatory complaint / $5,000 aggregate (defense costs only)

Primary Residence Coverage– Automatically included 
Insures the sale or listing for sale of the insured licensee’s primary residence, under certain conditions.

Residential Personal Interest Coverage– Automatically included 
Insures the sale or listing of residential properties owned by the insured licensee (in addition to the primary residence), under certain conditions.

Subpoena Coverage– Automatically included 
Payment of unlimited attorneys’ fees to represent the insured in connection with a covered subpoena.

Security Breach Supplementary Payment Coverage- Automatically included
Payment Coverage Reimbursement up to $5,000 for costs incurred by your real estate firm to provide required notification to clients of a security breach when confidential commercial information or nonpublic personal information may have been disclosed or used in an unauthorized manner (up to a maximum of $5,000 per real estate firm, regardless of the number of licensees or incidents involved). This is not coverage for the licensee’s or licensee’s family’s personal identity theft risk, which is not a professional liability risk and which is usually offered to individuals by personal insurance policy providers and credit card companies.

Contingent Bodily Injury / Property Damage Coverage- $25
$10,000 per claim / $10,000 aggregate (damages and defense costs, combined) for claims arising out of professional services under certain conditions.

Appraisal Activities– $200
Insures activities as a properly credentialed real estate appraiser with no limitation on the amount of appraisal services provided. (Note, you must have an active real estate license to be eligible to purchase coverage under the group policy.)

Appraisal Trainee Endorsement- $200 per trainee
Insures specific appraiser trainees listed in the endorsement up to policy limits.

Property Management Activities– Automatically included 
The group policy insures specified leasing and property management services.

Conformity for Other States that Require Real Estate E&O Insurance- $15
A conformity endorsement is only needed if you are actively licensed in another state that mandates E&O coverage. If you are domiciled in Nebraska and have an active real estate license in Nebraska and another state that requires real estate E&O insurance, you may purchase a conformity endorsement to conform your coverage under the Nebraska policy to meet the other state’s requirements for professional services performed in that state.

Territory – Subject to Policy Provisions
If you are domiciled in Nebraska (either actually domiciled or considered to be domiciled by the policy provisions), the policy will insure professional services provided anywhere in the world, provided you are duly licensed in the state where services were provided, and the services would require a real estate license had they been performed in Nebraska. If you are not actually domiciled in Nebraska or not considered to be domiciled in Nebraska under the policy provisions, the policy will only insure professional services rendered in Nebraska.

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 Nebraska. CNA is a registered trademark of CNA Financial Corporation. Copyright © CNA. All rights reserved.

Comparing Policies: What to Consider

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 lock box and discrimination coverages and the environmental and regulatory complaints endorsements, which were not traditionally covered at all under many E&O policies).

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 or domestic partner’s parents, grandparents, siblings, and children.

WATCH OUT FOR: Policies that exclude coverage for claims arising from transactions involving parents; grandparents; siblings; aunts; uncles; cousins; children; or your spouse’s or domestic partner’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.

Are insureds satisfied with the provider’s service?

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

“It’s nice to know that the person on the other end is actually reading and analyzing the reports. . . . [W]e really appreciate your attention to this case and have enjoyed working with you throughout this process. Nebraska defense counsel to a RISC adjuster regarding her claims handling skills.”

“Thank you so very much! So very thankful for your help and kindness. You helped me out tremendously. Office manager of large Nebraska real estate firm.”

“[RISC’s employees] went out of their way to accommodate me. . . . Although I am just a single customer, [your employees] made me feel as though I was your most important customer. You should be very proud of [your employees]; you should also be proud of what a well run organization you have a RISC. Nebraska licensee insured with RISC since 2007. Insurance providers who do not consider you their top priority.”

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 Nebraska. CNA is a registered trademark of CNA Financial Corporation. Copyright © CNA. All rights reserved.