Understanding Property Manager’s Insurance
Professional Liability Insurance for Property Managers also known as Property managers insurance, property management company insurance and property managers E&O insurance is a liability insurance coverage that protects professionals in the event they get sued by clients and third parties as a result of their mistakes, negligence, errors, and damages they cause. We recommend all property and risk management companies to obtain a limit of no less than $1,000,000 PLI coverage. Rates starting at $550/Year!
Having coverage in the millions for a few hundred dollars a year is one of the good reasons why having professional liability insurance is a good idea as a project manager.
Ontario property managers play a vital role in keeping Ontario’s population happy. After all, if you’re not happy at home, you’re not going to be happy anywhere. Most people believe that property managers are nothing more than landlords who have a prime purpose of looking after their real estate. This couldn’t be further form the truth. Property managers have far more responsibility and they’re required to work day in and day out to ensure that their renters are satisfied. They’re also required to fix problems as quickly as possible. Anything could go wrong inside of a rented property. A problem, which has not been fixed, could lead to injuries or property damages. If something like this occurs, there is a good chance that the renter is going to hold you personally responsible.
In return, you could be hit with a devastating lawsuit. You need insurance to ensure that you’re protected from start to finish. This is where insurance for property managers enters the picture. Errors and omissions insurance will protect you from claims of inadequate work or negligence. Professional liability insurance for property managers will cover the costs and ensure that you’re able to continue working even during the legal proceedings. If you do not have this type of coverage, it is best to stop what you’re doing and get it now!
Additional Liability Insurance Coverage Options
There is no doubt that property managers insurance can be immensely beneficial for property managers in Ontario. In fact, this type of insurance is often a requirement. Nevertheless, you must understand that it is not going to protect you from each and every problem that you’ll face. There are plenty of other problems that can still ruin your business. Thankfully, there are additional coverage options that can help. You’ll learn more about these coverage options below.
Tenant Discrimination Insurance
As a property manager, there is a possibility that you’re going to turn down the wrong tenant at some point or another. You might have a good reason for doing so. Nevertheless, the client might not feel the same way. They may feel that they’re discriminating against them, due to their age, sex, race or religion. If this happens, you might be hit with a lawsuit. Tenant discrimination insurance can protect you from such problems. You can adjust the limits as much as you wish. However, it is best to get at least $100,000 per occurrence and $200,000 annually.
Property manager professional liability insurance is great, but it isn’t going to cover everything. This is why you should also consider investing in general liability insurance for property managers. This type of insurance covers so much more. This will include advertising injuries, damage to someone else’s property when you’re performing a task and injuries to non-employees on your commercial property. If you want to keep your company afloat, you definitely need this type of insurance. Obtaining limits of at least $1,000,000 per occurrence and $2,000,000 per year is best.
You also need to understand that you’re going to be working with people’s private information. You may handle their credit card details and other private credentials. And, you may not be working alone. You may have other employees help you out from time to time. The allure of a little extra money can be too tempting for many. If one of your workers takes the bait, they may commit fraud and damage your clients. This will backfire on your company. Fraud insurance can protect you in the event of such situations. Try to get a property managers professional Liability policy with at least $1,000,000 per event and $2,000,000 per year.
Wrongful Eviction Insurance
If your property managers insurance doesn’t offer wrongful eviction insurance, you’re going to need to get it separately. This insurance will protect you in the event that a tenant was evicted wrongfully. The risks here are slim, but having the insurance is still recommended. Try to acquire at least $100,000 per event and $200,000 annually.
The Cost of Insurance
For a property manager, you’re going to need plenty of insurance. The costs can be expensive, but you’ll quickly discover that it is well worth it. On of the advantages of working with our brokers in that we educate and provide assistance to all our clients when they are engaged in the claims process. Being sued or filing a claim for damages is a stressful task. We work to walk you through the process.
Some of the averages prices will be listed below for your consideration.
- Professional Liability Insurance – Ranges from $550 to $2,000 a year
- Commercial Liability Insurance – Starts as low as $425 a year
- Wrongful Conviction Insurance – $250 annually
- Fraud Insurance – $50 annually on average
At the end of the day, the prices can vary significantly based on a many different factors. The size of your business and the number of clients you serve will be vital.
How to apply for Insurance
If you’re serious about finding how much you’ll be required to pay monthly and annually, you can find out pretty easily by requesting a quote from us. Fill out the form and you’ll have a quote for your property management liability coverage before you know it. You can also get a quote by calling our toll-free number or contacting us via email. We’re always here to help you connect with an insurer in Canada that can provide coverage your business needs.
FAQ before purchasing property managers professional liability insurance
- How much professional liability insurance do I need as a property manager?
- How do I get a property manager insurance policy?
- What does property managers professional liability insurance cover?
- What is the difference between claims made & occurrence form of coverage?
- When will I need to be insured as a property manager?
- What other professions need this type of insurance?
Other useful posts you should also read
- Canadian insurance companies that provide professional liability insurance for property managers
- How does the claims process work if I get sued because of my property management services?
- What is the cost of property managers professional liability insurance?
- How do I apply for a property manager professional liability insurance policy?
- How do I qualify for coverage as a property manager?
- What is the purpose of getting insured as a property manager?
- How long will it take to get an insurance quote for my property management business?