RECO Insurance Program - Insurance Program

RECO's Insurance Program

The Real Estate and Business Broker's Act, 2002 S.O. 2002, Chapter 30 (REBBA 2002) requires that all registrants participate in RECO's Insurance program as a condition of registration.

RECO introduced its Insurance Program on September 1, 2000. Since that time, registrants have enjoyed broad and unique insurance coverage for claims in negligence (errors and omissions) and for their commissions which may have been lost by reason of theft or bankruptcy by their broker (commission protection). As well, consumers have also benefited from protection for deposits which may have been lost by reason of theft or bankruptcy of a broker (consumer deposit). Since the introduction of the Insurance Program, RECO has been able to provide stable and affordable insurance coverage for the real estate industry in the province of Ontario.

The common renewal date for the Program's insurance is September 1. Each registrant must pay an insurance premium that provides the registrant with one year of insurance coverage for errors and omissions, commission protection and consumer deposit claims.

As of September 1, 2007. Alternative Risk Services has been the insurance broker for the Real Estate Council of Ontario's Insurance Program and Dion, Durrell + Associates Inc. has been managing Program utilizing their expertise in managing insurance programs to professionally manage RECO's Insurance Program. The Program has a number of other features including:

Granite Claims Solutions is the program adjuster and is responsible for taken notice, investigating and, where appropriate, resolving errors and omissions and consumer protection claims on behalf of the insurer.
The Program has a panel of highly experienced defence counsel who specialize in defending real estate agents.
The Program has a number of ongoing and planned Risk management initiatives including an Insurance Seminar for real estate boards which has been presented to over 25 boards across the province. This seminar provides valuable tips to registrants on how to minimize or avoid errors and omission claims. Attendees earn three (3) Continuing Education credits.
The Program has written a number of loss control bulletins that have been published by RECO and a web-based initiative is in the works.

The coverage is currently provided by certain underwriters at Lloyd's. Lloyd's of London is one of the largest and most specialized insurance markets in the world.

This website contains information about RECO's Insurance Program. You can go to anyone of the subjects by clicking on the links. If you have any specific questions relating to claims or insurance you can go to Contact Information to find the appropriate person to contact.

Consumer Protection	Registrant Protection
Consumer Deposit	Errors and Omissions	Commission Protection
Protection to the consumer for loss of deposits caused by real estate broker fraud, misappropriation of funds or insolvency.	Protection for registrants for errors & omissions committed in the course of their professional services.	Protection for registrants from loss of commission caused by real estate broker fraud, misappropriation of funds or insolvency.
Policy Limits	Policy Limits	Policy Limits
$100,000 per claim $1,000,000 per occurrence No deductible	$1,000,000 per claim $3,000,000 annual aggregate $2,500 deductible (applicable when claim payments made)	$100,000 per claim $1,000,000 per occurrence $250 deductible per claim

Real Estate (RECO) Errors and Omissions Insurance Program
Underwritten by certain underwriters at Lloyd?s
Endorsed by the Real Estate Council of Ontario
Distributed by Alternative Risk Services, a division of 3303128 Canada Inc.
Managed by Dion, Durrell + Associates Inc.

Copyright © 2007-2010 Dion, Durrell + Associates Inc. and Alternative Risk Services, a division of 3303128 Canada Inc. All rights reserved. Property of Dion, Durrell + Associates Inc. and Alternative Risk Services, a division of 3303128 Canada Inc.

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