What is Professional Indemnity Insurance (PII)?
To protect estate agents and salespersons from legal liability for mistakes committed during professional services, they must purchase a professional indemnity insurance (PII) policy.
Estate agents must ensure that both the entity and all salespersons have adequate coverage, and they can choose to purchase policies with higher coverage.
What are CEA’s minimum Professional Indemnity Insurance (PII) policy requirements?
The policy should cover mistakes made by real estate agents and salespersons, including all associated costs.
The minimum indemnity limit varies based on the category of the entity. For example, Sole-Proprietorship with only 1 salesperson has a minimum indemnity limit of S$100,000, whereas an agency with more than 500 salespersons has an indemnity limit of S$1 million.
The maximum deductible for each claim against the entity ranges from S$5,000 to S$20,000, while the maximum deductible for each claim against a salesperson is S$5,000.
The Council for Estate Agencies (CEA) has published a complete chart on the minimum requirements for PII policies.
Many insurance companies offer different types of PII packages. Estate agents and salespersons can purchase any PII policy that meets the minimum requirements from any insurance company in Singapore.
How to get Professional Indemnity Insurance (PII)?
SingCapital, bolttech Insurance Brokers Pte Ltd and PIAS Vibrance Group are the few approved brokers that real estate agents and salespeople may use to acquire their PII.
