Better Rates: Almost every consumer shops for insurance searching for the best premiums and coverage with the goals of paying the least and getting the most. Obtaining your liability insurance from an industry specialist like InterNACHI’s Elite Risk Insurance program can help you achieve both. With a program tailored specifically for the home inspection profession, you will have access to competitive premiums and great coverage.  If you find a quote for less money, just let us know so that we may review it and make sure it applies to your needs in terms of coverage, deductible, carrier status, etc.

Better Coverage: What good are low premiums if the policy doesn’t cover a claim filed against you?  You don’t want to find that out the hard way, as it will likely create a tremendous financial hardship having to defend a claim on your own. Liability insurance has many facets. Home inspectors typically have a need for both Professional Liability — often referred to as Errors & Omissions or E&O insurance — and General Liability to cover third-party bodily injury and property damage claims. Insurance policies are contracts with significant limitations and exclusions, which could leave wide gaps in coverage if the right protection is not in place. InterNACHI’s program offers different endorsements to cover you for a wide variety of ancillary services that you might be offering your clients. Elite’s representatives understand the importance of maintaining continuous coverage to protect you from claims for inspections you performed in the past.  Most importantly, they have a team of professionals who will take the time to review your insurance needs and provide you with the appropriate solutions.

Vanishing Deductible: Most E&O insurance policies have a deductible that you, as the insured, are responsible for paying in certain claim situations. Would you like to be rewarded for no claims and on-time premium payments by having your deductible reduced each year? That feature is available for InterNACHI members who purchase their coverage through InterNACHI’s new Elite Risk Insurance program.

Fighting for the Inspector Who’s Sued: It is not a matter of “if” so much as “when.”  As an inspector, if you stay in the business long enough, chances are you are going to get sued.  The vast majority of lawsuits against home inspectors are meritless and fairly defensible, but it is imperative to report any lawsuit to your agent immediately so that you do not jeopardize your coverage.  Many inspectors are reluctant to report an incident because they do not want a blemish on their record or their rates to increase.  That fear will do more harm than good. Just because you report a claim doesn’t mean that your rates will automatically increase.  In the event of a claim/incident, our insurance carrier analysts will work directly with you to gather information to formulate an appropriate response to a disgruntled client in an attempt to diffuse the situation.  In addition, the insurer utilizes a third-party expert in home inspector litigation to further mitigate your liability exposure, when appropriate. And a claim might not even be subject to the deductible if the carrier does not incur any expenses (such as the need to retain experts, question witnesses, etc.).  Should you be named in a lawsuit and need an attorney, the carrier will appoint local, vetted and specialized counsel to defend the matter.  It is important to note that every claim situation is different in terms of liability, but it is our goal to vigorously defend you if you have met the standard of care owed to your client.

Risk Management: As a home inspector, you need to be aware of the potential exposure you have as a business owner and look for the best and most effective ways to manage those risks. Insurance is an excellent way to mitigate potentially costly liability and exposure, which could put you out of business, or worse. There are other techniques to consider, such as risk transfer, but the first step is to identify the different kinds of exposures you have by working with a professional insurance agent or risk manager and to create a comprehensive plan to address them.

To better manage your risk, here are some other questions to consider:

• Is your inspection agreement compliant with all state licensing and consumer laws, where applicable?
• Does your insurance policy cover you for all the different services you offer?
• Do you use subcontractors to perform your ancillary services, such as radon testing, wood-destroying insect inspections, or mold testing?  If so, are these subcontractors adequately insured? Do they list your company as an additional named insured party on their policy?
• Do you hire independent contractors to perform inspections on behalf of your company?  If so, are they covered under your policy?