Pennsylvania License Law

What is Pennsylvania's 'errors and omissions insurance' requirement for real estate licensees?

APREC mandates E&O insurance for all licensed Pennsylvania real estate brokers
BPennsylvania does not require E&O insurance by law, but many brokerages require it, and the Pennsylvania Association of Realtors strongly recommends it✓ Correct
CE&O insurance is required only for licensees handling commercial transactions over $1 million
DPennsylvania requires E&O insurance only for property managers, not sales licensees

Explanation

Pennsylvania law does not mandate errors and omissions (E&O) insurance for real estate licensees, unlike some other states. However, most reputable Pennsylvania brokerages require their affiliated licensees to carry E&O coverage, and individual licensees operating their own brokerages are strongly advised to do so. E&O insurance protects against claims arising from professional mistakes, omissions, and negligent misrepresentations. Coverage typically excludes intentional fraud and criminal acts.

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