Bill No.: SF0139                  Drafter:  MRW

LSO No.:  07LSO-0416              Effective Date:  7/1/2007

Enrolled Act No.:  SEA0046

Chapter No.:

Prime Sponsor:     Senator Barrasso

Catch Title:       Real estate agents-errors and omissions insurance.

Subject:  Real estate agents.

Summary/Major Elements:

· Requires real estate brokers, associate brokers and salesmen to obtain and submit proof of errors and omissions insurance, either independently or through the commission.

· Requires the real estate commission to procure group coverage for errors and omissions insurance, not to exceed $300.00 per licensee.

· Requires the commission to charge and collect an administrative fee, not to exceed 10% of the premium, in addition to the premium paid.

· Requires the commission to promulgate rules and regulations to specify the terms and conditions of coverage required, including the minimum limits and terms of the coverage, the permissible deductible and permissible exemptions.

· Requires the commission to notify each licensee of the required terms and conditions of the errors and omissions insurance at least 30 days prior to the license renewal date.

· Requires each licensee who elects not to participate in the group errors and omissions insurance program administered by the commission to file a certificate of coverage with the commission by the license renewal date.