Sec. 08.88.172. Errors and omissions insurance.

288 words·~1 min read·/ak/title-8/chapter-88/08-88-172·

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(a)A person licensed as a real estate broker, associate real estate broker, or real estate salesperson shall, as a condition of licensing, carry and maintain errors and omissions insurance to cover activities for which licensing is required under AS 08.88.161 .

(b)The department shall establish by regulation the terms and conditions of the errors and omissions insurance required by this section, including

(1)coverage requirements;

(2)limits of coverage;

(3)the maximum amount of premium to be charged licensees under a master errors and omissions policy under

(d)of this section; and

(4)the method for adjusting these amounts based on the Consumer Price Index.

(c)A licensee may obtain the errors and omissions insurance required by

(a)of this section by

(1)obtaining a master insurance policy that may be made available to licensees by the commission; or

(2)independently obtaining errors and omissions insurance that complies with the requirements established under

(b)of this section.

(d)The commission may

(1)solicit bids for a master errors and omissions insurance policy for licensees that meets the minimum terms and conditions established under

(b)of this section using a competitive sealed bid process under AS 36.30 (State Procurement Code); and

(2)charge a licensee a reasonable administration fee to recover costs incurred in connection with the solicitation made under

(1)of this subsection.

(e)[Repealed, § 4 ch 39 SLA 2016.]

(f)A licensee seeking to obtain or renew a license shall certify to the commission that errors and omissions insurance has been obtained. A licensee who elects to independently obtain errors and omissions insurance shall provide a certificate of coverage with the application to obtain or renew a license.