Posted by RickG/CA on 3/5/11 8:53am
Msg #375196

Day in the life (long mini rant)

Sometimes you just gotta laugh...

So I completed a signing last Wednesday (2/23) all was fine - I thought. I received a call Friday (2/25) afternoon asking if I could get proof of E&O.

(me) I believe I submitted a copy of my declaration page as requested.
(tc) yes but the lender would like to have it state E&O is covered
(me) [after awkward silence] pardon me?!?!
(tc) [a slight chuckle and sigh] the lender wants to read Errors and Omissions instead of Professional Liablity
(me) I will have to check with the insurance adminstrator

The insurance administrator mentions they get quite a few request for this and says the cover letter that I received with the policy recaps my "E&O" coverage, references the policy certificate number, name of insured, blah, blah, blah. Great, so I repackage my E&O pdf and send to the TC.

(tc email) the lender says "...the cover letter seems to think that the policy covers E&O. I'd like to see the dec page or policy explanation say the same or a letter from the insurance asserting that the policy taken out actually does cover Errors and Omissions of the agent."

(my email) [thinking what the...] I'll have to contact the insurance administrator again, however they're gone for the weekend since they're in the midwest.

The insurance adminstrator sends this response on Monday:

"..Errors and Omissions Liability insurance and Professional Liability insurance are virtually interchangeable terms within the insurance industry and should be an adequate description of the policy in question. I have forwarded your request to an underwriter to see if there is anything more they can provide you..."

So I repackage my E&O file again to include pages from the actual policy defining Professional Liablity; Professional Services; and Wrongful Acts and send to TC.

You've already guessed at who the lender is - and you're not incorrect!!!

I received a check on Friday...