Update on E&O Insurance program


Following conversations with Hub International and a lengthy meeting at Hub International (Oakville) yesterday (8th Dec 2015) The following facts were determined.

  • The Hub HKMB (Toronto) Home Inspector program is not available in Ontario or any other province outside of Quebec for InterNACHI members or anyone else.
  • The claims assist facility is not built-in in Quebec.
  • It is a service that is on an ‘as needed’ basis provided by one a Canada’s largest loss adjusters Crawford and Company, and is charged out at $125 per intervention, win or lose.
  • This is charged back to the Inspector.
  • If Crawfords are unable to make frivolous claims go away, the Insurance Policy still
    requires a deductible from the Inspector towards any found claim.
  • This means that the deductible is effectively increased by $125 for persistent claims.

The program we continue to support and recommend to our members at OntarioACHI is the Home Inspect Plus program from Hub International (Oakville) has a free built-in claims assist, and a strong claim fighting service that vehemently fights frivolous claims.   The deductible is only charge to the Inspector in the event of a claim proceeding to the courts or being settled, in agreement with the Inspector.

Samples of typical expected costs for E&O Insurance for inspectors through the OntarioACHI supported program are as follows:

Insurance coverage Base
Premium
OntarioACHI
Premium
Member
Saving
New OntarioACHI full-member, no history, no
claims
$500,000 per incident $1,000,000 aggregate
$2,138 $1,924 $114
OntarioACHI full-member with 1-2 years
history, no claims and CMI or CCHI
$500,000 per incident $1,000,000 aggregate
$2,250 $2,025 $225
OntarioACHI full-member with 5 years history, no claims, and CMI or CCHI
$500,000 per incident $1,000,000 aggregate
$2,375 $1,974 $401
OntarioACHI full-member with 5 years history, no claims, and CMI or CCHI
$500,000 per incident $1,000,000 aggregate plus mold coverage
$2725 $2265 $460

The above illustrations are subject to a $2,500 deductible.

$2,000,000 General Liability coverage can be added to the policy at a cost of $500 per year ($500 deductible).  This covers you for any damage you might cause to others person or property as part of
your business.  It is not available separately.

Property Insurance can also be added (again not available separately from Hub) which can cover the contents and tools of your work vehicle ($15,000 general cover and a $10,000 tool limit with $1,000
deductible)  this is $250 per year.

Tax is applicable to all premiums (currently at 8% in Ontario)

A pay-monthly plan helps you break down the premium into bite size chunks at a 4% interest premium.

So, for example:

OntarioACHI member with CMI or CCHI certification, over 5 years in the business with no claims and no loyalty benefits with Hub wanting $500,000 per incident cover and $1,000,000
aggregate, with mold cover, CGL and Property would expect to pay approximately $2,265 for the E&O coverage and a further $750 for the CGL and Property, making a total of around $3,015 per year plus tax, or about $283 per month.

This produces an annual saving of around $460 on E&O insurance alone for your membership costs of  $135.60.

Using the Home Inspect Plus program also gets the Inspectors insured automatically for claims against them for Radon Testing, WDO Inspections, WETT Inspections, Drone usage and a host of other items
that are included in other policies only as optional extras.   We have done the comparison with a number of other policies on the market and we continue to believe the Home Inspect Plus program from Hub International (Oakville) is still the best policy available to our members.

IMPORTANT

The rates quoted above are for illustration purposes only.   Claims history, standard agreement differences and loyalty benefits will alter these and a full quote should be obtained by contacting Kim Smith at Hub International (Oakville).

You can get a quote quicker by filling out the application form, don’t forget to put down your CMI or CCHI certification and the fact you are a member of OntarioACHI to get the best rates, and supply Kim with your membership certificate, which you can download from here and your CCHI certificate.

As always, OntarioACHI continue to monitor the Insurance arena for what we consider the best choices for our members.   Kim at Hub knows this and has continually worked with us and her underwriters to give members in Ontario what we believe is the best overall home inspector package for the best value.

In addition, OntarioACHI process all members Insurance certificates from Hub automatically so that any Certification awarded does not lapse due to insurance certificates not being properly handled.  No other insurer offers this facility to our members so insuring with other companies leaves the onus on you to send in your insurance certificates to maintain your certification.


About OntarioACHI

Founded in 2012 the Ontario Association of Home Inspectors is a not-for-profit association of members with aims to improve the quality and standing of Home and Property Inspection for the benefit of consumers and our profession. The association is run by, and for, Home & Property Inspectors in Ontario. Our goal is to ensure all Home Inspectors are qualified to the highest standards and comply with the most exacting professional Code of Ethics, Standards of Practice and Duty of Care. A consumer hiring an OntarioACHI qualified Canadian-Certified Home Inspector (CCHI) will know they have they hired a truly Professional Home Inspector.