PRODUCT: Professional liability insurance for mortgage companies, title agents, abstractors and escrow agents

COMPANY: QBE North America, through a program underwriting partnership with Stateside Underwriting Agency

BEST RATING: A (Excellent) for QBE North America

AVAILABILITY: Coverage is available through Stateside Underwriting Agency to appointed agents and brokers.

FOCUS: Mortgage bankers in today’s highly litigious financial marketplace are often required to carry bonds for protection against financial losses related to dishonesty from a specific employee or individual. Similarly, if a third party files a claim regarding a mortgage company’s failure to render professional services, professional liability insurance is there to help.

QBE North America and Stateside Underwriting Agency (SUA) have teamed up to provide a host of professional liability insurance options for a broad risk profile of clients, including mortgage bankers, title agents and mortgage companies that have exposure to these types of lawsuits.

Three distinct insurance products include: title agents, abstractors and escrow agents professional liability, which provides errors & omissions coverage; mortgage bankers bond, which protects mortgage bankers from financial loss attributable to dishonesty of an employee or other individual as specified in the policy; and mortgage company professional liability, which insures against legal liability arising from suits in the area of loan origination, and can include loan application, underwriting, closing and secondary market sales.

QBE has a history of writing business in the financial services area, and its partnership with SUA—a niche mortgage industry expert which has served the business insurance needs of financial institutions for 26 years—enables the company to further expand its overall specialty portfolio. Erin Fry, senior vice president of specialty programs at QBE North America, calls it a “synergy” between the two companies.

“This program delivers a multifaceted solution for our customers, meaning we can meet the various professional liability needs of individuals and companies that service the mortgage industry,” Fry says. “We’re providing agents and brokers the ease of business by offering them several comprehensive required solutions as they conduct business through the various stages of any transaction.”

UNDERWRITING: The title agents, abstractors and escrow agents professional liability insurance is available as both primary and excess coverage, while the mortgage company professional liability and mortgage bankers bond insurance are available as solely excess coverage. Limits up to $5 million are available for each product.

Fry adds that agents and insureds have flexibility to customize coverage to meet the risk mitigation needs of individual accounts.

MINIMUM PREMIUM: N/A.

TARGET: Title agents, abstractors and escrow agents, as well as mortgage companies and mortgage bankers. Generally small to midsize firms with a focus on risk management processes. QBE can consider established firms as well as startup firms with sufficient industry experience.

COVERAGE TERRITORY: All U.S. states.

CONTACT: Erin Fry, senior vice president of specialty programs; QBE North America, 1600 Market Street, Suite 2600, Philadelphia, PA 19103; 215-446-4263.

Ronimarie Acord is an IA contributor.