MORTGAGE PROFESSIONALS
Mortgage Broker E&O Insurance
for Brokers & Originators
Professional liability coverage for allegations arising from covered mortgage brokerage, origination and related loan services.
15+ Years
Experience
Independent
Broker
Multiple
Insurance Markets
CA License
#0F89428
MORTGAGE PROFESSIONAL LIABILITY
What Mortgage Broker E&O Covers
Mortgage broker Errors & Omissions insurance can respond to covered claims alleging negligent acts, errors or omissions arising from professional mortgage services such as brokerage or origination.
Coverage follows the Named Insured, the policy definition of Insured, and the mortgage-related Insured Services shown or defined in the policy. The exact role of the firm matters, including whether it acts as a broker, originator, processor, consultant or lender.
Professional Mortgage Services
Depending on the policy, insured services may include:
● Residential mortgage brokerage or origination
● Commercial mortgage brokerage, when approved
● Loan origination and borrower placement
● Loan processing, when specifically included
● Refinance transactions and related mortgage services
● Loan modification or consulting services, when approved
● Appraisal or valuation activity, if separately insured
● Real estate sales activity, if the firm also performs it
POLICY BASICS
How the Policy Works
Mortgage broker E&O policies are commonly written on a claims-made basis. Prior acts, insured services, limits, retention and defense-cost treatment should be reviewed together.
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Claims-Made Basis
Covers claims first made against you during the policy period.
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Retroactive / Prior Acts Date
May provide coverage for eligible claims arising from work performed after this date.
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Limits of Liability
The maximum amount the policy will pay for a covered claim or in total during the policy period.
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Retention or Deductible
The amount you are responsible for before the policy pays, depending on the form.
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Defense Costs
May be inside or outside the limits, depending on the policy.
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Extended Reporting Period (ERP)
Optional coverage to report a claim after the policy ends, subject to policy terms.
ADDITIONAL COVERAGE OPTIONS
Mortgage-Specific
Coverage Considerations
Mortgage firms should review the services and transaction characteristics that can affect eligibility, wording or endorsements:
● Residential versus commercial loan activity
● Annual loan volume and largest loan size
● Broker, originator, processor or lender role
● Loan modifications or consulting services
● Dual real estate and mortgage activities
● Prior claims, complaints or regulatory matters
● Current carrier, retroactive date and continuity
● Cyber, wire-fraud and privacy exposures
Coverage availability depends on the insurer, state, policy form, underwriting and the services performed.
RELATED PROFESSIONAL LIABILITY
Related Real Estate Professional Liability
Mortgage firms often work alongside real estate brokerages, property managers and escrow companies. ECLICK provides separate professional-liability paths for those operations.
Real Estate Agent & Brokerage E&O
Professional liability coverage for real estate agents, brokers and brokerage firms.
Property Manager E&O
Professional liability coverage for residential and commercial property-management services.
Escrow Company E&O
Professional liability coverage for escrow companies and escrow officers.
OUR APPROACH
How ECLICK Reviews a Mortgage E&O Risk
We review your mortgage role, loan activity, insured services and prior coverage before approaching available markets and comparing policy terms.
01
Understand the Mortgage Business
We review entity structure, licenses, loan volume, staff and the states where services are performed.
02
Confirm Mortgage Services & Prior Acts
We confirm brokerage, origination, processing or related services, along with retroactive date and claims history.
03
Approach Available Markets
We pursue appropriate options from carriers, specialty programs, MGAs and wholesale markets available to ECLICK.
04
Compare Policy Terms
We compare insured services, limits, retention, defense-cost treatment, endorsements, conditions and premium.
COMMON QUESTIONS
Questions Before
You Bind
Get answers to common questions about mortgage broker E&O, prior acts, insured services and policy terms.
Who is insured under a mortgage broker E&O policy?
The Named Insured and the policy definition of Insured control who may qualify for protection. Owners, employees, licensed originators, processors and independent contractors should be reviewed against the actual form.
How does prior-acts coverage apply to past loan transactions?
Prior-acts coverage may apply to eligible mortgage services performed before the current policy period, subject to the retroactive date, continuous coverage, known-circumstance provisions and other policy terms.
Do defense costs reduce my E&O limit?
It depends on the policy. Some forms treat defense expenses within the liability limit, while others may provide separate or additional defense provisions. This can materially affect how much limit remains available.
Can real estate sales or other financial services be included?
They may be, depending on the insurer and policy form. Real estate sales, appraisal, consulting, lending and other financial services should be disclosed so the insured-services definition can be reviewed.
READY TO GET STARTED?
Get a Mortgage Broker E&O Quote
Speak with an ECLICK specialist about your mortgage business, insured services and coverage options.
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