What Exactly Is Title Agent E&O (and Do You Need It)?

Title agent errors and omissions insurance, typically shorted to title agent E&O, is one of most-questioned products we offer. We get phone calls and emails from lawyers across the state asking if we offer it, what it covers, and – most importantly – if they need it.

This is understandable. Given Oklahoma’s wide-open spaces and natural resource industries, many lawyers do title work. So, how do you know if you need this additional coverage?

Do you issue title opinions?

First, if you issue title opinions there’s great news: this is already covered under your OAMIC lawyers professional liability (AKA “legal malpractice”) policy and nothing additional is needed.

Because title opinions are considered normal legal work, if a claim arises from that work, you are protected the same as any other legal work you perform.

Do you issue title insurance policies?

However, if you issue title insurance policies for a title insurance company, you need title agent E&O. Issuing title insurance means you are performing work as a licensed insurance agent, not an attorney, so the work you do in that area is outside the coverage of your OAMIC lawyers professional liability policy.

Additionally, most title insurance companies require their agents to maintain coverage. This keeps you and the insurance company protected.

What’s covered and how to get coverage?

Title agent E&O coverage includes common clerical errors, like a policy being issued to an incorrect named insured, or negligence, like an agent forgetting to issue a policy. Again, because this work is outside the practice of law, your lawyers professional liability policy will not respond in these situations.

Title agent E&O coverage extends coverage by endorsement. This means it can be added to your OAMIC lawyers professional liability at a per-attorney cost.  The premium is $100 for each lawyer who needs the coverage, well below the cost of stand-alone polices. Limits are $100,000 with a $5,000 deductible.

If title agent E&O sounds like something you need, or if you still aren’t sure, please contact us by email or by calling us at 405-471-5380. We’re here to help!