(a) Licensees or applicants may obtain errors
and omissions coverage independent of the group plan from any insurance carrier
subject to the following terms and conditions:
(i) The insurance carrier is licensed and
authorized by the Wyoming insurance department to write policies of errors and
omissions insurance in this state and is in conformance with all Wyoming
statutes.
(ii) The insurance
provider maintains an A.M. Best rating of "B" or better and Financial size
category of class VI or higher.
(iii) The policy, at a minimum, complies with
all relevant conditions set forth in this rule and the insurance carrier so
certifies in an affidavit issued to the insured licensee or applicant in a form
specified by the Commission and agrees to immediately notify the Commission of
any cancellation or lapse in coverage. Independent coverage shall provide, at a
minimum, the following:
(A) The contract and
policy are in conformance with all relevant Wyoming statutory
requirements.
(B) Coverage includes
all acts for which a real estate license is required, except those illegal,
fraudulent or other acts which are normally excluded from such
coverage.
(C) Coverage cannot be
canceled by the insurance provider except for nonpayment of premiums or
fraud.
(D) Coverage is for not less
than $100,000 for each licensed individual and entity per covered claim,
regardless of the number of licensees or entities to which a settlement or
claim may apply, with an annual aggregate limit of not less than $500,000 per
licensed individual and entity.
(E)
Payment of claims by the provider shall be on a first dollar basis and the
provider shall look to the insured for payment of any deductible.
(F) The ability of a licensee, upon payment
of an additional premium to obtain an extended reporting period of not less
than 365 days.
(G) That the
provider of the independent policy has executed an affidavit in a form or
manner specified by the Commission attesting that the independent policy is in
force and, at a minimum, complies with all relevant conditions set forth herein
and that the provider will immediately notify the Commission in writing of any
cancellation or lapse in coverage of any independent policy.
