Mortgage Broker Insurance Requirements - What Cover Do You Need?

Mortgage Broker Insurance Requirements - What Cover Do You Need?

In the complex world of finance and mortgages, your work as a mortgage broker is essential as you do the legwork to help people get set up with a home loan. But it’s not just your clients you need to take care of – you also need to ensure that you have adequate protection with the right insurance so you’re protected financially. To get you thinking about your insurance, let’s look at some of the most common policies that mortgage and finance brokers should consider.

Professional indemnity insurance

Professional indemnity insurance will protect you against the cost of a claim for negligence or breach of professional duty if you provide professional advice and services. In Australia, mortgage and finance brokers are obligated to have indemnity insurance in place. All it can take is incorrect advice, a mistake on a loan application, or misleading information to result in a third party claim which is why it’s so important for mortgage brokers to have appropriate cover.

Public liability insurance

Public liability insurance is designed to protect you financially if you cause injury to a third party or damage to property as the result of your actions at work. If your clients visit you at your office or at home, you need to have this cover in place. Something as simple as a client tripping over and injuring themselves on your premises could result in an expensive claim and liability insurance means you don’t have to use your own savings to pay the associated costs. It also covers legal fees if you need to hire a lawyer during the claims process.

General property insurance

Busy mortgage brokers are often required to travel to various offices and client homes with your expensive laptops and other equipment in tow. Not only would it be incredibly inconvenient if something happened to these items, it would also be very expensive if you were looking at a replacement. With general property insurance, you’re covered if your transportable items are lost, damaged or stolen which offers you ongoing peace of mind when you’re travelling around for work.

Life insurance

Life insurance is something that all contractors should consider and mortgage brokers are no exception. If you something were to happen to you, it’s important that you think about what would happen to your loved ones. How would they cope with ongoing expenses without you around? Life insurance means that your nominated beneficiaries will receive a one-off payment which they can put towards whatever they wish, from paying off debt to going towards education expenses.

At Contractor Cover, we specialise in providing cost effective insurance for contractors across Australia. We provide life insurance for mortgage and finance brokers, which is included in our convenient insurance package developed specifically for contractors. This single policy contains all of the major insurance policies that contractors needs so you can be confident that you’re covered.

If you’re interested in finding out more about life insurance for mortgage brokers, or any other form of cover, speak with the team at Contractor Cover today on 1300 438 268.