2005 Idaho Code - 54-2013 — ERRORS AND OMISSIONS INSURANCE

                                  TITLE  54
                    PROFESSIONS, VOCATIONS, AND BUSINESSES
                                  CHAPTER 20
                        IDAHO REAL ESTATE LICENSE LAW
    54-2013.  ERRORS AND OMISSIONS INSURANCE. (1) Each licensee who is
actively licensed under this chapter shall, as a condition to licensing, carry
and maintain errors and omissions insurance to cover all licensed activities
under the provisions of this chapter.
    (2)  The commission shall make the insurance required under the provisions
of this section available to each licensee by contracting with an insurance
provider for errors and omissions insurance coverage for each licensee after
competitive, sealed bidding in accordance with chapter 57, title 67, Idaho
Code. The exact premium shall be set by the commission by motion.
    (3)  Any policy obtained by the commission shall be available to each
licensee with no right on the part of the insurance provider to cancel
coverage for any licensee.
    (4)  Each licensee shall have the option of obtaining errors and omissions
insurance independently, if the coverage contained in an independently
obtained policy complies with the minimum requirements established by the
commission.
    (5)  The commission shall determine the terms and conditions of coverage
required under the provisions of this section including, but not limited to,
the minimum limits of coverage, the permissible deductible and the permissible
exemptions.
    (6)  A licensee seeking to obtain or renew an active license shall certify
to the commission that he is in compliance with the insurance requirements of
this section. A licensee who elects not to participate in the insurance
program administered by the commission shall obtain a certificate of coverage,
signed by an authorized agent or employee of the insurance carrier, reflecting
proof of insurance meeting the requirements established by the commission.
Upon request by the commission the licensee shall produce the certificate for
inspection.
    (7)  If the commission is unable to obtain errors and omissions insurance
coverage to insure all licensees who choose to participate in the insurance
program at a reasonable premium, not to exceed two hundred dollars ($200) per
year, per licensee, the requirement of insurance coverage as provided in this
section shall be void during the applicable contract period.
    (8)  The commission is also specifically empowered to charge and collect
an administrative fee in addition to the premium paid from each licensee who
obtains errors and omissions insurance through the commission contract, which
fee shall not exceed ten dollars ($10.00) per licensee. This administrative
fee shall be of an amount sufficient to raise that revenue required to
administer the provisions of this section. The limit in subsection (7) of this
section applies only to premium cost and not to any administrative fee
charged.