A real estate broker or sales agent is by definition a fiduciary. In addition to handling earnest money, real estate professionals enter residential and business premsises that are often inhabited and full of the owner's property. A real estate broker fidelity bond is an inexpensive way to offer protection to clients and legally advertise as a "bonded broker". This type of commercial crime coverage is often referred to as a "third party fidelity bond" or "dishonesty bond". Third party fidelity bonds that cover "on premises risks" may be written on a blanket basis that cover all potential clients or client/contract-specific which is convenient if the real estate broker's customer is a high net worth individual or large listing service that requires dishonesty coverage of its independent brokers. A fidelity bond covers the dishonest acts of brokers and their sub-agents that accomplish showings and other services that could cause and owner loss. Real estate brokerage employee theft of client property is frighteningly common. Approximately three quarters of retail and labor employees steal from their employers or employer's clients and some point and that those losses often account for a significant portion a firm's income. Your carpentry business may be vulnerable to losses like these.
Background checks, references and license verification are good risk management practices however they are not guarantees that a real estate broker will not commit a dishonest act. One large loss can zero a firm's total annual revenue, or worse. A client lawsuit against a broker can result in bankruptcy, revocation of license and irreparable reputation damage. Employee theft is the cause of over a quarter of business failures. A third party fidelity bond for real estate brokers can mean the difference between closing the agency or running a profitable brokerage that enjoys the trust of its community.
National fidelity bond leader, Surety One, Inc., specializes in underwriting fidelity risks for ALL types of businesses. No background checks are required and we NEVER turn deny an applicant. Call (800) 373-2804, email Underwriting@SuretyOne.com or click here to discuss your real estate broker fidelity bond need. We offer commercial crime coverage, cyber risk and hi-cap third party fidelity bonds in all fifty states, Puerto Rico and the U.S. Virgin Islands.
Surety bond application review and quoting are free of charge. There is no obligation to purchase.