Our twenty plus years of handling real estate claims taught us that seller’s disclosures are the number one cause of real estate claims. Sellers don’t expect to get into legal trouble over the sale of their home, but they often do.
Should a problem arise that was unknown to the seller (and therefore undisclosed to the buyer), buyers frequently pursue legal action to remedy that problem. That action can result in tens of thousands of dollars in legal fees – in addition to the cost of paying damages – even when you’re not at fault. The average claim costs $10,000 to $20,000.
The Disclosure Protection Plan includes a Permit History Report to give to your buyer to show the presence or absence of permits. Twenty-percent of post-closing problems are permit-related.
You also receive expert legal advice both pre-closing (for two matters) as well as post-closing (for one additional and unrelated matter).
Your insurance protection – for defense costs and damages -- covers you for twelve months after closing.
Our seller’s insurance has been available for more than twenty years to protect home sellers.
Home warranties are designed to protect the buyer from costly repair problems, typically with appliances and certain covered systems.
Disclosure Protection Plan is designed to protect you from unknown and therefore undisclosed problems, should a buyer have a problem after closing.
The Plan covers legal defense costs and damages for one year after closing, up to $25,000 (or $50,000 or $100,000, depending on your Plan).
It also includes Legal Consultations with a defense attorney experienced in real estate disclosure issues (both pre-closing and post-closing), and other transaction-related matters.
You’ll also receive a Permit History Report for your home to show your buyer the presence or absence of permits.
A real estate sale is complex. And with it can come questions that are best answered by an attorney. Your Disclosure Protection Plan includes time with an experienced real estate defense attorney, should you have questions about disclosures or other transaction-related matters. Our defense attorneys have answered thousands of real estate questions over the course of twenty years assisting CRES Insurance clients.
You can contact your attorney for two matters pre-closing, and for an additional unrelated matter post-closing. This time is IN ADDITION TO the defense coverage should you have a claim from the buyer.
Sellers of owner-occupied single-family residential properties are eligible. Your home needs to be listed by a licensed real estate agent or broker.
Residential property means a single-family dwelling, condominium, townhome, or planned urban development ( PUD) owned and occupied by the Named Insured which could be temporarily vacant no more than 60 days prior to the listing of this property. The property must be the primary residence of the named insured and be owned and occupied by You for a minimum of six months prior to the initial signed listing agreement on this property.
Investment properties, commercial properties, or vacant land are not eligible for Disclosure Protection Plan.
You can pay for your Plan online (return to the Glide website; a separate window should still be open).
You’ll receive more information from CRES Insurance by email within two business days, including:
You’ll receive monthly reminders inquiring about the closing date. The insurance policy, which provides defense and damages coverage, goes into effect once escrow is closed and payment is received. You will be contacted periodically by email asking for the close of escrow date so that your policy goes into effect on time.
When your home is sold and you know your closing date, contact CRES Insurance. That will start your Disclosure Protection Plan one-year insurance policy period:
You’ll receive a “welcome” email from CRES within two working days of your purchase. The email will include contact information for your attorney, so you can use your Legal Consultation benefits right away.
You’ll also receive your Permit History Report by email within two working days of your purchase.
The $25,000, $50,000, or $100,000 coverage begins ON YOUR CLOSING DATE. Be sure to contact us when you close, so your coverage will be active:
You’ll receive contact information for your attorney by email from CRES Insurance within two working days of your purchase.
Your Report will be emailed to you within two business days after purchase.
In some rare cases, a Permit History Report may be unavailable, because the permits are no longer on file with the county or the permits are not in electronic format.
The Disclosure Protection Plan covers claims resulting from unknown and therefore undisclosed defects in your primary residence.
Coverage does not apply to misrepresentations, intentional, dishonest and/or fraudulent acts committed, in fact, by or on behalf of the seller to effectuate the sale of their property.
Please read Plan details for all benefits, exclusions and limitations.
It’s best to merely gather information about the situation, but not discuss anything or provide any information to the buyer until you talk with CRES or the Plan attorney.
A “claim” is a demand for money or service (asking you to do something),
and they come in many forms: letters; emails from buyers; lawsuits; requests to attend arbitrations, mediations, or other alternative forms of dispute resolution.
When in doubt, contact CRES! We are more than happy to review and talk to you about whatever you received:
Please contact us as soon as you receive anything in writing demanding money or a service (asking you to do something). It can be as simple as an email from the buyer after closing. When in doubt, contact us!
Simply email us a copy of whatever documents you received to: email@example.com
Please include your name, contact information, property address, and closing date. Also, let us know when you first received the document demanding money or a service.
You will receive an email with your claim number and contact information for the claims adjustor. The adjustor will contact you within two business days to talk about your claim.
Please do not talk to the buyers, their agent, or their legal representatives about the claim.
The $2,500 retention is paid as the defense costs are incurred or damages are paid. Once you’ve paid the full $2,500, the policy takes over. The policy can pay up to $25,000 total for defense costs and damages. (Or you can buy increased coverage to $50,000 or $100,000 in select counties.)
There is no coverage under Disclosure Protection Plan for these situations:
This is a partial list of exclusions. Please read the endorsement for complete information and additional exclusions.