Property Professionals

At MUM, we include everything from estate and letting agency through to land management and residential or commercial valuing as falling within this category. Members of the Royal Institution of Chartered Surveyors (RICS), the National Association of Estate Agents (NAEA) and the Association of Residential Letting Agents (ARLA) have mandatory rules regarding Professional Indemnity Insurance and there is an Approved Insurer list in the case of the RICS.

MUM underwrites on behalf of Amlin Lloyd’s Syndicate 2001, which is on the RICS Approved Insurer list, and we offer cover that complies with their rules, as well as those of the NAEA and ARLA. MUM also offers cover to property consultancies whose principals are not members of these bodies.

Below are examples of typical things that could go wrong for Property Professionals, all of which would normally be covered by a MUM policy:

• The insured estate agent advised a client to sell a farm by auction. The client later alleged that a higher price could have been obtained if the land and buildings had been sold separately. Amount paid: £35,000

• The insured chartered surveyor valued a client's house at in excess of £500,000; it was subsequently marketed and the client purchased two properties in anticipation of a quick sale. The house was overvalued, however, and after a long delay was sold for a substantially lower price. A claim was brought for the cost of bridging finance and other expenses incurred as a result. Amount paid: £50,000

• The insured was managing a client's property and replaced the clay roof with concrete tiles. Planning permission should have been obtained. The local authority required that the clay tiles be refitted. Amount paid: £20,000

• The insured auctioneer was requested to sell a property at auction. A third party alleged that the property was sold without his authority as owner. Amount paid: £40,000

• The insured quantity surveyor prepared cost forecasts in connection with the construction of a number of restaurants at the start of each project. It was alleged that the monthly and year-end costing and forecasts were inadequate. Amount paid: £65,000

Proposal form

Policy Summary - MUM RICS 04 10

Policy Wording - MUM RICS 04 10

Policy Wording - MUM SURV 04 10 AOC (Non-RICS)