PL for Commercial Real Estate Broker including consulting
Posted: Wed Feb 17, 2010 3:22 pm
Prospect is a commercial Real Estate broker in California established in 2009. Revenues are only $98,000 with about 40% coming from commercial transactions 60% coming from consulting. He has a contract with a development company which calls for carrying PL. His consulting activities and responsibilities include negotiating letters of intent and purchase and sale agreements, answering due diligence questions during escrow, negotiating closing and escrow documents, working as seller's main contact with buyer's, their brokers and other buyer agents and supervising the transaction through closing.
Results so far:
CNA - declined due to consulting services
Axis - declined due to concentration in commercial RE
Lloyds facility #1- declined due to consulting type services in commercial RE
Lloyds facility #2 - pending response
Tudor - minimum premium $15,000
Evanston - minimum premium $5,000
Scottsdale - pending response
Colony - declined due to nature of operations
Maxim - pending response
Based on the results so far, I'm just seeking some peer review as to whether the insured should expect $5K per year based on his operations or if you think we should be able to do much better.
Thanks
Results so far:
CNA - declined due to consulting services
Axis - declined due to concentration in commercial RE
Lloyds facility #1- declined due to consulting type services in commercial RE
Lloyds facility #2 - pending response
Tudor - minimum premium $15,000
Evanston - minimum premium $5,000
Scottsdale - pending response
Colony - declined due to nature of operations
Maxim - pending response
Based on the results so far, I'm just seeking some peer review as to whether the insured should expect $5K per year based on his operations or if you think we should be able to do much better.
Thanks