Best E&O Insurance

[David P. Valley]

Originally Posted by lungar

Did any of you people check the E&O that you can get thru NACHI ??????????
I think it's very resonable compared to Allen and Frea.
Since you are all Nachi members why not take advantage of it or am I missing something ????????????????????

I contacted them last month. They couldn't beat FREA's proposal.

[Dan Bowers, CMI]

FREA looked better until I realized that I was a corporation and wanted to pay this MAJOR EXPENSE over 7-9 months like all other carriers will do. At that point I had to add another $500-$600 to FREA's fee to compare against Allen. At that point they were neck & neck. Allen's deductible was $1,500 if you use a release of liability clause (which I do).

Then since I've thought about a 2nd person working with me FREA wanted to sell them their own policy - SO it was no contest. Allen it was.

[Russel Ray]

I know I've said it many times, but if you are an individual, FREA probably cannot be beat.

If you have multiple employees, there are better choices all things considered.

And if you are a franchise, the partnership your franchisor has set up with its provider probably cannot be beat because of all the fine print that one has to add into the insurance to make it palatable to the franchisor. A hundred here, a hundred there. . . . After lots of hundreds have been added in to FREA, Allen, etc., the franchisor's insurance partner looks really, really good.

I compare each year in March (my insurance comes due in June), and I regularly get "individual" quotes of $3,200 per employee (which puts me in the $22,000 annually range) to $17,600 per employee (yeah, right). My franchise insurance came in at $5,200 (year 1), $4,400 (year 2), $4,400 (year 3), and $4,400 (year 4), and $4,400 (year 5). It'll probably go sky high this year since I made it past year 5.