Texas Atty. General Renders Opinion about Liability Insurance

[John Cahill]

Originally Posted by jmckenna1

E&O is here... just do it...
No big deal.

The big deal is your right to work depends on insurance availability and pricing. I know a 30+ year inspector that cannot buy E&O at a reasonable price due to one bad incident (not his fault). He is out of business. I think that is a big deal.

You are at the mercy of a for profit insurance company.

The only thing that will affect the E&O requirement is if the product becomes unavailable for most. That would be a tit wringer for the agents. They would have no patsy to accept property condition liability. If the product becomes too expensive or unavailable for most THEN the law would change.

The legislation was sold by the author and endorsed by TR EC as protecting the consumer. The AG clearly states E&O protects the policy holder. The AG speaks the truth; the politicians, bureaucrats and their puppets lie.

[John McKenna]

Originally Posted by jcahill

The big deal is your right to work depends on insurance availability and pricing. I know a 30+ year inspector that cannot buy E&O at a reasonable price due to one bad incident (not his fault). He is out of business. I think that is a big deal.

You are at the mercy of a for profit insurance company.

The only thing that will affect the E&O requirement is if the product becomes unavailable for most. That would be a tit wringer for the agents. They would have no patsy to accept property condition liability. If the product becomes too expensive or unavailable for most THEN the law would change.

The legislation was sold by the author and endorsed by TR EC as protecting the consumer. The AG clearly states E&O protects the policy holder. The AG speaks the truth; the politicians, bureaucrats and their puppets lie.

I know you would like to sell us your Risk Management service, but relax.
E&O has been around for a while and the rest of the world has lived through it.

[John Cahill]

Originally Posted by jmckenna1

I know you would like to sell us your Risk Management service, but relax.
E&O has been around for a while and the rest of the world has lived through it.

I don't see where I am selling any risk management product in this thread. Your comment seems tense. I did refer to expert services but that is not risk management. If anyone needs to call me for that service they are already beyond risk management. John, I am not attacking you. Relax.

I, and many others, feel empathy for the 30 year professional who is now looking for another job. To me, his problem is more than just another blip that "the world will live through".

Peace and prosperity my fellow patsy.

[Michael R. Boyett]

John C...I've heard from a reliable source that TAREI is looking for a test case to attempt a TRO against TREC. The test case would have to be of someone not being able to obtain E&O such as who you are referring to. Are you aware of and privy to that TAREI proposal?

John M....your comment was uncalled for. John C has worked tirelessly for years to protect your interests at TREC. How many TREC meetings have you attended for your own benefit much less that of all Texas HI's?

[Emmanuel J. Scanlan]

Originally Posted by jmckenna1

I know you would like to sell us your Risk Management service, but relax.
E&O has been around for a while and the rest of the world has lived through it.

John M.,

This is not an attack but just a fact. John Cahill has no need to sell his services to us. His reputation alone will sell his services!

I certainly have to agree with what he is saying here, and that is not because of his reputation. John Cahill is merely speaking the truth of the matter. Sad as it is, it is sill the way of "our" future!

[John Cahill]

Originally Posted by mboyett

John C...I've heard from a reliable source that TAREI is looking for a test case to attempt a TRO against TREC. The test case would have to be of someone not being able to obtain E&O such as who you are referring to. Are you aware of and privy to that TAREI proposal?

The problem is the person in question can get insurance but it is very expensive.

Kudos to TAREI on their goals. I will support them but I remain doubtful. We are fighting a big political money machine and just don't have the resources.

JM and I are cool. We love to spar. TY for your support.

[John McKenna]

There are two sides to every story.

From my point of view, the E&O issue will seem like nothing, in a few
years, as the HI industry matures into the same cycle that other professional
fields have gone through. Regardless of why, who and how come...
it is happening.

We will see nationwide HI requirements increase, testing will get harder,
E&O will be required everywhere... just as some of the other
professionals fields have evolved.

I am not choosing sides and endorsing the motives and political
implications that may be part of this intricate process. But I am
not surprised to see this evolution.

I am simply looking at it and realize it is no big deal. It can be
overcome and dealt with, as it is by professionals in various fields
all across the country.

Yes, you can pull out personal hardships stories of people along
the way that will not make it as testing gets harder, qualifications get
more difficult and the cost of business (E&O) rises. Life is not
fair, even if I don't like to be that way.

To paint me as "uncaring" for these poor souls that go out of
business and a "patsy"... seem a little melodramatic to me...

If I feel that E&O is not a big deal, and the John C. wants to
convert that into evidence that I am a shallow patsy that has
no love in his heart for the guys that go out of business... that
seems a little disingenuous to me.

Painting yourself on the moral high ground as the one who really
cares is in poor taste... but this method of posturing is common to
some folks.

If John wants to sell himself as the "expert", then he can do so
without the pious tone in his pitch. Sometimes men who have
been in the public eye, as the ones doing noble deeds, become
self righteous and proud in the process.

E&O is here, so we can keep whining or deal with it. It is
not going to go away, regardless if I like it or not. BTW...
I too have helped a lot of inspectors in the last 10 years, but
I just don't go around tooting my horn about it.

[John Cahill]

Originally Posted by jmckenna1

If I feel that E&O is not a big deal, and the John C. wants to convert that into evidence that I am a shallow patsy that has
no love in his heart for the guys that go out of business... that
seems a little disingenuous to me.

John, "my fellow patsy" is an inclusive statement. I stand with you equal in that description. I do not believe either of us is shallow however. I acknowledge your point of view although you make statements I never said or represented.

Again, I don't have a beef with you. I will concede defeat to your eloquent rebuttals. Best regards.

[John McKenna]

Originally Posted by jcahill

John, "my fellow patsy" is an inclusive statement. I stand with you equal in that description. I do not believe either of us is shallow however. I acknowledge your point of view although you make statements I never said or represented.

Again, I don't have a beef with you. I will concede defeat to your eloquent rebuttals. Best regards.

Best regards to you John ... keep up all the good work.

[Michael R. Boyett]

I attended the TREC meeting today. This was the full commission meeting, not the Inspectors Advisory Committee meeting; that will be Friday. I recorded the entire 3 hour meeting then parsed the recordings for HI pertinent sections. I have posted those and have a link to them for those Texas HI's who would like to listen to them. There are two zip files that contain a total of 5 recordings and discuss E&O, new rules, covert investigations, and one I just can't bring myself to describe (it was a joke...not really, but it seemed like one If you are a Texas inspector and would like to hear those recordings send an e-mail to mikeb@capcityinspections.com and I'll forward the links to you. You will need a .wav player like Windows Media Player or such and turned up loud to hear all the speakers.

[rstrahan]

Originally Posted by jmckenna1

From my point of view, the E&O issue will seem like nothing, in a few years, as the HI industry matures into the same cycle that other professional fields have gone through.

For example?????

Real professions are involved in writing their own rules. There is nothing "professional" about HI business in any licensed state I am familiar with. Texas is arguably the worst.

no money + no votes = realtor patsies.

no money + no votes + insurance = lawyer fodder.

[John McKenna]

Originally Posted by rstrahan

For example?????

Real professions are involved in writing their own rules. There is nothing "professional" about HI in any licensed state I am familiar with. Texas is arguably the worst.

no money + no votes = realtor patsies.

no money + no votes + insurance = lawyer fodder.

What professionals write their own rules, doctors, lawyers, judges????

What rules have you written?

What makes some HI more professional than the ones in Texas.?

[Joe Farsetta]

John M wrote the following:

From my point of view, the E&O issue will seem like nothing, in a few
years, as the HI industry matures into the same cycle that other professional fields have gone through. Regardless of why, who and how come...
it is happening.

We will see nationwide HI requirements increase, testing will get harder,
E&O will be required everywhere... just as some of the other
professionals fields have evolved.

To my fellow inspectors: This is all sadly true. I say sadly because, as our costs, education, and testing increase, we will still grovel for the smallest piece of the real estate transaction. We kill each other over the crumbs left behind.

We need to all wake up.

[rstrahan]

Originally Posted by jmckenna1

What professionals write their own rules, doctors, lawyers, judges????

Doctors run the AMA. The AMA gets a large say in medical statutes. Doctors write their own regulations. They are regulated by a board of doctors.

Lawyers run the ABA. The ABA gets a large say in legal statutes. Lawyers write their own regulations. They are regulated by a board of lawyers.

Engineers run the NSPE. NSPE gets a large say in engineering statutes. Engineers write their own regulations. They are regulated by a board of engineers.

Judges are elected in Texas. That's another diatribe...

Originally Posted by jmckenna1

What rules have you written?

Spent a couple of years writing an SoP for Texas, then got my *** handed to me by TREC and TAR. Now serving on the NSPE L&GA. Ain't obliged to say what we're working on there.

Originally Posted by jmckenna1

What makes some HI more professional than the ones in Texas.?

Home Inspectors don't run TREC. TAREI (or NACHI or ASHI or NAHI or ...) get little say in statutes. Realtors write HI regulations. HI's are regulated by a board of realtors.



(QED: One of these "professions" is not like the others)




John, I agree totally that HI E&O is inevitable. However, the "who, why and how come" is rather germane to understanding the situation. TTLA could never sneak a midnight insurance provision for one of the above-named groups.

I answered your questions. Can you answer mine? TIA,

Russell in BubbaLand

[John McKenna]

Doctors get sued at a much higher ratio than inspectors. They pay huge insurance
premiums. Why did they do that to themselves, if they control so much?

Lawyers appear to be the most untrustworthy worthy group of any profession.
So much for being in charge of the rules.

Engineers are a dime a dozen in some areas. I have not met many who are good
home inspectors. I have had to over rule some of them on more than one occasion
and won. I hope they write some rules about common sense. I know an Engineer
who left the field to build boat docks. He makes more money now.

We won't talk about Judges... agreed.

If you dig a little deeper, you will find special interest seek to manipulate
all of the professional fields. None of the above are really controlling
much of anything. Follow the money. Inspite of all of this, there is a
an order to the entire mess.

They all have to pay E&O. So much for writing their own rules.

I am sorry you had to spend so much time writing SoP, just to have your
work thrown out. Thank you for your effort.

No laws that have been written make a Texas Inspector less professional
than any other inspector... IMHO. Realtors don't like my breed and
so far have not discoverd a way to write a rule to make me go away.

What was your question?