Under TRESA in Ontario, what is the minimum insurance coverage requirement for real estate brokerages?
Correct Answer
B) $1,000,000 per claim
TRESA requires Ontario real estate brokerages to maintain professional liability insurance of at least $1,000,000 per claim. This insurance requirement protects consumers by ensuring brokerages can cover potential damages arising from professional errors or omissions in their real estate services.
Why This Is the Correct Answer
Under TRESA (Trust in Real Estate Services Act) in Ontario, real estate brokerages are legally required to maintain professional liability insurance coverage of at least $1,000,000 per claim. This mandatory insurance requirement is established in Ontario Regulation 567/05 and ensures that brokerages have adequate financial protection to cover potential damages arising from professional errors, omissions, or negligent acts in the provision of real estate services to consumers.
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