FAQs

In all three jurisdictions, errors & omissions insurance is required by most brokerages as a condition of the agent’s license sponsorship, and it’s increasingly required by state-level regulation as well. Maryland requires brokers to maintain E&O for their agents under MD Real Estate Commission rules. DC and Virginia don’t currently mandate E&O at the state level for individual agents, but

Because workers’ comp carriers have dramatically different appetites for different class codes, account sizes, and industries. A carrier specializing in light-clerical office accounts will price an accounting firm aggressively but quote a roofing contractor sky-high (if they’ll quote at all). Another carrier specializing in construction will be the opposite. An independent agent’s job is to know which carriers are currently competitive

In all three jurisdictions, sole proprietors, partners, and certain corporate officers can elect in or out of their own coverage. The decision is genuinely a financial trade-off: excluding yourself reduces your premium but leaves you personally without workers’ comp benefits if you’re injured on the job — meaning you’d have to rely on personal disability insurance and personal health

At policy expiration, your carrier conducts a premium audit — comparing the payroll you estimated at the start of the policy to the actual payroll paid during the year. If actual payroll exceeded the estimate, you’ll owe additional premium. If it came in lower, you may receive a refund. Audits also review class-code assignments. Common audit findings that increase premium:

The experience modifier is a numerical multiplier applied to your workers’ comp premium based on your three-year claims history compared to the industry average for your class codes. A mod of 1.00 means average; below 1.00 is a credit (you pay less); above 1.00 is a debit (you pay more). The mod is calculated by the National Council on Compensation Insurance (NCCI) for

Not by default — and this is where a lot of small employers get into trouble. True independent contractors carry their own workers’ comp (or are exempt as sole proprietors). However, all three jurisdictions in our service area apply a multi-factor “right-to-control” test that can re-classify 1099 contractors as employees for workers’ comp purposes, regardless of how the

Yes, in all three — with different thresholds and exemption rules: Washington, DC: Required for all employers with 1 or more employees, full-time or part-time. Domestic workers earning under a low threshold are typically exempt; certain casual labor is exempt. Maryland: Required for all employers with 1 or more employees, full- or part-time, with limited exceptions (some agricultural workers, certain domestic employees, very

Yes. Most small businesses benefit from a Business Owner’s Policy (BOP) — a packaged policy that combines: General liability Commercial property (building, contents, equipment) Business income / business interruption Optional add-ons: cyber liability, employment practices liability, equipment breakdown BOPs are usually 10–20% less expensive than buying each coverage separately and are eligible for most service, retail, office, and light-industrial businesses with

No. GL covers claims by *third parties* against your business — it does not pay for damage to your own building, inventory, equipment, computers, furniture, or business property. That’s commercial property insurance (separate coverage), often packaged with GL into a Business Owner’s Policy (BOP) for small businesses. GL also doesn’t cover: Business income loss if you have to close after a covered event (business interruption

These are two different coverages that protect against two different types of claims: General liability covers bodily injury and property damage to third parties caused by your operations, premises, or products. Example: a client trips over a power cord at your office and breaks a wrist. Professional liability (errors & omissions / E&O) covers financial harm caused by your professional advice, services, or work product.