Search for insurance help

Can tenants sue real estate agents?

General Insurance Landlord Insurance Business Insurance Professional Indemnity Insurance Accountants Insurance Financial Services Insurance Corporate Risk Insurance

Did you know that professional duty as a real estate agent extends to ensuring the safety of the tenant at the agents managed properties?

Are you aware that some Professional Indemnity Insurance policies contain exclusions for bodily and personal injury?

When a tenant sues an estate agent

A recent case between a tenant and landlord confirms that when a tenant is injured at the leased property and they can prove the injury was caused due to "professional advice or capacity" it will be claimable under a Professional Indemnity Policy.

In the case mentioned, the tenant was injured when they fell through a hole that they had asked the real estate agent to fix multiple times. The estate agent didn't arrange for anyone to fix the hole and failed to advise the landlord that repairs were required. Therefore they were found liable.

Be aware of the fine print on your policies

It's important that both tenants and agents are aware of what's included in their insurance small-print.

For further advice on this type of insurance and which type you need please get in touch.

To find out more about the judgement mentioned you can read the full case notes here.

agent real estate

General Advice Warning: This advice is general and does not take into account your objectives, financial situation or needs. You should consider whether the advice is appropriate for you and your personal circumstances. Before you make any decision about whether to acquire a certain product, you should obtain and read the relevant product disclosure statement.

All information above has been provided by the author.

Clare Smith, Phoenix Insurance Brokers Perth, ABN 40009419872, AFSL 229847