WHEREAS by Section 12 of the Real Estate Act (Act), the Real Estate Council of Alberta (Council) has the authority to make Rules;
WHEREAS by sections 12(k), (p), (q) and (r) of the Act, Council has the power, duty and responsibility to prescribe, adopt and approve requirements respecting the issuing of authorizations and for industry members to acquire, maintain or provide insurance against their liability for errors and omissions and/or a bond or other form of security.
At its meeting on May 4, 2011, Council passed a motion to amend the Real Estate Act Rules, Part 4, Errors and Omissions Insurance, effective September 1, 2011 as follows:
1. Adding the following wording after section 118:
“Division 3 – Requirements for Real Estate Appraisers”
2. Inserting new sections 119 and 120 to read as follows:
“119 This Division applies to all classes of real estate appraisers and includes an appraiser and a candidate.
120 An appraiser shall, at all times while he holds an authorization, maintain insurance against liability for errors and omissions with a minimum limit of $1,000.000.”
3. Council delegated to the Executive Director its power, duty and responsibility to administer the requirements of section 120 of the Rules.
Dated at Calgary this 4th day of May, 2011