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Real estate agents with obligatory legal liability insurance

Real estate agents with obligatory legal liability insurance

Dodano: 2017-10-03

An amendment to the real estate management act has come into force, introducing new regulations for real estate management professionals, including for real estate agents, facility managers and real estate appraisers. The new regulations also introduce penalties for lack of legal liability insurance by agents.

The new regulations introduce stiff penalties for managers and agents for not having legal liability insurance. Agents can now be forced to pay fines of between double and five times the average Polish monthly salary, as stipulated by the Polish Central Statistical Office (currently app. PLN 8,000–20,000). The sanctions for facility managers who have not taken out the obligatory insurance are even higher – from four to ten times the average monthly salary (PLN 16,000–40,000). The penalties are to be imposed by the trade’s ombudsman in the form of administrative decisions. Copies of the policies must be attached to management and agency contracts.

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