Escrow Office Insurance

Business Owner’s Policy (BOP)

Many escrow offices choose a Business Owner’s Policy because it bundles liability and property protection at a better rate. Property coverage means your physical space and its contents are protected—computers, file cabinets, office furniture, and even the paper records you still need to keep on hand. Just as important, a BOP often includes business interruption coverage. If fire, theft, or a storm forces you to close your doors, the policy helps replace lost income and cover rent, payroll, and other bills until you’re back in business.

Examples:

• A lightning strike causes a fire that destroys closing files and computer hardware.
• Someone breaks in and steals all of your company's laptops and backup drives.
• You lose income because your office roof was damaged during a storm and you're unable to work.

What’s NOT covered under a typical Escrow Office BOP (common gaps):

• Professional mistakes (handled by E&O, not general liability)
• Data breaches, ransomware, and many wire-fraud scenarios (handled by cyber, sometimes crime)
• Employee dishonesty (often needs crime/fidelity)
• Flood/earthquake in many cases (usually separate policies/endorsements)
• Wear and tear or equipment aging

Workers’ Compensation for Escrow Office

Even in a professional office setting, employees can get hurt. This is surprising for some, because the first thought is that sitting and working at a desk is as safe as you can get. But things happen all the time, that cause workers to need medical treatment because they were injured on the job. This coverage is required in most states if you have staff, and it protects both your employees and your business.

Examples:

• An escrow assistant develops carpal tunnel after years of typing contracts.
• An employee slips on an icy staircase outside the office and needs surgery and weeks of recovery.
• A runner delivering closing packets to a law office trips on a curb, resulting in a hospital visit and follow-up care.

FAQs for Escrow Office Insurance

How much does coverage cost?
Premiums vary, but many escrow offices spend between $700 and $3,000 annually depending on size, location, and services offered.

How do I get insured?
Work with a commercial agent who understands escrow risks. They can bundle policies and adjust coverage so you don’t pay for protection you don’t need.

Why would my landlord ask for an additional insured endorsement?
An additional insured endorsement may provide your landlord protection for certain claims arising out of your leased premises or your operations.

What is a certificate of insurance?
It’s a document that proves you have active coverage. Lenders, partners, and regulators often require it before working with you.

Is cyber insurance really necessary?
Escrow offices are prime targets for hackers because you handle personal and financial data every day.

Is errors and omissions required?
Requirements vary by state and by license type. Many jurisdictions require a surety bond and may require fidelity coverage. E&O is commonly requested by clients, lenders, and counterparties and it’s a standard part of an escrow office risk plan.

Can home-based escrow agents get covered?
Absolutely. Coverage can be tailored for professionals who work from a home office.

Does insurance protect me against employee fraud?
Only if you carry a fidelity bond or employee dishonesty coverage—both are strongly recommended and sometimes mandatory.