E&O insurance quote

I received this today and thought it maybe of interest.

Dear OAHI Member,

Please find the attached “Product Information Sheet” outlining our
insurance proposal for Residential Home Inspectors who are currently
operating within Ontario. Please take the time to review the attachment
and please feel free to contact our office at 1-800-519-6277 in order to receive a free-no obligation quote for your business.


So Raymond as a OAHI Member this is good news, yes/no as a member of OAHI E&O Insurance is a must is it not??:wink:

Thanks Raymond very interesting .
No Chuck at this time it is not ,some would like it to be .
They wanted the person with out insurance to get a form signed by the home purchaser acknowledging that the inspector had no insurance .
Some times OAHI does some strange things and the BOD seems to wonder around bending the rules and making up new ones .
It will be interesting to see how the membership likes this and what if any loop holes there are .
I and many others feel insurance is a decision for the HI to make and the inspectors decision only.

Roy Cooke . RHI… Royshomeinspection.com… CAHPI-ON

Either way you slice it insurance is costly. This policy has a lot of bells and whistles. This is another reason to licence home inspectors because it would be an ideal time for home inspectors to push for legislation which could limit our liability, at least here in Ontario, and I assume the rest of Canada if other provinces were to licence as we see in BC.

I know some do not wish for licencing but the inspection industry is so fractured there maybe no other way. Licencing is the trend by all accounts.

Membership dues, business cards, phone, interenet, advertising, tools, business supplies, GAS, expensive courses from OAHI,…and insurance! Unless you have a job or money to survive while you get the business off the ground you might be eating a lot of KD or worse!

In some cases forcing new home inspectors to pay for expensive insurance is a sure fire way to send them packing especially if your a student member (not allowed to practice).

True Chris.

They give the option of disclosing no E&O but do not provide any guidance on what the disclosure form should say. Just another tool to drag out the membership upgrade. I paid $4200 for insurance to be told to quit or wait for the upgrade. I had the balls to give them the one finger salute. Hopefully more and more will do the same.

Craig did you contact Revenue Canada in regards to the fine and the GST levied to see if a fine is taxable?

The reason OAHI does not do away with insurance is because it is a requirement of PR 158. In order to do away with insurance PR 158 would have to be changed as would the by-laws to reflect the changes of non requirement. To change PR 158 would require the legislature to ammend the legislation.

Please would someone explain to me the rational why a Stundent in Oahi is not permitted to inspect. He maybe a Student Member, but if he is not advertising he is affiliated with OAHI in any way shape or manner, what is the beef? Why would he be required to have insurance if he is not allowed to inspect? It doesn’t make sense? If he is inspecting as a full Nachi member it is none of OAHI’s business. There is no rule against dual membership in OAHI by-laws. So would someone please provide the rational of it all?

Please what am I missing?

Then how come so many do not have E&O??

Ray the fine was called an “administrative fee”. I’m sure this is how they get around this.

How are things going with you? I hope all is well.



My guess is that they are trying to model their organization after a provincial licencing body. They seem to behave sort of like OREA. They are behaving as if they are granting licences rather than voluntary accreditation.

I don’t know how many do not have insurance but it is optional with OAHI. If you do not have insurance you are to provide this information to your client in the contract with him/her. Whether or not its enforced is difficult to say because the system is open to abuse as there are no audits. It is suicide I think to admit by way of contract you are not insured. Even then it is very costly, and not everyone meets the criteria for E&O or the premium is so high, or they have had past claims, the insurer won’t insure based on reporting system, contract, services, advertising, et ceteras. It tough an many inspector cannot get insurance through no fault of their own.

Recently realtors were invoiced something like $150 for E&O premiums!


Yes you are correct. Oahi is not a public authority. It really has very little power both internally and externally because it is voluntary. Its granting authority PR 158 limits it abilities essentially to a voluntary, non profit, incorporated entity, reporting to itself. Therein lies the problem with reporting to ones self…


I wish I had all the answers but I don’t. All I know is being a student, expected to pay for all these mandatory courses and business expenses, membership dues, etc,… and not a allowed to practice is a catch 22!! It was either get out or drown!

Student Members Student Members are non-practicing members and are in the process of advancing their membership category. Student Members have yet to complete any or all of the following: mandatory educational requirements, paid inspection requirement, or technical background review. Student Members are not permitted to show any affiliation with the OAHI.

I do not under stand the rationale of requiring unqualified people doing paid inspections. If the association was serious about protecting the public’s interest this condition would be thrown out. Forcing untrained people to do inspections reflects on the whole industry and should be stopped.
The requirement should be that inexperienced inspectors have to do a certain number of inspections under the direct supervision of a certified inspector and then pass a test after completing these inspections. The mentor would be fully responsible for the actions of the trainee until he has completed the whole program and is them fully qualified to work on his own.
It would also likely lower the insurance premiums.

PS How can they be “non-practicing members” when they are collecting money for their inspections.
Sounds like the goal is to become a member reather then a compentent HI.

But… if the Student is a PEO or Contractor, and is already doing inspections prior to joining OAHI and is practicing as home inspector as a PEO or Contractor OAHI cannot force him to stop performing inspections.
The whole Student category is crazy.

If one is not advertising OAHI in anyway shape or form as a Student, then OAHI has no just cause to take action. To infringe on the by-law the Student would have to advertising affiliation with OAHI. Even if the Student has a website advertising home inspections and no mention of OAHI the Student is not in contravention, nor his he in contravention if he is charging for the inspections and not mentioning OAHI.

The by-law is convoluted and contrary and anti competitive and being manipulated to suit the agenda of OAHI. Keep the student down, collect membership fees, education fees, don’t allow him to vote, and deny him a right to earn a livelihood, and impose administrative fees. Lets pull wool over their eyes and keep the coffers flush!

This is exactly what OAHI has done for years keep the door almost closed . Open it just enough to allow some to become RHIs .They remain constant just over the 200± number of RHIs. Those who move up are by this time so indentured into the system the go completely along with it .
Aug 2004 212 RHIs
July 2005 210 RHIs
June 2006 208 RHIs …approx
They have around in each year
about 100± associates
about 10± Applicants and
about 250± students.
They milk these at the bottom and never tell them that the odds are very small of ever becoming and RHI.
The charge the high fees to belong and give them no returns .
They charge them large fees for the courses
( that are taught by many of the (BOD) ( I understand many of these make more money from teaching then they do from Home inspections.)
They sell a huge number of OAHI packages to want to be home inspectors .
I do not think these numbers have ever been released.
They continually use intimidation to keep those at the bottom from advancing
They Levey bogus charges and fines as they see fit .
Information asked for is seldom given .
I was on the election committee for a few years and they always had irregularities on them .

Roy Cooke Happy that NACHI supports its members

It’s pretty simple Ray. All of these restricitons, requirements and incredible expenses are aimed at thinning the herd. OAHI is not interested in increasing the number of home inspectors. They, being a liberal organization in a liberal province in a liberal country are deathly afraid of free enterprise and are unwilling to allow the market place to remove poor inspectors through attrition. This would mean that they were not in control of every aspect of an HI’s life and then all hell would break loose!

There would be riots in the streets, cats sleeping with dogs and the Leafs winning the Stanley cup.

That is why the org. will ultimately fail. Unless they have complete control of the HI industry in Ontario ( and Canada through the national) giving them the ability to dictate who will be and who will not be a Home Inspector more member friendly organizatons will flourish. HI’s will always discover this and other organizations ( C.F.I.H.I.) that provide services and actually help their members. And that is an anathema to OAHI.

You get the government you deserve.

Do you think CAPHI will ever change it’s ways?