In his guest column, Challenging the myth of unbundling, in the October 2002 issue of REM, Richard Forster refers to RECO’s insurance claims statistics. Unfortunately, Mr. Forster misquoted Alan Silverstein, chair of RECO’s Insurance Committee, regarding these statistics.

Mr. Forster wrote: “Recently it was announced, at the 5th Annual General Meeting of the Real Estate Council of Ontario, that more than 70 per cent of the claims paid out from the province‑ wide errors and omissions insurance fund involved dual agency.”

In fact, at RECO’s Annual General Meeting in June 2002, Mr. Silverstein stated that “71 per cent of the overall number of claims reported are residential claims”. Mr. Silverstein went on to say that, “Claims are most frequently reported by Listing Brokers, and that claims involving dual agency have the highest average claims payments and reserves.” At no time did Mr. Silverstein state that 70 per cent of claims involved dual agency.

 

Tom Wright

President/CEO

Real Estate Council of Ontario

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