13.—(1) Every estate agent shall take out and maintain in force at all times during the period in which it carries out estate agency work (whether directly or through salespersons) such insurance as is referred to in paragraph (2) that is of such minimum amount as is referred to in paragraph (3).
(2) The insurance shall be in respect of civil liability for negligence in the performance of estate agency work.
(3) Subject to paragraph (4), the minimum amount of insurance cover shall be —
(a)
$100,000 for an estate agent who is a sole proprietor and who does not employ or engage any salesperson;
(b)
$200,000 for estate agents with 2 to 10 representatives;
(c)
$300,000 for estate agents with 11 to 30 representatives;
(d)
$400,000 for estate agents with 31 to 50 representatives;
(e)
$600,000 for estate agents with 51 to 500 representatives; and
(f)
$1,000,000 for estate agents with more than 500 representatives.
(4) For the purposes of paragraph (3) —
(a)
“representative” means any natural person who undertakes or may undertake estate agency work;
(b)
the insurance cover may be subject to limitations on the coverage or liability in respect of any particular representative only if the limit is not less than $100,000;
(c)
the amount of insurance coverage may include the costs and expenses incurred in the defence or settlement of any insured claim; and
(d)
any deductible that may be applicable in respect of any claim against a salesperson shall not exceed $5,000 and any claim against an estate agent shall not exceed —
(i)
$5,000 for estate agents with not more than 50 representatives;
(ii)
$10,000 for estate agents with more than 50 but not more than 500 representatives; and
(iii)
$20,000 for estate agents with more than 500 representatives.