Mortgage Broker Insurance
Mortgage broker insurance typically leads with originator errors and omissions for mistakes in loan applications, disclosures, and processing, then adds a surety bond required for licensing, cyber liability for borrower data and wire fraud, a business owners policy, workers’ compensation, and employment practices liability. In California, brokers are licensed through NMLS and the DFPI, and a surety bond is not the same as insurance for your business.
You handle sensitive borrower financial data, move loan files under deadline, and operate in a heavily regulated space. We help California mortgage brokers and originators build coverage that fits the licensing requirements and the day-to-day risks of the work.
What does mortgage broker insurance cover?
- Mortgage broker or originator E&O, the professional liability coverage for errors in loan applications, disclosures, and processing.
- Surety bond, typically required for licensing through NMLS and the California DFPI.
- Cyber liability, given the borrower financial data you hold and the wire-fraud exposure around funding.
- Business owners policy (BOP), pairing general liability with office property coverage.
- Workers’ compensation, required in California once you have any employees.
Who needs it? Mortgage brokers and loan originators licensed through the NMLS and regulated by the California DFPI.
Mortgage brokers and originators in California are licensed through the NMLS and regulated by the Department of Financial Protection and Innovation (DFPI), and a surety bond is typically required as a condition of licensing. A surety bond protects your borrowers and the state, and is not the same as insurance that protects your business, so most brokers carry both.
How we help: We start with your license type, loan volume, and staffing, then align your E&O, cyber, and other coverage with your NMLS and DFPI obligations. We explain the difference between the surety bond you are required to carry and the insurance that protects your own business.
