Kawartha Lakes Real Estate Library

Buyer & Seller Information

Kawartha Lakes Real Estate: Deposit Protection

Deposit Protection

When you work with a registered real estate broker or salesperson your deposit is protected subject to the terms and conditions of the insurance policy. All brokers and salespersons are required by law to participate in an insurance program that includes consumer deposit insurance. The premium for the insurance program, including the coverage that protects your deposit, is paid for by brokers and salespersons.


Consumer deposit insurance offers protection in the event of fraud, insolvency or misappropriation of funds by a registrant (e.g. a brokerage). There is no deductible under this coverage. However, the insurance policy contains clauses, which may limit the amount payable if there is a loss. The insurance provides coverage up to a maximum of $100,000 per claim. In the event the sum of all claims made by all consumers against a particular registrant related to an occurrence (e.g. a brokerage becomes bankrupt) exceeds $1,000,000, the amount recoverable by each consumer may be pro‐rated and limited to a portion of the maximum amount of $1,000,000 of coverage, subject to the terms and conditions of the insurance policy.


$100,000 per claim

$1 million per occurrence

No deductible

What’s not covered

Claims arising as a result of a registered broker or salesperson acting as an executor, administrator, trustee, guardian, conservator, or in any other fiduciary capacity other than as a broker or salesperson are not covered under the policy.



Kawartha Lakes Real Estate

How to make a claim

Information related to making a claim is provided below. Before making a claim you may want to contact RECO’s Insurance Department for more information.

Complete the Consumer Deposit Notice of Claim form, attach all relevant documentation and forward this information to:

Attention: Insurance Department

Real Estate Council of Ontario

3300 Bloor Street West

West Tower, Suite 1200

Toronto, ON M8X 2X2

Phone: 416‐207‐4841

Toll‐free: 1‐866‐757‐7772

Fax: 416‐207‐9020

E‐mail: insurance@reco.on.ca

*For the purpose of this document, a salesperson refers to both registered salespersons and registered brokers.

This publication contains general information only, produced by the Real Estate Council of Ontario (RECO)(RECO.CA) and should not be construed as legal or professional advice. For legal or professional advice specific to your real estate transaction or situation, you should seek the services of a professional.

Coldwell Banker R.M.R. Real Estate Brokerage Each Firm independently owned and operated.

Not Intended to Solicit Buyers or Sellers Currently Under Contract.


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