E&O Insurance Cost

Question: How much is E&O per transaction?

The Risk Management fee, which includes E&O coverage, is $129 per transaction up to 1 million dollars. After the first million you pay an additional $68 per $100,000. Or, in other words, an extra $680 per million over the first million. So if you made 2.5% commission on that extra million dollar in sales price, you would get $24,320 of the $25,000. That's over 97% of the commission staying in your pocket!