We are all bound to make mistakes at some point due to distraction, fatigue, or when overworked. Since you deal with essential and sensitive documents as a notary, you need protection when you make a mistake. Even unintentional errors can easily cost you money and you don’t want to put your business or personal assets at risk. Notary insurance is a smart investment that can keep you and your business protected in the case such mistakes occur. You can get this cover from insurers in Mesa, AZ like Lifetime Investments.
Notary insurance consists of an E&O (errors and omissions) policy designed to protect you in case a client experiences an injury or loss due to your misinformation, negligence, or other errors. This is the key component of your risk management and asset protection coverage. It protects you when you notarize a document unintentionally and improperly. However, the policy will not protect a notary who incorrectly notarizes paperwork intentionally or offers protection against any liability problems outside a notary practice.
Your E&O policy offers the following protection when a claim is filed against you:
- Offers expert legal defense provided by the insurance company lawyers
- Covers court expenses as well as attorney charges
- Pays any claims in case you are at fault
- Prevents people from filing false claims
Remember that a notary E&O insurance policy is necessary if you’re a notary. The state laws state that the notary public is liable for any damages if he or she causes harm to the public due to an error or omission. The best way to protect yourself is to get coverage from Lifetime Investments, an insurance company that serves the entire Mesa, AZ area and its environs. Be sure to contact us for more information or if you need a notary error and omission insurance policy.
As a notary public, you are the official witness to a live person signing their name on the requested documents. These papers could have one signer or multiple signers, and it is your job to confirm the identity of those people signing. Typically the interaction between the notary and the signer will take place in person; however, there are occasions where the document is signed first and then taken to the notary public by the person who signed it. At that point, the person who signed it will declare to the notary that it is their signature and they signed it.
If you are thinking about becoming a notary than it is essential to consider notary insurance or Errors and Omissions Insurance, one your state may require it as part of your commission and two, it is wise to protect yourself. E&O insurance as it is often called protects against negligent acts committed while you are acting as a notary public.
E&O insurance is different from general liability insurance as it won’t protect you if you are in an auto accident driving to a closing with clients but it will protect if you negligently notarize a document. However, if you knowingly notarize a forged or false signature, you will not have any coverage because it was done intentionally. This coverage only works when your notarial act was done unknowingly and unintentional.
So do you need notary insurance or E & O? Well, your state may require it, so you will need to purchase E & O. If not, then it is still a good idea to buy this insurance. It is not that expensive, and it is worth it to you and your family in case something terrible happens.
If you are in Mesa, AZ and would like to discuss notary insurance, please call Lifetime Investments today.