A notary public plays a major role in business and law. Almost all the things that you do in your daily life need legal backing and proof. It is the job of a notary to administer these duties. The notary is a public servant whose chief powers include conducting oaths and attesting to signatures, both important and valuable ways to minimize fraud in legal documents.
Notary public insurance is available for all licensed notaries and their employers, so that they can perform their duties with confidence. The policy covers the notary for responsibility due to accidental mistakes Notary Public Austin. To be precise, notary public insurance protects a notary when he makes a mistake that causes his customer to suffer financial loss.
If you wish to become a licensed notary, then be prepared for a few tests and checks as not everyone who applies for the position is accepted. You also need to put down a cash bond in order to practice as a notary public. A notary bond only protects the public. This can be attained from insurance providers, but personal property can also be submitted as security. When a bonding firm pays for a loss on a bond it has the legal power to recover the loss from you. Here, the notary public insurance company pays your claim from the start.
Notary public insurance thus protects a notary from financial liability in the case of an error while performing notarization duties. Though the suit is not convincing, you could still be faced with a legal bill for defending yourself. If you are not insured, you will pay those defense charges out of your own pocket, win or lose. Lots of notaries purchase errors and omissions insurance (E&O) for their exclusive protection.
The insurer pays damages imposed in a settlement agreement up to the limits of the policy coverage. Most policies also provide the notary with legal defense at no additional cost. Many states require notary insurance as compulsory for mobile signing agents. Notary insurance is not expensive and worth the investment. In addition to individual notary public insurance, there are group coverage policies for smart businesses that try to guard the company and the notaries who work for them.