Protect Yourself With Errors and Omissions Insurance

Any person who owns a business where a professional service is provided can be held liable for errors and omissions. To protect your assets you need errors & omissions insurance.

One overlooked person for whom such insurance is vital, is the notary. Errors & omissions insurance covers the notary in case of a professional mistake. The policy even may cover the notary in the event of someone presenting false documentation.

Notaries are often validating signatures for multi-million dollar sales. In a world where the lawsuit is the answer to everyone’s problem, a notary does not need to be held liable for services that were provided in good faith, where an honest mistake was made.

Anyone can file a lawsuit against you for any reason. The legal fees can become overwhelming. In one case a notary was sued for notarizing a document for identity thieves. The ID thieves had state issued drivers licenses with their pictures. The bank and homeowner sued the notary for errors and omissions. This insurance will cover legal charges as well as the specified amount of any losses.

Many notaries are under the mistaken impression that their employers insurance or their bond will cover them when an error or omission is made. The notary commission belongs to a person and not to the company. Therefore, you can be sued as a person and on a personal level for any mistake real or perceived, made in the performance of your duty. Some notaries have had to file personal bankruptcy due to a lawsuit.

Having errors and omissions insurance means that the insurance company will provide attorneys needed in any lawsuit and will pay up to the specified amount of the insurance policy for the loss of a company by your error or omission.

Errors can be easily made, with no intent to defraud anyone. Even diligent notaries can be fooled by forged identities or by state issued identification cards that have been obtained under false pretenses. Do not let someone else’s dishonesty ruin your personal life.

A business owners insurance policy offers many basic protections a business needs, bundled together. An example of specialized coverage you can purchase is E and O insurance, which is for professionals offering a service.