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Apr 17, 2022
What is Errors and Omissions Insurance?
An E&O policy is extremely clear on what it covers. So, it is important to read your policy carefully and understand the coverage. The insurance will only cover acts performed as a notary. Should you incur liability irrespective of your notarial duties, don’t expect your actions to be covered. It only covers mistakes relative to notarial acts. Again, read and understand what your policy covers.
E&O insurance is there if you make a mistake during the notarial process. But, it will not protect you for malfeasance or any intent to circumvent the law. If you make a mistake deemed intentional, your E&O insurance will not cover you. We discussed malfeasance in our previous blog.
If you decide to register as an e-notary, it is recommended that you get Errors and Omissions Insurance. You are welcome to read our article, Does a New York Notary Have Liability?
What does Errors and Omissions Insurance Cover?
Again, read your policy carefully, and understand it. But, if a customer makes a claim for damages against you, you are covered up to a certain amount. Without insurance you are personally liable for any damages which your mistake caused. The key here is “Mistake.” We all make mistakes. So, at some point you will make a mistake. Should your mistake cause harm to a constituent, E&O insurance will be there for you if you have to go to court.
What does it Cost?
Well, you will need to shop. Prices vary. You can spend anywhere from $20 to $100 a month, or more. However, much depends on how much coverage you deem necessary. The National Notary Association says you can protect yourself for as little as $3 a month in New York.
If you have other questions about becoming a notary public in NY, feel free to read our list of frequently asked questions.