Errors And Omissions Insurance For Professionals
Any individual which owns a business where professional service is provided may be accountable for errors and omissions. Because you want to be covered, errors and omission insurance is a must.
A perfect example of a person who should consider carrying E & O insurance would be a notary because this type of coverage offers coverage in the event of an error having been made in the professional work.
Notary publics are often validating autographs for multi-million dollar property contracts. In a nation where the answer to most problems is a lawsuit, one can’t afford to be held responsible for this kind of land dealing which has gone bad. You were just doing your assigned job as a notary public.
ID fraud is becoming a growing problem these days. Identity thieves are so good at what they do that he or she could have state issued driver licenses with their photograph on the front. In a specific case, the notary was taken to court by both the homeowner as well as the financial institution, never mind the notary public followed state procedure to make sure the people signing were exactly who they indicated they were.
Many notary publics make the assumption that their employers insurance, or the employer’s bond, covers them when an error or omission is made, therefore it is vital to get the correct business general liability insurance. The notary commission belongs to an individual and not to the business. Therefore, you may be taken to court as an individual as well as on a private level for any mistake, whether deemed real or perceived, made in the performance of your duty. A few notaries have had to file personal bankruptcy because of litigation.
The best thing to do is to purchase errors and omissions insurance. The insurance company will give you attorneys for your defense as well as will provide you with the sum stipulated when the insurance for small business was purchased.
It’s easy to commit errors, with no intent to defraud. Diligent notary publics might, at times, be duped through a faked character, or even a government issued identification. Don’t let another person’s dishonesty ruin your private life.