Oct
21
Errors & Omissions Insurance – Professional Insurance
October 21, 2009 | Leave a Comment
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.
Notaries Public should be sure that they also have errors and omissions insurance. This insurance offers coverage in the event of a mistake being made in your professional work.
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 have the mistaken impression that their employers insurance will cover them in case of an error or omission in their work; however, that commission belongs to the notary and not his employer. As a notary, you can be sued on a personal level for errors or omissions in performance of you duties. This has lead some notaries to have to file personal bankruptcy because of the suits.
A better way is to pay the small fee to purchase errors and omissions insurance. The insurance company will provide lawyers for your defense and will pay up to the amount agreed upon when the insurance was purchased.
It is easy to make a mistake, with not desire to defraud. Diligent notaries may sometimes be fooled through a forged identity or even a state issued identification. Do not let another person’s dishonesty destroy 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.
categories: small business insurance,business insurance,home business insurance,entrepreneur insurance,liability insurance
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