Whether you work for a larger firm or run your own business, Notary Public insurance is an important investment that can protect you. While it’s difficult to put additional expenses into your existing budget, Notary Public insurance is a common-sense decision for any Notary Public.
Although insurance isn’t technically required by law, it is a small expense to pay for peace of mind and the knowledge that you won’t be affected by litigation. You should understand the risks that every Notary Public face in order to make an informed decision for you and your business.
What Is Notary Public Liability Insurance?
Notary Public insurance can protect you from what can be extremely costly settlements and verdicts, not to mention legal fees. But many Notary Publics don’t understand the risks they face in their professional lives and how insurance can cover them in a worst-case scenario.
This type of insurance is known as Errors and Omissions (E & O) insurance because it protects you from allegations of errors and omissions in your work. Professional Liability insurance is common for professionals who face risks in a wide range of fields.
Professional Liability insurance is intended for those who are paid to provide counselling or advice. A policy will protect you from damages related to any actions, services, or recommendations. It can even extend to your employees and independent contractors.
Why Is Notary Public Liability Insurance So Important?
It’s common for professionals to assume their insurance needs are covered by their firm, but this isn’t always the case. Most companies have their own insurance, but this doesn’t always cover their employees individually, meaning that you could be left to protect yourself from a lawsuit.
Even the most experienced Notary Publics are bound to make a minor mistake at some point, underscoring the need for insurance. But even if you’re never found responsible for damages, Notary Public Liability insurance is still an important investment. Without insurance, you’ll be forced to pay for your own defense.
Another common misconception is that notary bonds are sufficient enough to protect you from this type of claim, but notary bonds don’t provide the security of Notary Public insurance. The bottom line is that every Notary Public should be covered by a Professional Liability insurance policy from a reliable firm.
The Cost of Notary Public Liability Insurance
The benefits of Notary Public insurance should be clear, but the cost is still an important question. There’s no way to determine exactly what you and your firm will pay for a policy, but premiums are typically based on a few factors.
The most important criteria that insurance companies will consider include:
- the size of your business
- its location
- your previous record of claims.
Some firms will want to get an understanding of your training protocols in order to predict your odds of facing allegations in the future.
Insurance companies need to take all these factors into consideration when it comes to calculating the cost of the policy. It’s difficult to predict the precise costs, however, the yearly median cost of a Professional Liability insurance plan is roughly $600, with an average of $767.24. The majority of our clients pay premiums of less than $51 per month. State-issued notary bonds are significantly more expensive and provide less protection.
You can find competitive quotes from A-rated insurers at BizInsure.
Why You Need Notary Public Insurance
The protection provided by Notary Public Liability insurance makes it an obvious choice for every Notary Public. In addition to the significant legal costs, settlements, and verdicts associated with litigation, a policy will also protect your financials and reputation in the long-term.
Your premiums will depend on a variety of factors including your claim history, business size, and turnover. With a median cost of only $600, it’s a small investment that can provide much more in coverage. Whether you run your own business or work for a larger firm, there’s no reason to put off getting coverage.