Posted by anotarygirl on 7/29/08 8:27pm
Msg #257614

e & o ins

I was asked to do a weird transaction. Verify docs signed by another notary and submit an invoice because I have the right amount of e & o for the lender but the notary who completed the transaction does not. Does anyone know if you can carry e & o for coporation (my notary biz is incorporated). My e & o is under just my name. I thought e & o was individual? Help!

Reply by Les_CO on 7/29/08 9:07pm
Msg #257617

I would guess your notary commission is in your name...not your Corporation's. As such your E&O insurance would only cover your personal acts. You could buy general liability insurance for your Corp.

Reply by MikeC/NY on 7/29/08 10:38pm
Msg #257622

"Verify docs signed by another notary and submit an invoice because I have the right amount of e & o for the lender but the notary who completed the transaction does not. Does anyone know if you can carry e & o for coporation (my notary biz is incorporated). My e & o is under just my name. I thought e & o was individual?"

I don't understand why the hiring entity thinks YOUR E&O will be helpful if the other notary screwed up. You're just reviewing the docs and not performing any notarial acts, so you're not functioning as a notary; I'm not sure your E&O would apply. Besides, why would you want to take the hit against your insurance for a mistake someone else made?

Reply by Mung/CA on 7/30/08 12:23am
Msg #257625

why don't you ask your E & O carrier? n/m

Reply by Lee/AR on 7/30/08 7:06am
Msg #257629

my thoughts, too, Mike.

Sounds like pass-thru liability and a bit scammy. Hire a notary w/small e&o, pay him/her for signing; hire 2nd notary (for much less than signing??) pay her little to 'get at' big e&o? It just doesn't sound right. But, I don't KNOW.

Reply by MW/VA on 7/30/08 11:29am
Msg #257658

Sounds like this company is trying to use you to cover their a--. If it were me I wouldn't have any part of it. Why would you assume any liability in the matter? It would be an interesting question for an attorney. It is my understanding that E&O insurance is viewed in a couple of different ways. TC's and others in the industry are required to carry larger amounts due to their involvement in the transaction. FYI, E&O insurance for notaries only covers an unintentional error & does not cover us in the capacity of signing agent.