And a disclaimer...I am not an insurance agent and recommend a person consult one that specializes in E&O as well as bonds. Get to know the difference.
1. You never give up the right to contest in court an allegation against you, covered by insurance or not. The question becomes is an IC properly and sufficiently covered? You may come away clean but you will have defense fees if not properly covered. As an IC, you should assume you may get sued for something out of your control and for which you had no direct connection. It comes with the territory.
2. To answer the second part of your question...Can an E&O carrier refuse to cover any situation that comes along? They can try , and I would submit that is a big part of their job, so being sufficiently insured with a reputable company through a reputable ins broker may go a long way.
http://www.nationalnotary.org/notary-bulletin/blog/2015/05/important-faqs-about-notary-eo-insurance
Here's another interesting question: What if, your E&O insurance company is the same as used by title and they are on the hook for both of you? If that makes you chuckle read on...
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Many years ago I was in Boston and stood at the Copley Plaza Hotel. Practically next door was the John Hancock Tower building, the tallest building in Boston at the time. During high winds, the windows from the John Hancock Tower would pop out and fly down on the roof of the Copley Hotel. The Copley sued John Hancock. John Hancock sued the general contractor. The general contractor sued the window contractor. The window contractor said fine, I'm insured through John Hancock.
I think we were told that story by a tour guide and though I can't rely on its full accuracy, I've enjoyed telling the story for many years to people who feel they are safe because 'they have a letter from their attorney saying so' or some such thing. Think again! |
| Messages in this Thread |
|  Would you sign this? -  bhb/VA on 10/12/21 8:42pm |
|  left out quote mark after "settlement negotiations." n/m - bhb/VA on 10/12/21 8:45pm |
| Is this an office job with set hours? n/m - Colonel/IA on 10/13/21 7:08am |
|  Re: Is this an office job with set hours? - bhb/VA on 10/13/21 1:37pm |
|  Pt.time employee to, basically, a Title Co's liabilities? NO n/m - Lee/AR on 10/13/21 3:27pm |
| Well, look at it like this - Luckydog on 10/14/21 8:48am |
| I don't think so... - Lee/AR on 10/13/21 7:29am |
| You have E&O Insurance, right? I'm not an attorney but - MW/VA on 10/13/21 7:55am |
| Re: You have E&O Insurance, right? I - bhb/VA on 10/13/21 1:17pm |
| Re: Would you sign this? - Yoli/CA on 10/13/21 8:01am |
| Being a mobile NSA for the company and - Linda_H/FL on 10/13/21 8:05am |
| Re: Being a mobile NSA for the company and - Cheryl Elliott on 10/13/21 8:24am |
| Add'l thoughts & questions - Lee/AR on 10/13/21 8:28am |
| NO NO NO!! - Signerbill on 10/13/21 10:34am |
| I'm reading that you ARE and have been an IC - Bear900/CA on 10/13/21 11:37am |
| Would signing affect E & O insurance? - VT_Syrup on 10/13/21 12:27pm |
 | Two things, and probably much more - Bear900/CA on 10/13/21 1:04pm |
|  Re: Two things, and probably much more - Cheryl Elliott on 10/13/21 1:12pm |
| Love, love, love the tale. True or not, it makes sense. n/m - Lee/AR on 10/13/21 3:23pm |
| Newbies: Msg above is a must-read re liability/exposure! n/m - JanetK_CA on 10/13/21 3:10pm |
| Re: Would you sign this? - bhb/VA on 10/13/21 1:34pm |
| Re: Would you sign this? - Luckydog on 10/13/21 2:22pm |
| Re: Would you sign this? - bhb/VA on 10/13/21 8:42pm |
| Re: Would you sign this? - pdl/cali on 10/13/21 2:33pm |
| Pathetic attorney, calling notaries? - Bear900/CA on 10/13/21 2:39pm |
| Re: Would you sign this? - JanetK_CA on 10/13/21 3:29pm |
