Do I need E&O insurance as a notary?

Applies nationally Professional Services
Direct answer

Not to get commissioned — states mandate a surety bond, not E&O insurance. But the bond protects the public from your mistakes, and if it pays a claim you are required to pay the surety back. E&O is the optional policy that actually protects the notary. Bonded and insured are not the same thing.

Most notaries asking this question have already bought a bond, because the state made them, and assume that means they’re covered. They aren’t. The bond is a guarantee you give to everyone else. Whether anything protects you is a separate purchase — and no state’s commissioning checklist makes you complete it.

The bond protects them; E&O protects you

Notary surety bondNotary E&O insurance
Who it protectsThe public — signers and anyone financially harmed by your notarial actYou
Who requires itState law, in the many states that condition the commission on filing a bondNo one; it’s optional
When it paysSomeone proves financial harm from your mistake or misconductYou’re accused of an unintentional error or omission in a notarization
What happens after it paysThe surety collects from you — in the NNA’s words, “you’re required by law to pay it back”Nothing; the policy pays defense costs and settlements with no repayment

A bond is closer to a co-signed loan than to insurance. Its close cousin gets a full explanation on our sister site: is a surety bond the same as business insurance?

What states actually mandate

California is the clean example: Government Code § 8212 requires every notary to execute an official bond of $15,000 through an admitted surety. Texas requires a bond as well, and its Secretary of State draws the line about as plainly as a regulator can: E&O policies are “additional insurance purchased by the notary to protect the notary, and not the public.” Bond amounts and filing mechanics vary by state — your commissioning authority, usually the Secretary of State, publishes the rule that applies to you.

Two things do not vary. First, the bond never protects you; every state bond exists for the signer’s benefit. Second, the bond amount is not a ceiling on your exposure — the NNA notes a notary can be personally responsible for amounts beyond the bond, including court costs and legal fees. A defective acknowledgment on a deed or loan package can produce claimed damages that dwarf any statutory bond figure.

Where E&O earns its keep

  • Loan signings and high-value documents. The harm from a botched notarization scales with the document, not with your fee.
  • Defense costs. Even a claim you ultimately win has to be defended, and the bond contributes nothing to your side of that fight.
  • Employer coverage that isn’t yours. The NNA cautions notaries not to assume an employer’s policy protects them. Before relying on it, ask two questions: does it cover notarizations you perform outside work, and will it still defend you if your interests and your employer’s diverge?

A decision path

  1. File the bond your state requires — that’s the commission, not protection.
  2. If you notarize occasionally, low-value documents only, a modest E&O limit covers the defense-cost exposure.
  3. If you do loan signings, remote notarizations, or volume work, set the E&O limit against the documents you touch, not against the bond amount.
  4. If you’re employed, get your employer’s coverage terms in writing before deciding you don’t need your own policy.

Questions notaries actually ask

Is errors and omissions insurance required to become a notary? No state’s commissioning process we’ve reviewed treats E&O as a condition of the commission — the bond is the mandated instrument. The two are not substitutes in either direction.

Is a Texas notary required to carry errors and omissions insurance? No. Texas requires the bond; its Secretary of State describes E&O as additional, optional insurance that protects the notary rather than the public.

Does the surety bond cover the signers of the notary public? Yes — that’s precisely who it exists for. A harmed signer claims against the bond, the surety pays up to the bond amount, and the surety then recovers from the notary.

How much does notary E&O cost? Published averages conflict, and we don’t quote numbers we can’t stand behind. The decision that matters is the limit: it’s sold in tiers, usually for the length of your commission term, and the right tier tracks the value of documents you notarize — not the size of your state’s bond.


Bond amounts and commissioning rules are state law. We cite California and Texas as verified examples; check your own Secretary of State rather than generalizing from either.

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Sources

  1. National Notary Association — Differences between E&O and bonds — The bond protects the public; a notary is required by law to repay bond claims and can be personally liable beyond the bond amount; E&O protects the notary
  2. California Government Code § 8212 — official bond of notary public — Statutory example: every California notary must execute a $15,000 official bond from an admitted surety insurer
  3. Texas Secretary of State — Notary public FAQ — Defines the bond as a promise to pay for losses caused by the notary, and states E&O policies are 'additional insurance purchased by the notary to protect the notary, and not the public'