Notary Bulletin Housing, 'Robo' Crises Put Spotlight On Need For E&O Insurance By NNA Staff on November 02, 2012 in Signing Professionals, Best Practices The collapse of the housing market and subsequent foreclosure crisis have led to an increase in litigation, causing people throughout the legal, financial and real estate industries to take a closer look at errors and omissions insurance. Highlighting that trend, a recent article in The Legal Description discussed the importance of E&O insurance in the title industry. “Poorly conducted title searches along with ill-conceived mortgage products and the resulting ‘robo-signing’ claims and foreclosure debacle, focused closer attention on all real estate transactions,” author Andrea Golby wrote. The article offered the following tips for those considering E&O coverage: Find an agent that specializes in the type of coverage for your industry. The NNA’s E&O site provides specifics for Notaries. When purchasing a policy, be sure to obtain the proper amount of coverage for the type of acts you perform. For example, NSAs handling high value real estate closings may want to carry a larger policy. Carefully consider the amount of deductible when applying for coverage. (NNA policies do not have a deductible.) Understand the extent of the policy and what it provides. E&O insurance covers negligent acts only — not those that are deliberate or fraudulent. If your employer carries E&O insurance, understand the limits. It may not cover you for notarizations you perform outside of work hours or for non-work clients. The cover story in the November issue of The National Notary details information about E&O coverage for Notaries — why it is needed, how it differs from a surety bond, how to determine how much to carry, and where to purchase it. Email Share Leave a Comment Required * Name * Email *(for verfication purposes only) Comment * Enter the text shown in this image *(text is case sensitive)All comments are reviewed and if approved, will display.