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What is a Notary Public?

Posted September 30th, 2009 by admin

A notary is an appointed position by the Secretary of State’s office in a given state. Just like most public officials, the State specifies that the individual get a notary bond before getting their commission. This bond “makes sure” that when the notary violates the public trust through negligence of their responsibilities, funds are available to reimburse the State for its loss.

The main duty of notary publics is to ensure that the individual parties to a contract are who they claim to be. The State may suffer a loss if the notary public neglects to properly confirm the identity of the parties.

As a public official, the notary violates the public trust by failing in their responsibility to confirm identity. If a California notary public doesn’t confirm identity and a loss occurs, an injured party can file a claim against that State for their loss, because the State was negligent through its appointed representative.

A surety bond is a guarantee of payment to the obligee (the State) when losses occur for a penalty amount of the bond. Notary bonds are often provided by a surety company (typically an insurance carrier). The bond usually runs concurrently with the term of the notary’s commission.

You’re probably familiar with a home insurance policy. When you have a home insurance in Indiana claim, the insurance company pays the claim and writes off the loss. You aren’t required to reimburse the carrier for the claim. Unlike a homeowners insurance policy however, a notary bond is simply a guarantee that the funds will be available should losses occur. The surety (insurance company) pays the State up to the penalty amount of the bond. However, this loss paid by the carrier is not simply written off. The surety will most likely seek reimbursement from the bonded party, the notary themself.

A notary bond protects the public. Who protects the notary? Insurance coverage is available to provide this protection - it’s called Notary Public E & O and can also be purchased for a nominal fee from insurance companies.

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