Michigan Notary E&O Insurance: Coverage, Risks, and Legal Rules
Understand Michigan notary liability, common mistakes, and how optional errors & omissions insurance differs from the required surety bond.
Michigan notaries have important legal responsibilities when verifying identities, witnessing signatures, and completing notarial acts. Michigan requires notaries to exercise reasonable care when performing these duties, and a notary may face financial liability when an error, omission, or official misconduct causes someone financial harm.
Notary Errors & Omissions (E&O) insurance is optional coverage designed to help protect a notary against certain covered claims involving mistakes or omissions made while performing notarial duties. It serves a different purpose from Michigan’s required $10,000 surety bond, which protects the public rather than the notary.
Michigan Notary E&O Insurance at a Glance
- Required by Michigan? No. Notary E&O insurance is optional.
- Who is it designed to protect? The insured notary, subject to the policy’s terms and conditions.
- Does it replace the $10,000 notary bond? No.
- Can a Michigan notary face civil liability? Yes. A notary may be liable for financial damages caused by negligence or misconduct.
- Are all mistakes covered? No. Coverage depends on the policy’s terms, limits, conditions, and exclusions.
- Does the required surety bond protect the notary? No. The bond protects the public.
Can a Michigan Notary Be Held Personally Liable for a Mistake?
Yes. Michigan’s notary guidance states that notaries must act responsibly and exercise reasonable care while performing their official duties. A failure to do so may expose a notary to a civil claim for financial damages caused by an error or omission.
Michigan law also provides that a notary and the sureties on the notary’s surety bond can be liable for damages sustained by a person injured by the notary’s official misconduct. Michigan defines official misconduct to include certain unauthorized, unlawful, abusive, negligent, reckless, or injurious performance of a notarial duty.
Important distinction: Michigan law also provides that a notary is not responsible for the truth, form, or contents of a record simply because the notary performed a notarial act on it. A notary’s responsibility centers on properly performing the required notarial duties.
For current requirements and legal guidance, review the Michigan Department of State Notary Services.
What Is Michigan Notary Errors & Omissions Insurance?
Notary Errors & Omissions insurance is a form of professional liability coverage intended to help protect an insured notary against certain claims alleging an error or omission while performing covered notarial duties.
For example, a notary could face an allegation that an identification procedure was handled improperly or that required information was omitted from a notarial certificate. Even when a notary believes they performed the notarization correctly, responding to an allegation can take time and cost money.
The protection provided by E&O insurance depends on the specific policy. Not every allegation, expense, or notarial act is automatically covered.
Michigan Notary Bond vs. E&O Insurance
A surety bond and E&O insurance are often discussed together, but they serve different purposes.
| Feature | $10,000 Michigan Notary Bond | Notary E&O Insurance |
|---|---|---|
| Required by Michigan? | Yes, for most applicants | No |
| Primarily protects | The public | The insured notary |
| Required amount | $10,000 | Michigan does not establish a required E&O limit. |
| Repayment after a claim | The surety may seek reimbursement from the notary. | Does not operate like a surety bond; coverage is subject to policy terms |
| Does it replace the other? | No | No |
If you are applying for a new commission or renewing an existing commission, see our Michigan Notary Bond Requirements & Application Guide for information about the required $10,000 bond, county filing, and application process.
Common Notary Mistakes That Can Create Liability
Notary liability doesn’t require an elaborate mistake. Problems can arise when a basic step in the notarization process is overlooked or performed incorrectly.
Failing to Identify the Signer Properly
Michigan requires a notary to identify the individual requesting the notarial act through personal knowledge or satisfactory evidence. The state recommends requesting a photo ID, even when the notary personally knows the signer.
Failing to Require the Signer to Appear
For traditional notarizations involving witnessing, attesting, or administering an oath, the signer must sign in the notary’s presence. A notary should not simply stamp or sign paperwork that someone else brings to them without completing the required notarial process.
Completing the Notarial Certificate Incorrectly
Michigan requires specific information when completing a notarial certificate. Depending on the circumstances, this includes the notary’s commissioned name, date of notarization, county of commission, commission expiration date, required county information, and the notary’s signature exactly as commissioned.
Forgetting the “Acting in the County of” Information
A Michigan notary has a statewide commission and may perform notarizations throughout Michigan. However, when performing a notarial act outside the county of commission, Michigan requires the appropriate “Acting in the County of ______” information.
Proceeding With a Questionable Notarization
Michigan advises notaries to refuse a notarial act when a document is blatantly fraudulent or when the notary determines that the signer is under duress or is not acting voluntarily. A notary should never knowingly agree to perform an improper notarization.
Remember: E&O insurance should not be viewed as a substitute for following Michigan notary law. Careful procedures remain the first line of protection against notary liability.
What Can Notary E&O Insurance Cover?
Coverage varies by insurance company and policy, so a notary should review the actual policy before assuming a particular claim is covered. Depending on the policy, notary E&O coverage may respond to certain claims alleging an unintentional error or omission while performing covered notarial duties.
Examples of allegations that may lead to a claim can include:
- Improperly completing required information on a notarial certificate.
- Alleged mistakes involving signer identification procedures.
- Other alleged negligent errors or omissions made while performing covered notarial duties.
- Legal defense expenses when the policy provides for those costs.
Coverage is not automatic simply because a claim involves a notarization. Whether coverage applies depends on the circumstances and the terms, conditions, exclusions, and limits of the individual E&O policy.
What May Not Be Covered by Notary E&O Insurance?
Notary E&O insurance is intended to address covered errors and omissions, not every possible act or allegation involving a notary. Depending on the policy, exclusions or limitations may apply to situations involving:
- Intentional wrongdoing.
- Fraudulent or dishonest acts.
- Criminal conduct.
- Activities outside the insured person’s covered notarial duties.
- Claims or circumstances outside the applicable policy period or reporting requirements.
- Damages, expenses, or activities specifically excluded by the policy.
Notaries should review the policy instead of assuming every mistake, lawsuit, or legal expense will be covered.
Does My Employer’s Insurance Protect Me as a Notary?
Don’t assume that working for a company means you have personal notary E&O protection. An employer’s business insurance, professional liability policy, or other coverage may define who qualifies as an insured and which activities are covered.
Michigan law also addresses employer liability in certain cases. An employer may be liable for a notary’s official misconduct when the notary was acting within the actual or apparent scope of employment, and the employer knew of and consented to or permitted the misconduct.
That legal provision does not mean every employer automatically provides E&O insurance to an employee-notary. If you perform notarizations as part of your job, ask whether your employer’s insurance covers your notarial acts, whether you are an insured under the policy, and what limits or exclusions apply.
How Much Notary E&O Coverage Should You Consider?
Michigan does not require E&O insurance for notaries, and no single amount fits everyone. A notary who occasionally notarizes for an employer may have different exposure than an independent or high-volume notary.
Factors to consider when evaluating an E&O limit include:
- How frequently you perform notarizations.
- The types of documents you commonly notarize.
- Whether you work with real estate, mortgages, or other high-value transactions.
- Whether you operate independently or as a mobile notary.
- Whether your employer provides applicable insurance protection.
- The available coverage limits and policy terms.
- The amount of financial exposure you are comfortable assuming personally.
Rather than choosing a limit solely because it is inexpensive, consider the type and volume of notarial work you actually perform.
Does Michigan Require Notaries to Keep a Journal?
Michigan does not generally require a journal for traditional pen-and-paper or electronic notarizations. However, many notaries choose to maintain records because they can help document the details of a notarization if it is questioned later.
Michigan recommends recording information such as the date and time, type of notarial act, description of the record, signer’s information, method of identification, and fee charged when a notary voluntarily maintains records.
Important for remote notaries: Michigan has separate recordkeeping requirements for remote notarizations. Remote notarial acts require a journal, and additional retention requirements apply. Notaries performing remote notarizations should review Michigan’s current rules before beginning remote notarial work.
Ways Michigan Notaries Can Reduce Their Liability Risk
Insurance can help address certain financial risks, but careful notarial practices matter just as much. Michigan notaries can reduce their exposure by consistently following the state’s requirements.
- Verify the signer’s identity. Follow Michigan’s identification requirements for every notarization.
- Require the proper personal appearance. Do not notarize a signature without satisfying the applicable appearance requirements.
- Complete the notarial certificate carefully. Include all information required for the notarial act.
- Use your commissioned name correctly. Your signature and notarial information should match your commission.
- Refuse improper notarizations. Do not proceed if the requested act is fraudulent, improper, or otherwise prohibited.
- Watch for duress. Michigan advises notaries not to proceed when a signer appears to be acting under duress or involuntarily.
- Consider keeping useful records. Even when a traditional journal is not required, good records may help establish what occurred.
- Know the limits of a notary’s role. Performing a notarization does not authorize a notary to provide legal advice unless the individual is separately qualified to do so.
- Review Michigan’s rules periodically. Requirements can change, especially for electronic and remote notarizations.
Michigan Notary E&O Insurance FAQs
No. Michigan does not require notaries to purchase errors & omissions insurance. Most applicants must obtain the required $10,000 surety bond, but the bond protects the public rather than the notary. E&O insurance is optional.
No. Michigan’s required surety bond protects the public from financial harm resulting from certain notary misconduct or negligence. If the surety pays a claim, it may seek reimbursement from the notary.
Yes. Michigan law states that a notary may face a civil suit for financial damages caused by an error, omission, negligence, or official misconduct while performing notarial duties.
Coverage depends on the individual policy. Notary E&O insurance may cover certain claims involving unintentional errors or omissions made while performing covered notarial duties. Policy terms, exclusions, limits, and conditions determine whether a particular claim is covered.
Notary E&O policies may exclude intentional, fraudulent, dishonest, or criminal conduct. Coverage varies by policy, so notaries should review the actual policy terms and exclusions.
There is no Michigan-required E&O limit. The amount to consider depends on factors such as the number and types of notarizations performed, the value and nature of transactions, whether employer coverage applies, and the notary’s individual exposure.
Michigan generally does not require a journal for traditional pen-and-paper or electronic notarizations, although many notaries choose to maintain records. Separate journal and retention requirements apply to remote notarizations.
Not necessarily. An employer’s insurance policy may or may not cover an employee’s notarial acts. Employee notaries should determine whether they qualify as an insured, whether notarial acts are covered, and what policy limits and exclusions apply.
Official Michigan Notary Resources
Michigan notary duties and liability are governed by state law, and requirements can change. Notaries should review the current Michigan Department of State Notary Services and Notary Manual for official guidance about notarial duties, prohibited acts, liability, and recordkeeping.
Protect Yourself Against Notary Liability
Michigan’s required notary surety bond protects the public. Optional Errors & Omissions insurance can provide a separate layer of protection for the notary against certain covered errors and omissions.
If you need the required Michigan notary bond or want to discuss available E&O coverage, our Michigan insurance agency can help you review your options.
📝 Request a Michigan Notary Bond & E&O Quote
Last Updated on October 17, 2026 by iMichigan Insurance Editorial Team · Reviewed by a licensed Michigan insurance agent
