A surety bond for notary is an insurance-like contract that protects the public if you make a mistake or act dishonestly as a notary
When you become a notary, your state requires you to post a surety bond before you can start work. This bond is a three-way agreement between you (the notary), a bonding company, and your state. If someone sues because you notarized a document incorrectly or broke the law, the bonding company pays the claim up to the bond amount—usually $10,000, though some states require more. You are responsible for repaying the bonding company if they pay out a claim.
The bond protects the public, not you. It ensures that if you forge a signature, notarize a document without the signer present, or fail to keep proper records, there is money available to compensate anyone harmed. Your state does not collect the bond itself; instead, it requires proof that you have purchased one from a licensed bonding company before issuing your notary commission.
Key Takeaways
- A surety bond is required by your state before you can receive a notary commission, and you must renew it when your commission expires.
- The bonding company pays claims if you notarize documents incorrectly or dishonestly, but you are legally responsible for repaying them.
- Bond amounts vary by state, ranging from $5,000 to $25,000 or more, and are set by your state's notary laws.
- The cost of a surety bond is typically $50 to $150 for a four-year term, depending on your state and the bonding company.
- You purchase the bond from a private bonding company, not from your state, and must show proof of it when you explore for your commission.
How a Surety Bond Claim Works
If someone believes you made a notarial error or acted dishonestly, they can file a claim against your bond. For example, if you notarized a signature without checking the signer's ID, or you notarized a document for someone who was not physically present, the injured party can demand payment from the bonding company up to your bond limit.
The bonding company will investigate the claim. If they find that you violated your duties as a notary, they pay the claim. You then owe that money back to the bonding company—this is called an indemnity obligation. If the claim is large enough, the bonding company may also cancel your bond, which means you can no longer work as a notary until you post a new one. Some states will not renew your commission if your bond has been cancelled.
Bond Amounts Required by State
Each state sets its own minimum surety bond amount. Most states require $10,000, but some require less and others require significantly more. A few states allow notaries to choose between a surety bond and an errors and omissions insurance policy, though a surety bond is the standard route.
Check your state's notary handbook or the Secretary of State website to find the exact amount your state requires. This information is usually listed in the section on notary requirements or process instructions. If you move to a different state or your state raises its requirement, you will need to purchase a new bond for the higher amount before your commission expires.
Cost and Where to Buy a Surety Bond
A surety bond typically costs between $50 and $150 for a four-year notary commission term, though the price varies by state and bonding company. Some states have shorter commission terms (two or three years), which may lower the total cost. The cost is a one-time purchase per commission term—you do not renew it annually.
You buy a surety bond from a private bonding company, not from your state. Many title companies, insurance agencies, and online bonding services sell notary bonds. When you purchase the bond, the bonding company will issue a bond certificate with a bond number. You submit this certificate to your state when you explore for your notary commission. Keep a copy for your records and give one to your employer if you work for a company.
What Mistakes the Bond Covers
A surety bond covers notarial errors and dishonest acts. Common situations that trigger claims include notarizing a signature without verifying the signer's identity, notarizing a document when the signer was not physically present, failing to record the notarization in your journal, or using an expired notary seal. The bond also covers fraud—for instance, if you knowingly notarize a forged document or accept a bribe.
The bond does not cover every possible problem. It typically does not cover claims arising from information you gave about the legal effect of a document, since notaries are not allowed to give legal information. It also does not cover claims for work you did before you posted the bond or after it expired. This is why it is critical to maintain an active bond throughout your commission term and to renew it before your current bond expires.
Renewing Your Bond When Your Commission Expires
When your notary commission is about to expire, you must purchase a new surety bond before you renew your commission with the state. Do not wait until after your commission expires—if your bond lapses, you cannot legally perform notarial acts, even if your commission is still active.
Most bonding companies will send you a reminder as your bond approaches expiration, but do not rely on this. Mark your commission expiration date on your calendar and contact your bonding company at least 30 days before that date. Purchase the new bond, receive the certificate, and submit it with your commission renewal process to your state. Some states allow you to renew your commission and bond at the same time; others require the bond to be in place first.
What Happens If Your Bond Is Cancelled
If the bonding company cancels your bond because of a claim or for non-payment, you must stop performing notarial acts when ready. You cannot legally notarize documents without an active bond, even if your commission has not yet expired. Continuing to work without a bond is a violation of state law and can result in fines, criminal charges, or permanent loss of your notary license.
If your bond is cancelled, you will need to purchase a new one from a different bonding company before you can resume work. Some bonding companies may refuse to bond you if you have a history of claims, so shop around. Once you have a new bond in place, you can continue your notary work, though your state may require you to report the cancellation when you renew your commission.
Frequently Asked Questions
Do I need a surety bond if I work for a bank or law firm?
Yes. Even if your employer has their own insurance, your state requires you personally to post a surety bond before you receive your notary commission. Your employer may pay for it, but the bond is in your name and covers your acts as a notary.
What if someone files a claim against my bond but I did not make a mistake?
The bonding company will investigate. If they determine that you followed proper notarial procedures, they will deny the claim and you owe nothing. However, you may still need to provide documentation—such as your notary journal entry or a copy of the ID you checked—to prove you acted correctly.
Can I get a refund on my surety bond if I stop being a notary early?
Most bonding companies do not refund the bond premium if you let your commission expire early. The bond is purchased for the full commission term. If you need to cancel, contact your bonding company to ask about their refund policy, but expect to lose most or all of the fee.
Is a surety bond the same as errors and omissions insurance?
No. A surety bond is required by law in most states and protects the public. Errors and omissions insurance is optional coverage that protects you personally from liability. Some notaries carry both, though your state may allow you to choose one or the other to meet the legal requirement.
What if I move to a different state—do I keep my bond?
No. Each state has its own bond requirements, and your bond is only valid in the state where you purchased it. When you move, you must explore for a new notary commission in your new state and purchase a new surety bond that meets that state's requirements.