Notary Surety Bonds
Notary bonds protect the public from any mistake you might make while fulfilling your notarial duties. Notary surety bonds required in many states. If your actions result in harm to the public, a claim can be made on the bond. If a valid claim is made on the bond, the surety company will pay the claim and you will be required to reimburse them. In California, for example, the bond limit is $15,000, and that money would come out of your pocket.
The good news is that a notary errors and omissions (E&O) policy will step in to defend you. If you have this type of policy, it could pay the claim on your behalf, protecting your assets in the process.