Notary, Loan Signing, RON, or Bond Agent in Texas? Here's What Insurance You Actually Need (and Why It Matters)

admin092763
Jun 17
3 min read

Updated: Jun 18

By Emily Wycpalek

If you're a notary public, loan signing agent, RON (remote online notary), or a bond agent in Texas, you're in the business of trust. But what happens when things go sideways? Here's the truth: the state-required surety bond doesn't protect YOU—it protects the public. If you want to shield your business, your finances, and your reputation, you need the right insurance strategy.

This guide answers the most common questions small business owners and self-employed professionals have when looking for the right insurance setup. Let's break it down.

Do I Need Insurance as a Texas Notary Public?

Yes. Texas requires a $10,000 surety bond to become a notary public, but that bond only protects the public against your errors. It does not cover your legal fees or financial losses if you're accused of making a mistake.

Smart Coverage Includes:

Errors & Omissions (E&O) Insurance: Covers unintentional mistakes (like missing a stamp or misidentifying a signer).
Recommended Limits: $25,000 to $100,000 depending on your volume of work.
Optional Add-ons: General liability for client injuries on your premises, and identity theft assistance if your notary stamp is stolen.

What About Loan Signing Agents?

If you're handling loan documents and guiding borrowers through real estate closings, your risk is much higher.

Required or Highly Recommended Insurance:

E&O Insurance: Most title companies require $100,000+ in coverage.
General Liability: Covers bodily injury and property damage while visiting clients' homes or businesses.
Cyber Liability: Protects you from data breaches and mishandled sensitive borrower information.
Commercial Auto Insurance: If you’re using your personal car for business (and who isn't?), personal auto often doesn’t apply.

I'm a Remote Online Notary (RON) — What Should I Carry?

RONs in Texas are responsible for notarizations via secure video conferencing platforms. While convenient, it introduces new risks. ( See link to get set up below with 20% discount. )

Must-Have Coverage:

Cyber Liability Insurance: You handle personally identifiable information over the internet. A breach could cost thousands.
E&O Insurance: Still essential, and ideally at least $100,000.
Tech E&O: Especially if you're using your own platform instead of one provided by a vendor.

Texas law also requires RONs to retain video recordings of transactions for five years, which means you have a long tail of potential exposure.

I'm a Bond Agent in Texas. Do I Really Need Business Insurance?

Absolutely. Bond agents deal with compliance, money, and risk—which makes you a target if something goes wrong.

Here’s the Coverage to Consider:

Professional Liability / E&O Insurance: For clerical errors, missed filings, or compliance missteps.
Cyber Liability: Client license data, financials, and IDs are gold mines for cybercriminals.
General Liability: Protects your business from everyday accidents, like someone slipping at your office.
Fidelity Bond / Employee Dishonesty Coverage: If your team handles client funds or sensitive information.
Business Owner’s Policy (BOP): Bundles general liability and property coverage. Add business interruption protection too.

Why Your Surety Bond Isn’t Enough (and Never Was)

A surety bond is a guarantee to the public that you’ll follow state rules. If a claim is paid out, the bonding company comes after you for reimbursement.

Insurance, on the other hand, protects you from financial fallout.

Think of it this way: A bond is a promise. Insurance is a safety net.

Quick Comparison: What Each Role Needs

Role	Surety Bond	E&O Insurance	General Liability	Cyber Liability	Auto / Tech
Notary Public	✔️ Required	✔️ Recommended	⚪ Optional	⚪ Optional	⚪ Optional
Loan Signing Agent	✔️ Required	✔️ $100k+ Required	✔️ Advised	✔️ Advised	✔️ Commercial Auto
RON	✔️ Required	✔️ $100k+ Recommended	⚪ Optional	✔️ Mandatory	✔️ Tech E&O (if hosting)
Bond Agent	✔️ Varies by product	✔️ Required	✔️ Advised	✔️ Mandatory	✔️ BOP/Auto/Fidelity

FAQs

Can I get all of this bundled together?

Yes! At Ground Up Insurance, we offer bundled coverage packages designed specifically for:

Notaries & RONs
Loan Signing Agents
Bond Agents

Save time, reduce costs, and make sure you’re not missing hidden gaps.

How much does E&O Insurance cost?

It varies, but many notaries pay $150–$500 per year depending on the coverage limit. RONs and loan signing agents should budget higher, especially if cyber or tech coverage is included.