Form 2301 - Application For Appointment As A Texas Notary Public, Notary Public Errors & Omissions Insurance Policy Page 4

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Bond Number
“Occurrence” is an event where a claim may follow which
(3) You and any other involved insured must
is covered under this policy.
immediately send us copies of any demands,
notices, summonses or legal papers in
“Damages” means monetary judgment, award or settlement
connection with the claim or suit.
for direct compensatory damages, but does not include fines
c.
No insured will, except at their own cost,
or penalties.
voluntarily
make
a
payment,
assume
any
obligation, or incur any expense, without our
SECTION III – CLAIM EXPENSES
consent.
We will pay, with respect to any claim or suit we defend:
4.
Legal Action Against Us
1.
All claim expenses, all costs taxed against the insured
No person or organization has a right under this policy:
in any suit defended by us and all interest on the entire
a.
To join us as a party or otherwise bring us into a
amount of any judgment that does not exceed 50% of
suit asking for damages from any insured.
the limit of this policy.
5.
Cancellation
Any claim expense payment will not reduce the limit of
a.
The Named Insured may cancel this policy by
liability.
mailing or delivering to us advance written notice
of cancellation.
SECTION
IV
LIMITS
OF
INSURANCE-
b.
We may cancel this policy by mailing or
DEDUCTIBLE
delivering to the Named Insured written notice of
1.
Limits of Insurance
cancellation.
a.
The Limits of Insurance shown on Page 1 of this
(1) 10 days before the effective date of
Policy are the most we will pay regardless of the
cancellation, if we cancel for nonpayment of
number of claims.
premium; or
b.
In addition to the Aggregate Limit, the most we
(2) 60 days before the effective date of
will pay for all claim expenses is 50% of the
cancellation, if we cancel for any other reason.
Aggregate regardless of the number of claims.
c.
If notice is mailed, proof of mailing will be
sufficient proof of notice.
SECTION V – CONDITIONS
d.
Notice of cancellation will state the effective date
1.
Premium
of cancellation. The Policy Period will end on that
The Named Insured:
date.
a.
Is responsible for the payment of all premiums;
e.
If this policy is cancelled, premium adjustment
and
may be made either at the time cancellation is
b.
Will be the payee for any return premium we pay.
effected or as soon as practicable after cancellation
c.
If the Insured cancels, the premium shall be fully
becomes effective, but payment or tender of
earned. If the Company cancels, earned premium
unearned
premium is not a condition of
shall be computed pro rata.
cancellation. We will send the Named Insured any
2.
Examination of Your Books and Records
premium refund due. If we cancel, the refund will
We may examine your records as they relate to this
be pro rata.
If the Named Insured cancels,
policy at any time.
premium shall be fully earned.
3.
Duties in the Event of Occurrence, Claim or Suit
a.
You must see to it that we are notified as soon as
practicable of an occurrence which may result in a
claim under this policy.
Notice of an occurrence is not notice of a claim.
b.
If a claim is received by any insured, you must
(1) Immediately record the specifics of the claim
and the date received; and
(2) notify us as soon as possible.
This policy has been signed by the Company’s President and a Secretary
Form 763-A-O Printed in U.S.A. (NS) Ed-1-94
Page 2 of 2

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