Merchants Bonding Company (Mutual) P.O. Box 14498, Des Moines, IA 50306-3498 (800) 876-6827 (800) 833-1211

Policy No.

Premium:

NOTARY PUBLIC ERRORS AND OMISSIONS POLICY

100372771 

COVERAGE: MERCHANTS BONDING COMPANY (MUTUAL) (”the Company”) will pay on behalf of HYEMI PAEK of ALBANY, NY

(”the Insured”), all sums, subject to the Limit of Liability stated below, which the Insured shall become obligated to pay by reason of liability for breach of duty while acting as a duly commissioned and sworn Notary Public, claim for which is made against the Insured by reason of any negligent act, error or omission, committed or alleged to have been committed by the Insured, arising out of the performance of notarial service for others in the Insured’s capacity as a duly commissioned and sworn Notary Public. The Company will also pay on behalf of the Insured costs and expenses incurred in investigating, defending or settling the Insured’s liability arising from any negligent act, error or omission, committed or alleged to have been committed by the Insured, arising out of the performance of notarial service for others in the Insured’s capacity as a duly commissioned and sworn Notary Public, even if such claim is false, fraudulent, or groundless.

POLICY PERIOD: This policy applies only to negligent acts, errors or omissions which occur during the policy period. The Policy Period commences on the Effective Date hereof and terminates upon the Expiration Date hereof.

LIMIT OF LIABILITY: The liability of the Company shall not exceed in the aggregate for all claims under this policy the amount of Twenty Five Thousand Dollars ( $25,000.00 ) Dollars.

In addition to the Limit of Liability stated above and in accordance with the other provisions of this policy, the Company will pay costs and expenses incurred in investigating, contesting or settling liability under this policy, even if such claim is false, fraudulent, or groundless.

TRANSFER OF DUTIES: (A) If the Company concludes that, based on “occurrences,” offenses, claims or “suits” which have been reported to us and to which this insurance may apply, the Limit of Liability is likely to be used up in the payment of judgments or settlements, the Company will notify the Insured, in writing, to that effect.

(B) When the Limit of Liability has actually been exhausted in the payment of judgments or settlements: (1) The Company will notify the Insured, in writing, as soon as practicable, that (a) such limit has actually been used up; and (b) our duty to defend “suits” seeking damages subject to that limit has also ended; (2) The Company will initiate, and cooperate in, the transfer of control to the Insured, of all claims and “suits” seeking damages which are subject to the limit and which are reported to us before the limit is exhausted. The Insured mus cooperate in the transfer of control of said claims and “suits”. The Company agrees to take such steps, as the Company deems appropriate, to avoid a default in, or continue the defense of, such “suits” until such transfer is completed, provided the Insured is cooperating in completing such transfer. The Company will take no action whatsoever with respect to any claim or “suit” seeking damages that would have been subject to the limit had it not been exhausted, if the claim or “suit” is reported to us after the limit has been exhausted. The Insured must arrange for the defense of such “suit” within such time period as agreed to between the appropriate Insured and us. Absent any such agreement, arrangements for the defense of such “suit” must be made as soon as practicable.

(C) The Insured will be responsible for expenses the Company incurs in taking those steps the Company deems appropriate in accordance with (B) (2) above and will begin on: (1) The date on which the Limit of Liability is exhausted,
if the Company sent notice in accordance with paragraph (A) above; or (2) The date on which the Company sent notice in accordance with paragraph (B) (1) above, if the Company did not send notice in accordance with paragraph (A) above. (D) The exhaustion of any limit of insurance by the payments of judgments or settlements, and the resulting end of our duty to defend, will not be affected by our failure to comply with any of the provisions of this section.

SETTLEMENT: The Company, in the Insured’s name and behalf, shall have the exclusive right to make any settlement of any claim, suit, or other action, as the Company deems expedient.

CONDITIONS PRECEDENT: As a condition precedent to the right of coverage or defense hereunder, the
Insured shall mail or deliver to the Company or any of its licensed New York agents, after notice or
knowledge of a claim or possible claim against the Insured, copies of any written notice thereof and a complete description of the facts and circumstances alleged to give rise to such claim. The failure of the Insured to give notice as required by this policy within the times prescribed herein shall not invalidate any claim made by the Insured or by any other claimant if: (1) it shall be shown not to have been reasonably possible to give such notice within the prescribed time and that notice was given as soon as was reasonably possible; or (2) the insurer has not been prejudiced, even if the claim was not made as soon as reasonably possible. With respect to all claims (except property damage) covered by this policy,

if the Company disclaims liability or denies coverage based upon the failure to provide timely notice, then the claimant or their representative may maintain an action directly against the company in which the sole question is the Company’s disclaimer or denial based on the failure to provide timely notice, unless within 60 (sixty) days following such disclaimer or denial, the insured or the insurer: (a) initiates an action to declare the rights of the parties under the insurance policy; and (b) names the claimant as a party to the action.

Bankruptcy or insolvency of the Insured, or the Insured’s estate, shall not release the Company or its liability hereunder. In case judgment against the Insured or his/her personal representative in an action brought to recover damages for loss under this policy shall remain unsatisfied after 30 days from the serving of notice of entry of judgment upon the attorney for the Insured, or upon the Insured, and upon the Company, then an action may, except during a stay or limited stay of execution against the Insured on such judgment, be maintained against the Company under the terms of this policy for the amount of such judgment not exceeding the amount of the applicable limit of coverage under this policy.

EXCLUSIONS: Coverage under this policy as described in the COVERAGE section of the policy on page 1 does not apply to any acts of or allegations of dishonest, fraudulent, criminal or malicious act or omission of the Insured.

CO-INSURANCE: If the Insured has other insurance against a loss covered by this policy, the Company shall not be liable under this policy for a greater proportion of such loss than the limit of liability stated in this policy bears to the limit of liability of all valid and collectible insurance against such loss.

SUBROGATION: In the event of any payment for any loss under this insurance, the Company shall be subrogated to all of the Insured’s rights of recovery thereafter against any person or organization and the Insured shall execute and deliver instruments and papers and do whatever else is necessary to secure such rights to the Company. The Insured shall do nothing after loss to prejudice such rights.

NONRENEWAL, CONDITIONAL RENEWAL AND ALTERNATIVE NONRENEWAL: This policy shall remain in full force and effect pursuant to the same terms, conditions and rates unless a written notice is mailed or delivered by the Company to the Insured at the address shown on the policy and to his/her authorized agent or broker indicating the Company’s intention: (a) not to renew the policy; (b) to condition its renewal upon change of limits, change in type

of coverage, reduction of coverage, increased deductible or addition of exclusion, or upon increased premiums in excess of ten percent (10%); or (c) that the policy will not be renewed or will not be renewed upon the same terms, conditions, or rates; such alternative renewal notice shall advise the Insured that a second notice shall be mailed or delivered at a later date indicating the Company’s intention as specified in subparagraph (a) or (b) and that coverage shall continue on the same terms, conditions and rates as the expiring policy until the latter of the expiration date or 60 days after the second notice is mailed or delivered; such alternative renewal notice also shall advise the Insured of the required availability of loss information and upon request the Insurer shall furnish such loss information within 10 days. All notices of nonrenewal or conditional renewal shall contain the specific reason or reasons for nonrenewal, set forth the amount of any premium increases, and describe the nature of any proposed changes. The notice as aforesaid shall be mailed or delivered to the Insured at least 60 but not more than 120 days in advance of the expiration date of the policy.

CANCELLATION: This policy may be canceled by the Insured by surrender hereof to the Company or any of its authorized agents or by mailing to the Company written notice stating when thereafter the cancellation shall be effec- tive. If this policy has been in effect for less than 60 days, the Company may cancel this policy for any sound underwriting reason by giving 20 days advance written notice. If this policy has been in effect for 60 days or more, the Company may cancel only for one or more of the following reasons: (a) nonpayment of premium unless cured within the 15 day notice period; (b) fraud or material misrepresentation by the Insured is discovered in obtaining the policy or in presenting a claim; (c) the Insured or someone acting on its behalf is convicted of a crime arising out of acts that increase the hazards insured against; (d) an act or omission, or violation of a policy condition, by the Insured, taking place after policy issuance or renewal, is discovered that substantially and materially increases the hazards insured against or (e) the Superintendent of Insurance determines that continuation of the present premium volume would jeopardize the Company’s solvency or injure the interests of policyholders or the public, or continuing the policy

itself would violate the Insurance Law. If this policy is canceled for reasons (a) through (e) above, the Company will written notice to the Insured at least 15 days before the effective date of cancellation. The reason for cancellation shall be stated on the notice. If the notice is for nonpayment of premium, the amount of premium due will be stated on the notice.

The mailing of notice as aforesaid shall be sufficient proof of notice. Delivery of such written notice either by the Insured or by the Company shall be equivalent to mailing. The time of surrender or the effective date and hour of cancellation stated in the notice shall become the end of the policy period. If the Company or the Insured cancels, return premium shall be computed pro rata.

EFFECTIVE DATE: February 29, 2024 EXPIRATION DATE:
MERCHANTS BONDING COMPANY (Mutual)

February 28, 2025