What is an Ohio Surplus Lines Broker Bond?
Understand what this bond is for and how to obtain one!
The surety bond is part of the licensure requirement for individuals or business entities who intend to become Surplus Lines Broker in the State of Ohio.
The surety bond is mandated by the Ohio Department of Insurance in accordance with Chapter 3905.35 of the Ohio Revised Code.
A Surplus Lines Broker is a licensed person who negotiates insurance coverage for an individual from a non-admitted insurer or an insurer who is not licensed to conduct business in the State of Ohio.
What is the bond amount?
The bond amount is $25,000.
Those who have excellent credit scores may qualify for a very low bond premium or just 1% of the bond amount!
Find out what you need to pay by getting your FREE quote here!
What are the bond conditions?
- The surety bond company should be authorized to conduct business in the State of Ohio such as Surety Bond Authority
- The surety bond must be approved by the Superintendent of Insurance of the State of Ohio
- The surety bond should be deposited with the Superintendent of Insurance of the State of Ohio
- The surety bond should be made payable to the State of Ohio for the benefit of the Surplus Lines Broker’s clients
- The Surplus Lines Broker applicant should comply with the provisions of Chapter 3905.30 until Chapter 3905.36 of the Ohio Revised Code, the rules and regulations of the Ohio Department of Insurance, and all the other applicable rules that govern Surplus Lines Brokers in Ohio
- In case of a valid violation committed by the Surplus Lines Broker, the aggrieved party will be eligible to file a claim on the bond
- In the case of cancellation, a 60-day notice is required.
How can I obtain a Surplus Lines Broker bond?
To secure this type of bond, the Surplus Lines Broker license applicant must seek the assistance of a surety bond company.
You will be asked to apply for this bond.
Once the application has been received, the surety bond company will immediately process it. In our case, one of our expert surety bond agents will guide you through the whole process from the time you applied for the bond. We will make sure that you understand all the conditions before we issue the bond.
An underwriter will then evaluate your financial strength, job/business performance history, and your credit score.
Once the pre-qualification process is fulfilled, we will execute the bond and send it to you!
Are you ready to get started on this bond today? Apply here!