Oregon Unemployment Compensation Trust Fund Bond

Trust Funds are a federal way of insuring workers’ financial security in the long term. Due to a 2001 recession in the US, the fee for this has been to be increased each year as to prevent long term financial injury for workers. In 2019, the word became a topic of discussion because of the recent federal shutdown that happened in January.

Why do you need the Oregon Unemployment Compensation Trust Fund Bond?

In the case of a worker being unemployed involuntarily, the Oregon Unemployment Compensation Trust Fund ensures that the employee will receive monetary assistance from the employer.

Businesses who are currently operating in the state must file for a bond with the State of Oregon Employment Department. This is done in order to secure a business by transferring the surety bond to a company that will protect the former’s public compensation for damages that comes from breaking licensing laws. It usually costs between 2% and 7.5% depending on certain factors.

Why do you need the Oregon Unemployment Compensation Trust Fund Bond?

It is mandatory for businesses to comply with the need for the Unemployment Compensation Trust Fund Bond. It will also help businesses face the need for public compensation in potential cases of licensing law issues.

Apart from the mandatory legal compliance, securing your own licensing bond also ensures:

  • Clients are completely safe and secure under your agency
  • Your credibility is boosted in terms of financial security
  • You are able to use your full line of credit
  • The confidentiality of your activities (unless requested by legal authorities)
  • Your access to professional advice counseling from lawyers, estimators, and similar professionals.

How does the Oregon Unemployment Compensation Trust Fund Bond work?

The bond must be filed with the Oregon Employment Department and must be issued by a surety bond provider certified by the state’s Insurance Department. The parties in the agreement are the Principal (applicant), Obligee (State of Oregon), and Surety/Bond Company or Obligor (surety bond provider).

For more information on licensing requirements, please read more about the Oregon Revised Statue 657.505.

How much does the Oregon Unemployment Compensation Trust Fund Bond cost?

You may find the Oregon Unemployment Compensation Trust Fund Bond to be priced between 2% and 7.5% of the total bond amount. Normally, the employer’s credit score, industry experience, business history, and the surety provider’s background will be the determining factor for the premium rates.

How do I get the Oregon Unemployment Compensation Trust Fund Bond?

Transact with a reputable surety company today and secure your Oregon Unemployment Compensation Trust Fund Bond the fast and easy way. If you have more questions or are in need of more information, get in touch with us today.

Make sure you have gathered and provided accurate information on the following for the speedy processing of your application:

  • Nature of your business
  • Credit Score
  • Financial strength

Rest assured our expert surety bond agent will guide you from the time of your application until the issuance of your bond. Once the assessment is done, we will promptly issue your bond and send it your way!

Oregon Unemployment Compensation Trust Fund Bond

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