South Carolina Service Contracts Bond
Know what this surety bond is for and how to easily get one fast!
WWhat is a Service Contracts Bond?
All persons applying for a license as a contract service administrator are required to furnish a surety bond to the South Carolina Department of Insurance before administering service contracts or service contracts plan.
The surety bond will serve as a means to financially compensate any person who will suffer damages in case the licensee commits the following prohibited acts:
- Violate any of the provisions or failure to comply with the requirements of Chapter 78 of the South Carolina Code of Laws
- Failure to properly transmit any payment received by the contract service administrator for transmission to an insurer
- Misapplication or misappropriation of funds received by the contract service administrator
- Any act fraudulent act committed by the contract service administrator
The prerequisite is in pursuance of Section 38-78-30 of the South Carolina Code of Laws.
What is the Service Contracts Bond amount?
The bond amount is $25,000.
If you have an excellent credit score, you will be eligible to pay for a low bond premium, or just 1% of the bond amount!
Check out what you need to pay by getting your FREE SURETY BOND QUOTE HERE!
How can I get a Service Contracts Bond?
In order to secure this type of bond, the contract service administrator license applicant must seek the assistance of a surety bond company.
You will be asked to apply for this bond. If you’re ready to apply for one right now, you may easily do so HERE!
Once the application is 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 the following:
- Your financial strength
- Your job/business performance history
- Your credit score
Once the prequalification process is fulfilled, we will execute the bond and send it to you!
What are the surety bond conditions?
- The surety bond should be issued by a surety bond agent or company that is authorized to conduct business in the State of South Carolina
- The surety bond should be made payable to the State of South Carolina
- The licensed contract service administrator is obligated to comply with the provisions of Title 38, Chapter 78 of the South Carolina Code of Laws as well as the rules and regulations of the South Carolina Department of Insurance
- If the licensed contract service administrator commits a valid violation, the aggrieved party will be eligible to file a claim against the surety bond