In the state of Alabama, the Real Estate Appraisers Board (AREAB) requires all business entities who wish to manage an organization of real estate appraisers to be registered and file a $25,000 Appraisal Management Company (AMC) Bond. The bond assures the Board that registered AMCs will dutifully perform their responsibilities and follow the applicable statutes, and provides a financial guarantee to anyone who might suffer damages as a result of the AMCs actions.
When you buy your bond with Jet Insurance Company, we cut out the middlemen who charge you more for the bond with their fees and commissions. Get your bond fast and at a low rate with Jet!
With Jet, the Appraisal Management Company Bond costs as little as $19 per month or $188 for one year. We also offer the bond in 2-year and 3-year options for those looking to save over the long run. You can find rates for a preferred credit tier at different terms in the table below.
Only Jet offers the convenient, hassle-free option of paying for your bond in monthly installments. Your bond remains active as long as you continue to make payments; it doesn’t get easier than that!
The Alabama Real Estate Appraisers Board requires the Appraisal Management Company Bond as a financial guarantee that if an AMC fails to perform the duties described in Alabama Code Section 34-27A-57, any damaged parties will be compensated. Duties of the Appraisal Management Company include:
Jet’s goal is to streamline the application process and get you the bond you need ASAP. Our application takes just minutes to complete and is completely online. We will ask for some basic information like the AMC name and owner’s social security number. A soft credit check will be done in seconds, but don’t worry; this will not affect your credit score. Once you select the bond term and make payment, Jet will file the original bond for you with AREAB, or mail it to the address of your choice for you to submit to the Board.
Jet can! Once you complete payment for your Appraisal Management Company Bond, we will immediately mail the signed and sealed bond to the AREAB and send you a copy for your records, along with your receipt.
If you would prefer to file the bond yourself along with the other forms required by the Board, you can choose that option during checkout. The original, signed and sealed version of the bond must be mailed to the Board at the following address:
Alabama Real Estate Appraisers Board
100 North Union St, Ste 370
Montgomery, AL 36104
Cancelling the bond is easy with Jet! Just send a written cancellation request to Jet (email is fine), and we will notify the Board of your intent to cancel. The liability for both the AMC and Jet will be released after 60 days from the initial notice to the Board.
For your refund, Jet will be required to charge for the 60-day notice period, as the bond is still technically active with the Board. If you selected the monthly payment, Jet will stop the payments after the cancellation period has ended. If you prepaid for an annual term, the Jet team will review the period remaining on the bond to see if there is any premium available for reimbursement.
If you chose Jet’s unique monthly payment plan, no renewal is needed! As long as your payments continue, your bond will remain active with no extra paperwork required at your annual registration renewal with AREAB.
The Appraisal Management Company Bond is continuous, so if you are paying through one of our 1-year, 2-year, or 3-year plans, you will receive a reminder well in advance of your renewal date. Once your payment is made for the new term, no further processing is required.
Appraisal Management Companies in the state of Alabama can avoid claims against their bond by complying with the Uniform Standards of Professional Appraisal Practice and the AREAB Administrative Code. If AMCs fail to comply, the Board may take action against them, with disciplinary actions that range from censuring, revoking registration (conditionally or permanently), levying fines or civil penalties up to the limit of the bond. AMCs should ensure that they and their appraisers are thoroughly familiar with the documents governing appraisal practices, and ensure that they are in compliance.
Complaints that result in one of the above disciplinary actions can be submitted by the Board itself, or by any person who experienced damages and files a complaint with the Board. The Board will then proceed through a documented due process (Section 780-X-17-.20 of the Administrative Code) for investigating the complaint.
If a complaint against your AMC has been filed by the Board or other party, they will notify you of the complaint. The Board’s Executive Director may elect to convene the AMC and the injured party to attempt settling the matter informally. If the Board finds probable cause to constitute an investigation, the Director will call for a Disciplinary Hearing, where all parties to the complaint will present their case. Within 30 days of the final hearing, the hearing officer will make a recommendation for disciplinary action (conditional or permanent revocation of registration, fines, civil penalties, etc.).
If you receive notice from the Board that a complaint against your company has been filed, notify Jet immediately and share all documents, communications, and information pertinent to the case. Jet will do its best to assist in your defense against the claim, but in order to do so, we will need you to honestly and completely divulge the details related to the complaint.
If the Board finds your AMC in violation and recommends civil penalties or fines against the surety bond, Jet Insurance Company will be obligated by the bond agreement and the Code of Alabama Section 34-27A-55 to pay up to the $25,000 bond limit. In this instance, think of Jet as a line of credit, paying the Board on your behalf. You remain responsible for the actions or inaction that resulted in the complaint and claim on the bond, and must reimburse Jet for the amount paid. Failure to do so will put your ability to secure a surety bond or register your AMC in jeopardy.