Houston County, Alabama requires distributors of motor fuel to file a $10,000 Motor Fuel Distributor Bond as a requisite of the mandated Business Privilege License.
Jet Insurance Company provides the Motor Fuel Distributors Bond as an extra layer of reassurance to Houston County that the distributor will follow the terms of their license, in addition to the associated tax regulations. The surety bond serves as a fiscal guarantee to ensure the county will receive payment for all licensing fees and sales taxes due.
Whether you are applying for the first time or renewing your business privilege license, Jet can help you secure the Motor Fuel Distributors Bond in just minutes!
At Jet, the $10,000 Motor Fuel Distributors Bond starts at $100 annually, or you can choose our convenient $10 monthly plan. Our rates are based on a small fraction of the bond limit and your personal credit score. Refer to our chart below for additional preferred credit rates and bond terms offered.
Jet’s monthly rate offer is our worry free option! Just set up payment and never think about your bond again until cancellation is sought.
Houston County requires motor fuel distributors to acquire a $10,000 Motor Fuel Distributors Bond as an assurance that they will meet the industry standards of their license, and will pay all licensing fees and sales taxes due to the county’s License Commissioner. The surety bond basically acts as a form of insurance that will protect Houston’s local government from facing financial losses. Of course they make the fuel distributor purchase the bond.
Our team at Jet Insurance Company has created a quick process for our bond applications, making it easy for you to get your Houston Motor Fuel Distributors Bond. The online application will ask for some simple info such as your name and personal social security number. For an approved rate, a soft credit check will be completed — this won't affect your current credit score so don't worry! Once you've completed payment, a copy of your bond and the receipt will immediately be sent to the address of your choice. Jet will take care of the remaining filing process for you!
Jet can file your Motor Fuel Distributors Bond for you! The License Commissioner requires the original, signed and sealed bond form to be filed with their office. The surety bond must remain so in order to maintain an active license within Houston County.
If you would prefer to send in your bond yourself, this option can be selected at checkout. All documentation should be mailed to the following address.
PO Drawer 6406
Dothan, AL 36302
If you are new to applying for a license, all info can be found on the Houston County Probate Office website (renewals can be submitted online here as well). The physical business privilege license application is required to be sent to the address listed above.
You have the option of cancelling your bond with Jet at any time! Simply send us a cancellation request to [email protected] and we will proceed with the termination process. Once Houston’s License Commissioner has been notified of your request, liability of the bond will be released within 60 days thus officially cancelling the bond.
A reimbursement for any premium left on the bond term will be sent to you (if applicable) once the liability period has ended. Monthly payment bondholders are required to continue payment during the grace period as the bond is still active. Once the process is complete, payments will cease.
Your business privilege license must be renewed by September every year. An active surety bond is required to be approved for license renewals.
Jet’s monthly payment option allows you to keep your bond active for as long as you want, so there is no need for renewal. Just make sure to keep your preferred account updated with us for such payments.
Annual and multi-year bondholders will be sent a renewal invoice well in advance of the bond term’s expiration date. Payment is all this required of you. The Jet team will take care of the rest!
Motor fuel distributors in Houston County, Alabama are expected to follow all regulations of Alabama Legislature Title 40, Chapter 12 as it pertains to their business privilege license. Failure to uphold these requirements may lead to penalties such as large fines, license suspension for a minimum of 1-year, permanent termination of licensure status, misdemeanor charges, and/or a claim on the Motor Fuel Distributors Bond.
Claims will typically only be filed by the Houston County License Commissioner if the distributor subsequently fails to pay all licensing fees and sales taxes due. Licensees will be notified of any overdue fees or sales taxes and can solve the problem through immediate payment.
It is in your best interest to try and resolve any violation issues with the License Commissioner before a loss of license and a claim on your bond ensues.
Immediately contact Jet if you receive a claim notification from the Houston License Commissioner. The Jet team will brief you on how our surety claim process works and will ask for any available information pertaining to your case. A review of all provided documentation and a Jet investigation will then proceed.
If we find the claim to be valid, Jet is obligated by the Motor Fuel Distributors Bond form’s terms to make payment up to the $10,000 bond limit. You, the licensee, are ultimately held responsible for your taxes and fees and must pay Jet Insurance Company back for your paid out bond claim. Failure to do so may lead to future difficulties in securing an Alabama surety bond. This includes the Motor Fuel Distributor Bond, which is required for distributors to legally operate within Houston County.