Texas Automobile Club Bond

Texas Automobile Club Bond

Automobile clubs (sometimes referred to as motor clubs) that offer membership services in Texas must apply for a Certificate of Authority with the Secretary of State’s office. To be eligible for an approved license, a $25,000 Automobile Club Surety Bond is required.

VIEW YOUR BOND PRICE

Jet Insurance Company provides the Automobile Club Bond to automobile club business owners as an assurance to the Texas Secretary of State that the owner and their employees will comply with state license regulations and uphold all contractual obligations. If the automobile club commits a license transgression or breach of contract, the surety bond may be used as restitution for losses incurred by the damaged party. 

What Is the Lowest Price for the Texas Automobile Club Bond?

For the Automobile Club Surety Bond, Jet’s prices are a small percentage of the required $25,000 bond limit and are based on a soft credit check of the business owner. 

Our rates start as low as $250 annually or $25 a month. Refer to the chart below for a look at our preferred tier rates for monthly, annual, and multi-year bond terms. 

Bond TermCost
Monthly$25
1 Year$250
2 Years$438
3 Years$625
Texas Automobile Club Bond Pricing

If you are interested in maintaining your license with the Secretary of State’s office for the foreseeable future, our monthly payment plan is a great option. Your Automobile Club Bond will remain active as long as payments are made, and thus will keep your license in good standing for those yearly renewals. 

The Texas Automobile Club Bond Process With Jet

Our application for the Texas Automobile Bond was created to be quick, easy, and fully accessible online for your convenience. The application asks for general information such as your contact details and social security number for a required credit check. No need to worry though, this is a soft check that won’t affect your score. Once your completed application has been submitted and reviewed, Jet will send you over approved rate options that are ready for immediate purchase. Simply choose your ideal plan and fulfill the payment due. You’ll then receive a copy of your receipt and bond form instantly. It’s that easy!

The Jet team can file your bond for you at no additional cost. However, if you would prefer to file the bond yourself, perhaps with your completed Certificate of Authority Application, this option may be selected at checkout. The original signed and sealed Automobile Club Bond must be filed with the Texas Secretary of State’s office at the following mailing address:

Texas Secretary of State
Registration Unit
PO Box 13193
Austin, TX 78711

Your license with the Secretary of State’s office will expire on August 31st each year. The Automobile Club Bond must remain on file with the Texas Secretary of State in order to be approved for a renewed license, as well as to maintain your active license.

If you are enrolled in our monthly payment plan then you don’t have to worry about any of this as your surety bond will remain active as long as payments are fulfilled. However, if you purchased your bond in full and upfront, Jet will send you a renewal invoice prior to your bond term expiration date by mail and email. To renew, just complete the standard payment due and your bond will be all set for another term. 

You can cancel your Automobile Club Surety Bond with Jet at any time. Simply send a cancellation request to our email at [email protected] and we will begin the process. A written notice will be sent to the Secretary of State’s office, and once received, the liability of your bond will be released within 60 days.

Jet will require monthly plan bondholders to make payment for the liability period as your bond is technically still active during this time. All future payments with Jet will cease once this requirement has been fulfilled. 

As for refunds, if you purchased the bond in full and cancel early, Jet will return any unused premium to you as soon as your surety bond has been officially released by the Texas Secretary of State. 

How Does a Licensed Owner Avoid Texas Automobile Club Bond Claims?

Texas automobile club owners and their employees must follow all license regulations pursuant to Texas State Statutes Chapter 72. Committing a license violation may lead to the Secretary of State inflicting penalties such as the revocation of the owner’s license, large fines, and/or being ordered to serve up to six months of jail time. Civil action by a financially damaged member of the club is also a possibility and may result in a bond claim. 

Automobile clubs typically offer services such as motor vehicle maintenance, emergency roadside assistance, theft protection, travel rewards, assistance purchasing insurance coverages, and bail bonds or legal fee reimbursements in the defense of traffic offenses. If the automobile club commits fraud, negligence, or a breach of contract, and refuses to resolve the matter, any damaged club member has the right to take civil action against the business owner. In cases where the Texas State court rules in favor of the claimant, the Automobile Club Bond will be tapped to cover the financial damages caused by the club’s transgression(s).

If you receive a court-ordered bond claim notice, contact Jet as soon as possible. We will request that you supply us with all available information and documentation for our own investigation of the alleged violation.

Per the Texas Automobile Club Surety Bond form, Jet is legally obligated to pay out legitimate claims. Claim payouts will not exceed the $25,000 bond limit. You, as the owner of the automobile club, are ultimately held responsible for your actions and the actions of your employees. Therefore, you must reimburse Jet for the claim payment made on your behalf. Failure to uphold this obligation will result in future difficulties acquiring a surety bond for licensure as an automobile club in the State of Texas. 

Texas Automobile Club Surety Bond Form

Notary Bond Application:

X

Business Information:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Employee Dishonesty Bond Application:

Business Information:

Business Description:

Coverage Requirements:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Contract Bond Application:

X

Business Information:

Owner Information:

Job Details:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Worker's Compensation Application:

X

Business Information:

Business Description:

Coverage Requirements

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information: