Texas Brewer’s Fee Interest Bond

Texas Brewer’s Fee Interest Bond

The Texas $30,000 Fee Interest Bond is required by the Texas Alcoholic Beverage Commission (TABC) for certain brewer’s as part of their licensing requirement.

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Brewer’s can purchase this bond directly from Jet Insurance Company which will save them on costs and time when compared to purchasing through agents and surety brokers. We are the only insurance company offering this bond directly to businesses.

How Much Does the Texas Fee Interest Bond Cost?

With Jet, the $30,000 Fee Interest Bond starts at $30 monthly. You can elect to pay for annual terms to save more, starting at $300 for 1-Year or $525 for 2-Years. Rates are based on the personal credit of the applicant.

Bond TermCost
Monthly$30
1 Year$300
2 Years$525
Texas Fee Interest Bond Pricing

The application for your surety bond takes only a minute online. Following the submission, a Jet underwriter will review before sending a link to purchase the bond. Additional information may be required to become eligible for the bond.

Who Needs the Fee Interest Bond and Why?

The Texas Alcoholic Beverage Commission spells out who needs the bond. Texas brewers with a Brewer’s License (BW) or Nonresident Brewer’s License (BN) that are in an alternating brewery proprietorship or contract brewing arrangements without any fee interest in a brewing facility need this bond. 


When a brewer does not brew beer in their own facility or have ownership in the brewery, an outside financial risk factor is created. First, the brewer is not invested in the facilities or machinery creating a type of ‘fly by night’ risk. Second, facility owners are entering contracts with these brewers, which can cause them financial damage when breached.

The surety bond gives the TABC the ability to seek compensation from a third party surety company (Jet) if damages caused by these ‘remote’ brewers remains outstanding. This can be from unpaid regulatory fines or financial damage to brewing facilities due to negligent or fraudulent actions of the bondholder.

How Do I Get My Bond to the TABC?

The first step is to purchase the bond with Jet. Once approved for the bond, Jet’s underwriter sends you a link to purchase the bond. Jet sends you this original form to the address you provide. The TABC requires the brewer to countersign the original stamped and sealed bond.

For new applicants, the bond needs to be submitted with all other licensing paperwork. All permit and license applications can be found on the TABC Forms webpage. 

When the bond is renewed, the TABC once again requires the original bond form submitted. Jet will send you the updated bond form once we receive bond renewal payment. 

Unless otherwise notified, bond submissions are sent to the following address:

Texas Alcoholic Beverage Commission
PO Box 13127
Austin, TX 78711

What Should I Do if I Get a Bond Claim?

Notify Jet Insurance Company at [email protected] right away. It is our job to verify the validity of the claim and assist you in the best possible steps forward.

Should a bond claim be valid and the brewer has not yet taken steps to rectify the damages or pay fines, then Jet will have to make payment up to, but not exceeding the bond’s limit.

Surety bonds are very different from insurance and do not pay out claims only to proceed with little more than increased future premiums. Insurance covers accidents, surety covers damages arising from negligent or fraudulent behavior. The surety agreement is based on the fact that the brewer has indemnified the surety against losses and will repay them. Once repaid the brewer has atoned for their original action by reimbursing the surety company can they proceed with their permitted profession.

How to Renew My Bond

The bond must remain active with the TABC, see how to renew with Jet.

How to Cancel My Bond

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What Other Surety Bonds Do Texas Alcoholic Beverage Businesses Need?

The Texas Comptroller of Public Accounts may require you to obtain a Mixed Beverage Gross Receipts Tax Bond and a Mixed Beverage Sales Tax Bond. Just click on the links to find out more details regarding these types of bonds.

Running an alcohol retail operation in Bexar, Dallas, Harris and Tarrant Counties? You may need the Texas Performance Bond for Alcohol Retailers.

Do you also need a Texas Conduct Bond for another permit from the TABC? Jet can help there as well.

Texas Fee Interest Bond Form

Texas Brewer’s Fee Interest 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: