Texas Insurance Agency Bond

Texas Insurance Agency Bond

Corporations and partnerships that engage in the business of insurance must be registered with the Texas Department of Insurance (TDI) as an insurance agency. The filing of a $25,000 Insurance Agency Bond is required to obtain and maintain your license with the Department.

Jet Insurance Company offers the Insurance Agency Bond as a guarantee to the Department of Insurance that there is financial recompense available should the owner of the licensed insurance agency, or their employees, act in a dishonest or illegal manner, causing financial loss.

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If you are looking to apply for or renew an insurance agency license, the Jet team can help you secure the required Insurance Agency Bond quickly and at an affordable price. Click the button above to get your bond in less than five minutes!

What Is the Cost of the Texas Insurance Agency Bond?

Jet provides the $25,000 Insurance Agency Bond to Texas insurance agencies for the guaranteed price of $125 annually or just $13 a month. We don’t require a lengthy application process or credit check! Check out the chart below for all available bond terms and pricing options.

Bond TermCost
Monthly$13
1 Year$125
2 Years$219
3 Years$313
Texas Insurance Agency Bond Prices

Jet’s monthly option is exclusive to the market?no other carriers currently offer monthly plans for the Texas Insurance Agency Bond. 

Why Is the Insurance Agency Bond Required by the Texas Department of Insurance?

All corporations and partnerships that perform insurance services for the public must be registered with the Texas Department of Insurance. In order to maintain a license, the owner of the insurance agency must file an Insurance Agency Bond with the TDI. This surety bond requirement is used as a protective tool that ensures the owner of the insurance agency, and its employees, will follow all insurance laws, license regulations, fulfill all contracts entered into, and will responsibly conduct its offered insurance services. If an unlawful or unethical business practice is committed by the insurance agency, the bond will act as a financial guarantee for any client who faces economic losses due to such violations.

How to Apply for the Texas Insurance Agency Bond With Jet

Just click the “Secure Your Bond” button to purchase the Insurance Agency Bond. All we ask is that you provide us with your contact details and payment information. Once the purchase has been completed, Jet will send you a copy of your receipt and bond form instantly.

How Is the Insurance Agency Bond Filed With the Texas Department of Insurance?

Jet can take care of filing your bond for you at no extra cost! However, if you would prefer to file the bond form yourself, this option is available at checkout. The signed and sealed Insurance Agency Bond, along with your completed Application for Insurance Agency License, must be submitted to the TDI’s Agent and Adjuster Licensing Office at the following mailing address:

Texas Department of Insurance
Agent and Adjuster Licensing Office
PO Box 149104
Austin, TX 78714

If you would prefer to take care of your registration needs online, the TDI allows you to initially apply for your license, renew your license, and make changes to your license information through the Texas Agent and Adjuster Portal.

Can the Texas Insurance Agency Bond Be Cancelled? What About Refunds?

You can cancel your Insurance Agency Bond with Jet at any time. A written request must be sent to our email at [email protected], and once received, we will begin the process. A surety bond termination notice will then be sent to the Texas Department of Insurance. The liability of your bond will be released within 30 days of the TDI receiving word of the bond cancellation request. 

If you enrolled in our monthly plan, you will be required to make one last payment during the 30-day period as your bond is technically still active during this time. All future payments will cease once this step has been completed.

As for refunds, if you purchased a multi-year bond term in full and want to cancel early, Jet will review your bond for any unused premium. If any is available, you will receive a reimbursement once your bond has been officially cancelled by the TDI. 

How to Renew the Texas Insurance Agency Bond

Enrollees of our monthly plan won’t have to worry about renewing the Insurance Agency Bond! Your bond will remain active with the Texas Department of Insurance as long as monthly payments are fulfilled. 

If you purchase an annual or multi-year bond term with Jet, our team will send you a renewal invoice prior to your expiration date via mail and email. Just complete the standard payment due and your surety bond will remain active with the TDI for another term. It’s that easy!

How Does a Licensed Insurance Agency Avoid Texas Bond Claims?

Corporations and partnerships that operate as licensed insurance agencies are expected to follow all regulations set forth in Title 13 of the Texas Insurance Code. Violations may lead to the Texas Department of Insurance suspending or revoking the insurance agency’s license and charging large fines. In addition, any damaged clients of the agency may pursue civil action which may result in a bond claim. 

A claim on the Insurance Agency Bond may occur if the owner of the agency, or an employee, commits a license transgression such as misrepresentation, concealment of material facts, fraud, or any other unethical business practices. For example, using deceptive sales and marketing practices are considered license violations. 

Any party, such as a current or past client of the insurance agency, that has been financially damaged may submit an official complaint with the Texas Department of Insurance. However, the TDI can only inflict license penalties onto insurance agencies that have been found guilty of a license transgression, and will likely recommend that the complainant take civil action against the insurance agency. In cases where civil action is taken against the insurance agency and the Texas court rules in favor of the claimant, the Insurance Agency Bond may be used to cover the damaged party’s financial losses, as well as the cost of their attorney fees.

What Happens if a Claim Is Filed on the Texas Insurance Agency Bond?

If you receive a court-ordered bond claim notice, contact Jet Insurance Company as soon as possible. Our team will begin the process by asking that you provide us with all available information and documentation regarding your case. We will utilize these details for an investigation of the alleged violation. 

Per the Texas Insurance Agency Bond form, Jet is legally obligated to pay out justified claims up to the $25,000 bond limit. Payouts will never exceed the bond amount. You, the owner of the insurance agency, are held responsible for your actions and the actions of your employees. Therefore, you are obligated to reimburse Jet for the claim payment made on behalf of your license transgression(s). Failure to do so will result in difficulties obtaining future surety bonds within the state, which are typically required to achieve licensure status in the Texas insurance industry. 

Texas Insurance Agency 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: