Public or Independent Adjuster Bonds

Why Are Public Adjuster Surety Bonds Required?

Each state has its own licensing authority. It might be the:

• Department of Insurance
• Commissioner of Insurance
• Office of the Superintendent of Insurance

It's the job of this agency to license and provide the public with access to insurance professionals who can help service their communities when accidents and tragedies occur.

Insurance adjusters also have a lot of responsibility to properly service their customers.

And it's an unfortunate fact, but every year there will be a small number of public insurance adjusters who will purposefully take advantage of their customers to make more money.

Examples of purposeful misconduct and fraud can include:

• Charging exorbitant fees for successful insurance claims
• Falsely recommending a customer to increase claims or claim size for higher potential payouts
• Lying to customers or insurance companies to extract higher claim payouts

And the surety bond is the primary method licensing agencies use to hold all public adjusters accountable to the promises they make to their customers.

What is a Public Adjuster Bond Amount?

While most states require a public adjuster bond, the amount of the bond will be different.

The bond amount is the total amount of financial coverage available to customers in the event they are financially harmed by an adjuster.

If the public adjuster commits an act of financial fraud, the customer can make a claim against the surety bond for financial compensation.

The surety bond amount is not the price, but it will impact the price you pay to purchase your bond.

How Much Does a Public Adjuster Bond Cost?

It's good to understand how the price is determined so you understand how we are able to get you the lowest possible price.

At a high level, the price of a public adjuster bond is determined by a rate quoted from a surety.

A surety is an insurance company that chooses to understand public adjuster bonds. And to determine this rate, they will look at two primary factors:

• The personal credit of the applicant
• And the insurance experience

From this, the surety will quote a rate. This rate multiplied by the bond amount is the price you pay.

And this is where Surety Bonds Direct can save you both time and money.

For every state that requires a surety bond to get licensed, we have secured a low fixed price. This means you can skip out on the credit check and any industry experience check.

Remember, bond amounts for each state range from $1,000 to $50,000.

And prices tend to range from a minimum of $100 to about $500.

The price you pay is a one time purchase for the entire bond term.

What is the Public Adjuster Bond Term?

For nearly every state, the bond term is 12 months from the effective date.

The effective date is the "active" date you choose when you purchase your bond. It will usually be the date you submit your application to the state.

As your renewal date approaches, you will have to renew your bond if you plan on staying licensed for the following year.

This is another reason to work with Surety Bonds Direct. We mange this process for you. You're assigned your own bond specialist who will manage your bond for you.

About 30 to 40 days before your expiration date, your bond specialist will email and call you to:

• Remind you that your bond is expiring soon
• Provide you with renewal pricing to keep your bond active

Once you pay the renewal premium, your bond will be active for the entire following term.

How Long Does It Take To Get a Public Adjuster Bond?

Scenario 1: Instant Downloads

Some states like Texas allow us to provide you with an instant download copy of your bond after your purchase.

This means you can purchase your bond today with our low fixed pricing and immediately download your surety bond for your application packet.

Scenario 2: Within Hours

For most states, we're able to offer you an instant purchase. However, it may take up to 24 hours to prepare your bond with the:

• Correct bond form
• Necessary signatures and seals
• Required power of attorney

This process typically takes only a few hours, but depending on certain circumstances it can take upwards of 1 business day.

What Happens After You Purchase Your Auto Dealer Bond?

After you purchase your bond, we'll send it to you based on the requirements of the agency requiring the bond.

Depending these requirements, you may need to sign an agreement (usually online) before we can send the bond to you.

Emailing Adjuster Bonds

I most cases, if we can let you immediately download your bond, we're able to prepare your bond electronically and email you the bond. Your licensing agency may require you to print and sign the paper copy, but email saves you considerable time.

Physically Mailing Adjusters Bonds

Some state licensing agencies require the original bond to be physically signed and submitted with the application. In these cases, we have to mail the bond to you.

If this is the case for your state, we will mail your bond as soon as it's ready.

Get your purchase process started today with our free online quote form or call an auto dealer bond specialist at 1-800-608-9950.

Start Your Public Adjuster Bonding Process Today

Click here to go to our map.

Select your state.

You'll find an easy to read grid of the dealer bonds required in your state. Choose the bond or bonds you require to fulfill your licensing requirements.

In nearly every case, you can immediately purchase your bond and we'll properly prepare it so we can send it to you ASAP.

If you prefer, call a bond specialist at 1-800-608-9950 and you can start the quote and purchase process over the phone.

If this is your first time getting an insurance adjuster license, refer to our blog.