California Insurance Broker Bond
California Insurance Broker Bond Information
The State of California Department of Insurance Producer Licensing Bureau requires a Bond of Insurance Broker (Form 50.12) pursuant to the California Code of Regulations Title 11 section 50.12. The surety bond must be in a penal sum, or coverage amount of $10,000 and the bond is required for an insurance broker's license to be issued by the Insurance Commissioner of the State of California. The surety bond is conditioned upon the proper accounting to any person requesting to obtain insurance, for money or premium collected by the bonded insurance broker, including its solicitors or employees.
How Much Does an Insurance Broker Bond Cost in California?
Getting Your California Business License or Registration
Following are the steps required to secure your California Resident Insurance Broker license:
- Fingerprint impressions from a California Department of Insurance examination site
- Complete pre-licensing requirement of 20 hours of approved casualty studies and 12 hours of approved study on ethics and the California Insurance Code
- Pass the Casualty Broker-Agent license examination. The California Department of Insurance (CDI) requires California resident applicants to first pass the qualifying license examination prior to submitting a license application
- Apply for a casualty broker-agent insurance license via the state online service - Fast Licensing Application Service is Here (FLASH)
- Pay required licensing fees
- File a $10,000 Bond of Insurance Broker ("Insurance Broker Bond" Form LIC 417-5) or meet alternative sponsoring insurance company requirements as set out by the state.