Washington Insurance Broker Bond
What is a Washington Insurance Broker Bond?
An Insurance Broker Bond is a type of surety bond required by all Washington licensed resident insurance producers who places insurance either directly or indirectly with an insurer where the insurance producer is not appointed as an agent. The insurance producer bond is written in favor of the people of the state of Washington or a named insured. The bond amount, or coverage amount is the great of two thousand five hundred dollars, or five percent of the premiums brokered in the previous calendar year. The maximum bond amount is one hundred thousand dollars. This surety bond requires proper accounting by the resident insurance producer to any person requesting the resident insurance producer to obtain insurance in exchange for money or premiums collected. The bond runs continuously until canceled by the surety company through advanced written notice required by the state.