A Title Insurance Agent/Direct Operation Bond is a type of surety bond required by the Texas Department of Insurance for those making application to the Department for a license as a Title Insurance Agent/Direct Operation to undertake or continue in the business of a Title Insurance Agent/Direct Operation, in accordance with the provisions of "The Texas Title Insurance Act" of The State of Texas. The surety bond amount should be provided to you by the Department as determined by ยง2651.101 of the Texas Insurance Code. The bond secures the obligation to the Texas Department of Insurance of pecuniary losses resulting from any participant in an insured real estate transaction sustained through acts of fraud, dishonesty, theft, embezzlement, or willful misapplication on the part of said bonded title insurance agent.