What is the minimum face amount for the surety bond required for insurance producers who broker insurance?

The minimum face amount for the surety bond required for insurance producers who broker insurance is set at $2,500. This requirement is established to ensure that insurance producers maintain a level of financial responsibility and accountability in their professional conduct. The surety bond serves as a form of protection for clients and the public, ensuring that producers can satisfy certain obligations, such as claims or legal fees resulting from their actions while conducting business.

This bond acts as a safeguard that helps uphold the integrity of the insurance industry, demonstrating that producers are committed to ethical practices and financial responsibility. By setting a minimum amount, regulators aim to ensure that there are sufficient resources available should any misconduct arise, thereby enhancing trust in the insurance brokerage profession.