Texas Title Agent Minimum Capitalization Surety Bond
| Bond Amount Required | Bond Term | Annual Premium |
| $150,000 | 1 Year | $1,500 |
Texas title insurance agents may use a surety bond to satisfy the state’s minimum capitalization requirements. The required capitalization amount is based on the population of the county where the title agent maintains its principal office. A $150,000 capitalization amount applies to agents whose principal office is in a county with a population of 1 million or more.
Cost of the Texas Title Agent Minimum Capitalization Surety Bond
The cost of the $150,000 Texas title agent minimum capitalization surety bond is $1,500 for a one-year term based on the supplied product information. Complete the quote form to begin the required bonding process.
How the Texas Title Agent Minimum Capitalization Surety Bond Works
The Texas title agent minimum capitalization surety bond provides an alternative method for a title insurance agent to comply with the state’s minimum capitalization requirements. The bond must be issued by a surety company authorized to conduct business in Texas and is payable to the Commissioner of Insurance.
The bond involves three parties:
Principal: Title insurance agent
Obligee: State of Texas
Surety: Bonding company
The bond requires the principal and surety to satisfy covered obligations arising from the principal’s failure to comply with the applicable minimum capitalization standards. The surety’s aggregate liability cannot exceed the penal sum of the bond.
How to Get the Texas Title Agent Minimum Capitalization Surety Bond
Follow these simple steps to get bonded:
- Confirm that the $150,000 capitalization tier applies to your title agency.
- Complete the application using the Merchants Bonding reference provided for this product.
- Pay the $1,500 bond premium.
- Receive and file the bond with the Texas Department of Insurance as required.
Texas Department of Insurance rules require an agent using a surety bond for capitalization compliance to provide written notice at license renewal that the bond has been purchased and meets the statutory capitalization requirements.
Learn more about your Texas surety bond options across the state.
Secure Your Texas Title Agent Minimum Capitalization Surety Bond
If your Texas title agency falls within the $150,000 capitalization tier, secure the required surety bond to help satisfy the state’s minimum capitalization requirements. Contact NNA Surety to get started and complete the quote form to proceed with purchase.