Athlete Agent Surety Bonds Explained
Several states have adopted laws that require athlete agents to get a surety bond as part of the licensing or registration process. The provisions of the bond can vary by state, but their main purpose is to protect the interest of athletes who might have been wronged by the actions of their agents.
The surety bond can provide quick recourse to athletes if their agents have been found to be in violation of the law. If you’re an athlete agent, you should understand your state’s regulations pertaining to your profession.
Lance Surety Bonds can underwrite athlete agent surety bonds in any state that requires them.
Continue reading for more information on athlete agent bonds. If you want to speak with one of our agents directly, don’t hesitate to call us at (877)-514-5146.
Questions about Athlete Agent Surety Bond
Which states require an athlete agent bond?
Currently, the states with bonding requirements for athlete agents include Oklahoma, Georgia, Texas, Alabama and Pennsylvania.
States frequently adopt new bonding regulations, so be sure to check with your state’s licensing authority to verify if the bonding requirement applies to you.
What’s the cost of athlete agent bonds?
To to calculate your premium, you first need to know your bond’s penal sum, or “total amount” as it’s sometimes called. Each state determines their own total amount, so the best way to find yours is to contact the licensing authority in your state.
The table below contains total bond amounts for several states, as well as a breakdown of expected premiums based on the applicant’s personal credit score.
|State||Surety Bond Amount||Credit Sore|
|Above 700||Between 650-699||Between 600-649||Below 599|
|Oklahoma and Texas||$50,000||$250-$625||$375-$750||$1,000-$2,500||$2,500-$5,000|
The above numbers are for estimation purposes. The underwriting process can vary by state, and depends on each surety’s specific requirement. To find out your exact quote, just submit our online application.
To find out more about the factors affecting your premium, head to our What Does a Surety Bond Cost? page.
Can I get bonded if I have bad credit?
If your score is below 650 (FICO) or your business is brand new and you credit history is blank, then surety bonds companies will consider you a high-risk applicant.
This doesn’t mean you can’t get bonded– but it does mean that you will likely pay a higher premium. Only applicants with open bankruptcies and those late with their child support payments are likely to get their application rejected.
Through our years of experience, we’ve forged partnerships with the nation’s most trusted and strongest surety companies. This means we can shop around for you and find the lowest possible rate.
How can I apply for an athlete agent surety bond?
The application process is simple. We created an online application which allows you to apply for your bond in less than five minutes.
After you submit your online application and provide ownership information, we will contact you with a free bond quote. Bond forms are different in each state but we have all of them on file and our agents will help you out if any of the language or requirements are unclear.
Under normal circumstances, your surety bond will be signed and mailed to you within two business days. Feel free to also request copies via fax or email.
For any questions throughout the application process, you can always call us for assistance at (877)-514-5146.
What happens in case of a claim?
If there is a valid claim filed against you, you can become liable for sums up to the total amount of the bond you posted. This is why it’s very important to read and understand your state’s laws and regulations. Bond claims can be quite costly, and can make it harder to get bonded next time you apply, thus risking the revocation of your license.
Here are some of the main laws pertaining to athlete agents in the state which require surety bonds:
- Texas: Chapter 2051 of the Occupations Code
- Alabama: Chapter 26 of the Alabama Act (Alabama Uniform Sports Agents Act)
- Oklahoma: Sections 1 through 19 of the Oklahoma Statutes (the Oklahoma Uniform Athlete Agents Act)
- Georgia: Title 43 of the Georgia State Codes
- Pennsylvania: the Pennsylvania Uniform Athlete Agents Act