Author: Admin

Commercial Lines Modernization Bills Moving in the States

Members should visit Advocacy / General Info (Members) for more information.

SFAA Addresses Changes to Georgia Bond Requirements for Livestock Sales

SFAA Addresses Changes to Georgia Bond Requirements for Livestock Sales SFAA submitted comments to the Georgia Department of Agriculture (Department) to address proposed regulations that implement a new law that permits livestock dealers and auction operators to obtain a letter of credit, certificate of deposit, or “other written instrument” in lieu of the bond.  SFAA promoted the value of bonds in comparison to other forms of security based on the surety?s prequalification of the bond principal and the financial protection offered in the event of a default.  The proposed rules also implement a change in the law that deleted the specified bond amounts for a livestock auction operator and for dealers purchasing livestock at an auction.  Instead, the amount of the bond or other security will be determined through a memorandum of agreement with the Department, which must be sufficient to secure the performance of the dealer or the operator’s obligations.  To ensure that the amount of financial protection is the same, the amount required should be the same regardless of the form of security that is furnished.

Members should visit Advocacy / General Info (Members) for more information.

Statutory and Regulatory Provisions Governing Fidelity and Surety Filing Requirements – Rate and Form Filing Status By Jurisdiction  SFAA?s Rate and Form Filing Chart has been updated for recent statutory changes.

For Members only (or navigate to Member Services / Regulatory)

SFAA Addresses Coverage for Virtual Currency in Money Transmitter License Bond Rules

SFAA submitted comments to the Washington Department of Financial Institutions to address proposed rules for money transmitters that expanded the meaning of money transmission to include the transmission of virtual currency. The bond?s existing condition requires the surety to secure the licensee?s compliance with this law. SFAA explained the risks in underwriting virtual currency transmissions due to the volatile fluctuations in the value of the currency. Virtual currency is subject to minimal regulation, is vulnerable to cyberattacks, and the accounts are not insured by the Federal Deposit Insurance Corporation. Underwriting these risks could increase the surety?s exposure by amounts that are difficult to quantify or identify so that the surety bond?s coverage should not be extended to cover them since it could negatively affect the bond?s availability.

Members should visit Advocacy / General Info (Members) for more information.

SFAA Comments on Proposed California Bond Requirement for Third Party CDL Testers

Members should visit Advocacy / General Info (Members) for more information.

New bonding opportunities enacted in the state legislature that may be of interest to SFAA members has been posted. The report is divided by line of business: contract surety, commercial surety, and fidelity bonds. For your reference, we have included the date of enactment for each bill. SFAA updates this list periodically as new bonding opportunities are enacted.

Access the New Bonding Opportunities now

The Subscribers to SFAA Fidelity and Surety Case Summaries list has been updated for Members, Claims Advisors and Case Summary Subscribers.

Navigate to Member Services / Claims / Subscribers to Case Summaries.