Resident Agent Countersignature Requirements

On behalf of the National Association of Surety Bond Producers, a national trade association of surety bond producers, whose membership includes licensed resident bond producers and licensed nonresident bond producers in California, I am contacting you to inquire about the reasoning for and the continued enforcement of a requirement in at least four State of California bond forms, notably Bond of Insurance Adjuster (Form 31A-14), Bond of Insurance Broker (Form 417-5), Bond of Surplus Line Broker (Form 447-31), and Bond of Special Lines’ Surplus Line Broker (Form 44 7-32), copies of which are attached. These bond forms contain a requirement whereby the surety or the attorney-in-fact for the surety, its authorized bond producer, must indicate next to the signature line the “Place in California where executed.” It also has come to my attention that there have been instances where these bonds have been rejected by the Department of Insurance when this information was not completed in the form.

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