AGRICULTUE BOND OVERVIEW:
Agricultural packers, market agencies, and dealers need to obtain agricultural bonds in order to comply with the U.S. Department of Agriculture’s requirements, as well as with state regulations. Agricultural bonds have also been known as agricultural packers and stockyards bonds.
This type of surety bond acts as a safety net for the federal government and the state you operate in. It guarantees that agricultural businesses will abide by the rules set forth in the Packers and Stockyards Act, and will account properly for sales of agricultural products and livestock.
Like other surety bonds, agricultural bonds function like a three-party contract. Your agricultural business is the principal that needs to obtain the bond. The federal or state authority requiring the bond is the obligee. The surety is the entity which provides the bond.
Application: Call underwriter for appropriate application at 1-818-715-7133
Agricultural Bonds FAQ
We want you to feel comfortable working with our surety bond company and realize you may still have questions. Our FAQ section below will help you understand more about our business and what we do. Let’s learn more!
What Are Agricultural Bonds?
Agricultural surety bonds are required where the sale of livestock and products may take place.
How Much Does an Agricultural Dealer Bond Cost?
Other elements such as your personal credit score and the financial position of the business will also feed into the agricultural bond cost that you will need to pay.
Fill out our easy quote request form today to learn what your agricultural surety bond will cost in no time at all!
How Do Agriculture Bonds Work?
If there is such a bond required and the business refuses to comply with state or federal laws during the sale of livestock or agricultural products, there may be a claim made against the bond, which is paid by the surety, provided it’s legitimate. The bondholder will then need to make a repayment based on the penal sum.
How Do I Get an Agricultural Products Dealer Bond?
Will My Bad Credit Interfere with My Ability to Secure an Agricultural Bond?
What Kinds of Businesses Need Packers and Stockyards Bonds?
Some states also have agency requirements that will be met by getting such a bond.
How Do Packers and Stockyard Bond Claims Work?
Your business must then repay this amount in full, which can be financially damaging to your business. This is why it’s in your best interest to operate within compliance with state or federal requirements.
Get a Quick Quote TODAY
ALL ONLINE APPLICATIONS ARE SECURE
Thank you for contacting us! We'll contact you shortly.