$10,000 New York Watch, Guard or Patrol Agency Bond

Businesses are required to file a $10,000.00 bond with the State of New York Department of State (the "Obligee") to activate their license. The bond protects the Obligee by transferring to a surety bond company the cost of ensuring the public is compensated for damages resulting from a licensed business breaking licensing laws.

Watch, Guard or Patrol Agency Bond

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How much does the New York Watch, Guard or Patrol Agency bond cost?

New York Watch, Guard or Patrol Agency bonds typically cost $100.

Is a Credit Check Required for New York Watch, Guard or Patrol Agency Bonds?

Credit checks are not required for the New York Watch, Guard or Patrol Agency Bond.

Why is the New York Watch, Guard or Patrol Agency bond required?

Businesses are required to purchase and file a $10,000 bond with the State of New York Department of State to activate their license. The bond protects the Obligee by transferring to a surety bond company the cost of ensuring the public is compensated for damages resulting from the failure of a licensed business complying with the provisions of licensing laws.

How does the New York Watch, Guard or Patrol Agency bond work?

New York Watch, Guard or Patrol Agency bonds must be issued by an insurance carrier admitted by the New York Department of Insurance. The insurance company issuing any surety bond, such as the New York Watch, Guard or Patrol Agency bond, will also be referred to as the "surety company" or the "bond company". The business is referred to as the Principal, the surety bond company as the Obligor and the State of New York Department of State as the Obligee.

The surety company provides the Obligee a guarantee (the surety bond) that the customers, vendors and employees of a licensed business will receive payment for financial damages due to a violation of licensing law up the bond amount stated on the bond form ("penal sum"). The bond company also directly receives claims from the public and determines the validity of claims. Ultimately, the licensed business owners are responsible for their actions and required by law to reimburse the surety company for any payments made under the bond or face indefinite license suspension.