California Prorater Bond

A California Prorater Bond costs as little as $1,000 for those with good credit. 

The amount you pay to get this surety bond is a small percentage of the total bond amount needed. In August 2024, the required bond amount for the CA Prorater Bond increased from $25,000 to $100,000 (Senate Bill No. 985).

The cost to get bonded is known as a bond rate or bond premium. And the bond rate that an individual can secure depends on their credit score. However, other factors that may be considered include:

• Industry experience
• Past bonding history
• Business assets and finances

Lastly, the surety company you choose can also affect your bond rate. Smaller and less established companies tend to have higher prices. In contrast, large companies, like JW Surety Bonds, are able to handle more risk due to the large number of bonds we underwrite—allowing us to offer the lowest bond prices in the industry.  

1. Fill Out an Online Bond Application

Our online bond application is quick, free, and available 24/7. To fill out the form, you will need your:

• Bond Name: California Prorater Bond. Select “General Business License or Permit Bond” if the bond name is not available from the drop-down list.
• Bond Amount: $100,000
• Contact Information: Email and phone number

Prefer to apply over the phone or have questions? Call our bond experts at (888) 592-6631.

A soft credit check will be run when your application is submitted—this will not affect your credit. 

2. Get a Free Bond Quote

Your California Prorater Bond quote will be sent to the email you provided. This usually only takes a few minutes after you submit your application.

3. Purchase Your Bond

Log in to our website to purchase your bond and fill out the indemnity agreement. Once you pay your invoice, an electronic copy of your bond will be sent via email. The original bond form will be sent by mail.

Any business or entity seeking a California Prorater License needs a $100,000 Prorater Bond. Per California Statute 12200, all CA Proraters must be licensed through the California Department of Financial Protection and Innovation (DFPI). 

• The California Prorater Bond is the one that our client, Carla, needed as she is considered a Special Prorater (she is a talent manager in California). The bond allows her to hold a Prorater License and legally handle clients’ bills on their behalf. 

Currently, there are four different types of businesses that need to hold a California Prorater License. 

The purpose of this bond is to ensure that a prorater complies with licensing regulations. If they fail to do so, their bond compensates the public for any losses caused by their misconduct. In short, this bond is in place to protect the public. 

Every Prorater Bond is a contract between three parties:

• Principal – The prorater that needs to get bonded.
• Obligee – The party requiring the prorater to get bonded (California Department of Financial Protection and Innovation).
• Surety – The company issuing and financially backing the bond (Ex. JW Surety Bonds).

See our guide, What Is a Surety Bond?, for more information on how bonds work.