Wichita Bail Bonds Blog

No, you usually do not pay surety bonds monthly. A surety bond is not like an insurance policy with ongoing premiums; it’s a one-time payment made when the bond is issued. This payment, known as the bond premium, is typically a small percentage of the total bond amount. Once the bond is active, it usually remains valid for a set period, such as one year, and must be renewed when it expires if you still need coverage.

How Surety Bond Payments Work

When you apply for a surety bond, the bonding company evaluates your credit, financial history, and business stability. If approved, you pay a one-time premium to activate the bond. The payment amount depends on your risk level and the bond type.

• One-time payment – The premium is paid upfront when the bond is issued.
• Premium range – Usually between 1% and 15% of the total bond amount.
• Term length – Most bonds last 12 months and can be renewed with another one-time payment.
• Renewals – Renewal premiums are paid once per term, not monthly.

Example of Surety Bond Costs

If you need a $50,000 surety bond and the rate is 2%, you’ll pay $1,000 upfront. That covers the entire bond term, usually one year. When the bond nears expiration, you’ll receive a renewal notice to pay another premium if the bond needs to remain active.

• $10,000 bond – $100 to $1,500 one-time payment, depending on credit.
• $50,000 bond – $500 to $7,500 one-time payment.
• $100,000 bond – $1,000 to $15,000 one-time payment.

When Monthly Payments Might Apply

Some surety companies offer financing plans for higher bond amounts. These are not monthly premiums but installment plans that divide your one-time payment into smaller portions. The bond remains valid only if all payments are made on schedule.

• Used for large or high-cost bonds.
• Monthly payments are installments toward a single premium, not ongoing coverage.
• Once paid in full, the bond remains active until renewal.

Renewing a Surety Bond

At the end of your bond’s term, you’ll need to renew it if your business or license still requires bonding. The renewal process usually involves reviewing your updated credit and financial information. You’ll then make another one-time payment for the next term.

• Renewal cost may decrease if your financial standing improves.
• Some companies allow automatic renewal with electronic payments.
• Failure to renew can cause license suspension or contract cancellation.

You don’t pay surety bonds monthly. Instead, you make a one-time payment for the bond’s term usually one year and renew it annually if needed. Monthly payments only apply if you finance the premium through an installment plan.