Oregon Surety Bonds

Oregon Surety Bonds Overview

A surety bond may be required in the state of Oregon for a number of reasons. Applicants for a business license may be asked to get bonded in order to obtain their license.

Contractors who wish to work on certain state or federal construction projects may also be required to get bonded first.

Finally, certain courts in Oregon may also require a bond to be obtained for certain court proceeding.

Why do I need a bond at all?

The purpose of any surety bond is to guarantee that the bonded party (the bond principal) will comply with certain conditions, such as the state rules and regulations that govern their lines of business. Alternatively, a surety bond for contractors may guarantee their compliance with a construction contract.

If a bond principal violates their bond agreement and causes losses or damages to the state or the public (the bond obligees), the bond also guarantees compensation to these parties.

To learn more about how bonds work, and why they are required, see our detailed ‘What is a surety bond’ guide!

You can proceed directly to your application by finding the surety bond that you need in the table below. Simply click on the ‘Apply’ button and get started!

If you’re new to surety bonds, you may want to browse through the sections below and read more about the various types of surety bonds, how much they cost and how you can get yours.

Types of Surety Bonds in Oregon

There are three different types of bonds, depending on your needs. These are:

• License and permit bonds
• Contract bonds
• Court bonds

License & Permit Bonds

Oregon state requires many of its businesses to obtain a surety bond before they get their license issued or renewed. These bonds are known as license and permit bonds. They guarantee that the bonded principal will comply with the regulations for their license.

Some of the most popular such bonds in the state are the auto dealer bond, the mortgage broker bond, as well as freight broker bonds. Many other businesses also require a bond in order to get licensed.

Contract Bonds

Contract bonds, sometimes also referred to as construction bonds, are surety bonds which Oregon contractors must obtain when they want to work on projects above a certain dollar amount.

These bonds are almost always necessary when contractors work on a state or federal project, and private project owners will often ask contractors to get bonded too.

Before contractors can work on a project, they also need to get licensed and bonded with the relevant license and permit bond.

Court Bonds

Court bonds are bonds which may sometimes be requested by Oregon courts.

For example, in order to appeal a judgement in the state of Oregon, you may be asked to obtain a supersedeas or appeal bond. In order to become a fiduciary in the state of Oregon, you may be asked to obtain a fiduciary bond.

If all of this is still new to you and you would like to speak to someone, you can always reach us at (866) 450-3412! We can help you determine what kind of bond you need and help you get bonded!

How Much Does a Surety Bond Cost in Oregon?

How much you will have to pay to get your Oregon surety bond depends on the type of bond you are applying for and its amount.

What is the difference between bond amount and cost?

The amount of your surety bond is the coverage that it provides to the obligees. In other words, if there is a claim against this bond, this is the maximum amount of compensation it can provide to obligees. The cost of your surety bond is based on this amount and constitutes a fraction of the whole sum.

What determines the cost of my bond?

What fraction or percentage of the whole sum you will have to pay depends on your financial standing and mostly on your personal credit score. Personal credit is usually taken by sureties as the most important factor when determining your premium.

Applicants who have high or stellar credit are usually offered the lowest rates. There are also other things that can influence your rates. These are:

• Personal and/or business financial statements
• An applicant’s industry experience
• How long a business has existed
• Further financial and business factors

Applicants with a high credit score are usually offered a rate 1%-4% of the total amount of their Oregon surety bond, though these percentages differ between the different types of bonds. These rates are called standard market rates.

What if I have a low credit score?

Applicants with bad or poor credit can get bonded just as easily as those with higher scores. Rates on bonds for such applicants are, out of necessity, slightly higher - between 5%-15% of the total bond amount.

To learn more about getting bonded with a lower score, see the Bad Credit Surety Bond Program page.

If you’re curious to know how much approximately your bond may cost, try out our surety bond calculator below.

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Surety Bond Cost Calculator

Bond Type Select Your Required Bond Auto Dealer BondCollection Agency BondContractor License BondDebt Collector BondFreight Broker BondMedicare/Medicaid BondMortgage Broker BondRetail & Professional Services BondSchool BondSmall Loan Company BondSports Permit BondTax & Utility BondTelemarketing BondTravel Agent BondAll Other License Bonds

State Requiring the Bond Select Your State Alabama Alaska Arizona Arkansas California Colorado Connecticut Delaware Florida Georgia Hawaii Idaho Illinois Indiana Iowa Kansas Kentucky Louisiana Maine Maryland Massachusetts Michigan Minnesota Mississippi Missouri Montana Nebraska Nevada New Hampshire New Jersey New Mexico New York North Carolina North Dakota Ohio Oklahoma Oregon Pennsylvania Rhode Island South Carolina South Dakota Tennessee Texas Utah Vermont Virginia Washington Washington D.C. West Virginia Wisconsin Wyoming

Surety Bond Amount ($)

Select Your Credit Score Please select Above 700 650 - 699 600 - 649 550 - 599 549 and under

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If you would like to know more about bond cost and how exactly rates are determined, our Surety Bond Cost page can provide you with all the relevant information.

How Can I Get Bonded in Oregon?

Follow the steps below to apply for the surety bond you need.

License bond application

To apply for a license bond, complete our simple online bond form. We will contact you with your free bond quote along with further details on completing the application.

Contract Bond Application

To apply for a contract bond, complete the contract bond online form that’s right for you. Once you’re done, send it to us. We’ll contact with more details about the bonding process you as soon as we receive and process your application.

If you experience trouble with your application or have any questions you would like to ask us, our surety bond experts are available to you at (866)-450-3412. Call us anytime, we will be happy to assist you!

Further Reading

About the author:

Todd Bryant

Todd Bryant is a graduate of Germantown Academy and the University of Pittsburgh College of Business Administration Honors College. He has been President of Bryant Surety Bonds, Inc., an A+ rated Business with the Better Business Bureau, since 2007. Licensed as a producer with the Department of Insurance, he has been published in the National Association of Surety Bond Producers newsletter and on numerous authoritative publications such as The Washington Post, Entrepreneur.com, Azcentral.com and many more.