Texas Athlete Agent Bond Requirements
If you want to operate as an athlete agent in Texas, you need to get licensed with the Secretary of State. During this process, you have to provide a $50,000 athlete agent bond.
To see all states requiring agents of professional athletes to post a surety bond check out our complete athlete agent bond guide.
Why do I need this bond?
Athlete agent bonds protect professional athletes from potential damages they may endure due to illegal activities committed by their agents.
The Texas athlete agent bond ensures that agents in the state will adhere to the legal framework, safeguarding the interests of athletes. More specifically, it guarantees that agents will follow their obligations under Chapter 2051 of the Texas Occupations Code.
Do you need more information about the bonding process? You can check out our detailed ‘What is a surety bond’ guide.
You can always get in touch with our bonding experts by calling us at 866.450.3412.
What Is the Cost of the Texas Athlete Agent Bond?
The surety bond requirement for athlete agents in Texas is $50,000.
To get bonded, you need to pay a fraction of this amount, which is your actual surety bond cost. It is set by the surety on the basis of your personal and business financial strength.
Factors that determine your bond premium
The stronger your overall financial profile is, the lower the bond premium that you may get. Sureties consider the following indicators when reviewing your bond application:
- Personal credit score
- Personal and business financial statements
- Any fixed and liquid assets
- Professional track record
Applicants with stable finances usually get rates as low as 1% of the bond amount.
You can review an estimate of your bond cost based on credit score in the table below.
|Texas Athlete Agent Bond Cost Based on Credit Score|
|Surety Bond Type||Bond Amount||Credit Score|
|Above 700 - 600||Below 600|
|Texas Athlete Agent Bond||$50,000||$500-$1500||$1500-$2500|
To get an exact estimate for your bond cost, you complete our online application form. You will receive your online quote instantly. It’s free and there is no obligation.
What Are Bond Claims?
Athletes can seek fair reimbursement for damages they have suffered as a result of their agents’ actions by filing a bond claim. The maximum compensation that they can demand is up to the penal sum of the bond, which is $50,000.
When a claim is received, the surety that has provided the bonding needs to investigate it. If it determines that the case is proven, the agent has to cover the claim costs and compensation. Thus, the liability remains with the bonded party rather than the surety.
As bond claims can lead to serious implications, both financially and in terms of reputation, they are best to be avoided.
How to Get Your Texas Athlete Agent Bond
Want to get started with obtaining your Texas athlete agent bond? Complete the form in the banner below. You will get a free quote from us in no time.
Want to learn more about the athlete agent bond requirements? You can reach us at 866.450.3412.