§ 67-14. Liability insurance.

(a)

Insurance required. All surety recovery agents must be covered by a policy of liability insurance in an amount not less than $300,000.00 protecting persons and property from harm, written by a company approved by the director of finance. Such insurance may be maintained by the surety recovery agent or the bal bond agent for whom the surety recovery agent is associated.

(b)

Certificate of insurance. All surety recovery agents must submit to the director a certificate of insurance annually showing the required coverage. A bail bond agent may submit one certificate showing coverage for all surety recovery agents associated with the bail bond agent.

(c)

Notification of cancellation. The insurance required by this code will provide for notification to the director no less than 10 days prior to the cancellation of the insurance policy or reduction in coverage below $300,000.00.

(d)

Failure to maintain insurance. The failure to maintain the required insurance invalidates the authority granted by a surety recovery agent license or a provisional surety recovery agent license.

(e)

Deductibles. Deductibles are not permitted unless the licensee submits a bond to the director for the purpose of serving as a source of recovery for persons who receive judgments against a licensee for amounts less than that covered by insurance. The bond must be in a form and provided by a company acceptable to the director, based upon the likelihood that sufficient assets support the bond.

(Ord. No. 021454, § 1, 4-3-03; Ord. No. 031137, § 1, 10-2-03)