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Colorado commodity handler bonds.
From $125.

Before the Colorado Department of Agriculture licenses a commodity handler, you must file a surety bond conditioned on the honest handling of commodities. The amount is sized to your purchase volume — $10,000 minimum, up to $1,000,000 — and the premium is 1% of that amount plus a $25 fee, $125 minimum.

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Required for a CO commodity handler license under C.R.S. 35-36-201 et seq.
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Amount is about 2% of your prior-year Colorado commodity purchases — $10,000 minimum, $1,000,000 cap
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1% of the bond amount plus a $25 fee, $125 minimum — enter your required bond amount and see your exact price
1% of bond amount + $25 fee$125 minimum premiumInstantapproval for mostNo credit check up to $25,000above that, a soft pull at most, never a hard inquiry
Trusted by industry leaders
New York City Economic Development Corporation (NYCEDC)
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Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
New York City Economic Development Corporation (NYCEDC)
Blumenfeld Development Group (BDG)
Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
Price

How much does a Colorado commodity handler bond cost?

1% of the bond amount plus a $25 fee, from $125. Enter your amount in the calculator for the exact price.

How it works

Three steps. One sitting.

No underwriting queue for the standard commodity bond — enter your amount, pay, and file with the Department of Agriculture. Here is the whole thing:

TODAY · ONLINE

Apply online

Your business details, the bond amount your license requires, and the effective date — that is the application.

INSTANTLY

Issued on the spot

No credit check up to $25,000. Above $25,000, a soft pull may add a short review.

SAME DAY

File with the Department of Agriculture

Submit the executed bond with your commodity handler license application. Wet-ink originals mailed whenever the department insists on them.

About this bond

What it is and who needs it.

What the commodity bond actually covers

Colorado regulates commodity handlers through the Department of Agriculture under the Commodities Handlers and Farm Products law, now codified at C.R.S. 35-36-201 et seq. A commodity handler buys agricultural commodities from producers, and the state requires a bond before licensing so producers have recourse if a handler fails to pay.

The bond is conditioned on compliance with the law and the faithful and honest handling of commodities, and it covers inspection fees owed the department plus the costs of any suit on the bond. It is payable for the benefit of the producers and others the handler does business with.

The amount is set by the commissioner — generally about 2% of your prior calendar year's Colorado commodity purchases, with a floor of $10,000 and a cap of $1,000,000, and the premium — from $125 — scales with it. As a candid note: a surety bond may not fully cover every producer's loss if a handler fails, which the statute itself acknowledges. No credit check up to $25,000, and most applications approve instantly. Enter your required amount to see your exact price.

C.R.S. 35-36-201 et seq. (8 CCR 1202-11)Colorado commodity handlers are licensed by the Department of Agriculture under C.R.S. 35-36-201 et seq. (relocated from former Title 12, Article 16). Before licensing, a handler files a surety bond (or irrevocable letter of credit) of not less than $10,000 nor more than $1,000,000, set by the commissioner — generally about 2% of the prior year's Colorado commodity purchases per 8 CCR 1202-11. Confirm your required amount with the department.

You need this bond if you are

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A commodity handler buying agricultural commodities from Colorado producers
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Applying for a handler license with the Colorado Department of Agriculture
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Renewing your license at the amount set for your purchase volume
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Adjusting your bond after a change in your prior-year commodity purchases
After you buy

Claims, renewal, filing, and what sets the price.

If a claim is made

A claim comes from the party the bond protects, the obligee named on the form, when the duty the bond guarantees is not met.

The surety investigates and pays a valid claim, up to the bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.

Renewal and term

The premium covers a one-year term from the effective date you choose.

Renew before the expiry date to keep the bond in force: the license, permit or contract it backs expects continuous coverage.

How to file it

File with the Department of Agriculture. Submit the executed bond with your commodity handler license application. Wet-ink originals mailed whenever the department insists on them.

What sets the price

The premium is 1% of the bond amount plus a $25 fee, $125 minimum: the amount the obligee sets moves the price, not your business profile.

No credit check up to $25,000. Above that, the carrier may run a soft pull, which never affects your score.

Where a check runs, it decides approval; the rate is the same for everyone approved.

One application, issued on the spot.

No credit check up to $25,000. The executed bond is generated instantly, ready to file with the Department of Agriculture.

Start the application →
FAQ

Common questions.

How much is the Colorado commodity handler bond?The premium is 1% of the bond amount plus a $25 fee, $125 minimum — priced by the amount, not a tier. The amount itself is set by the commissioner — generally about 2% of your prior calendar year’s Colorado commodity purchases, with a $10,000 floor and a $1,000,000 cap. Enter that figure and your exact price appears.
Why does Colorado require it?Under C.R.S. 35-36-201 et seq., the bond protects producers and others a commodity handler does business with. It is conditioned on the honest handling of commodities and covers inspection fees and the costs of suit on the bond.
How is my amount calculated?The commissioner sets it, generally around 2% of your prior calendar year's Colorado commodity purchases, subject to a $10,000 minimum and a $1,000,000 maximum. New handlers and those changing volume should confirm the figure with the department.
Is there a credit check?No credit check up to $25,000. Above that, the carrier may run a soft pull, which never affects your score. Most applications approve instantly.
Is this the same as a farm products dealer bond?They are related programs under the same Department of Agriculture law, but the categories and amount formulas differ — farm products dealers have a $3,000 minimum, commodity handlers a $10,000 minimum. Confirm which license you hold and we will issue the matching bond.
Which A-rated carriers underwrite these bonds?Typically Arch Insurance Company (A.M. Best A+) or Nationwide Mutual Insurance Company (A.M. Best A). Which one writes your bond depends on the bond type and your state. The carrier's name and official signature are printed on the bond you receive.
How do I contact Light RFP about this bond?Email insurance@lightrfp.com. It reaches the bond team at Light RFP Risk Management Services LLC (NY DFS License # PC-1978982). Write to us about quotes, applications, bond forms or certificates. We will respond within 24 hours.
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Price and requirements checked on the carrier’s application, . Page updated .

Commodity handler bond, issued today.

Premiums from $125. Enter the amount the commissioner set and file with the Department of Agriculture the same day.

Your premiumfrom $125
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