Illinois viatical settlement provider bonds.
$1,250.
Illinois licenses viatical settlement providers through the Department of Insurance, and the Viatical Settlements Act of 2009 requires each provider to show financial responsibility, most commonly a $125,000 surety bond in favor of the State. Our premium is 1% of the bond amount, $100 minimum, which is $1,250 on this bond.
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How much does an Illinois viatical settlement provider bond cost?
$1,250 for the $125,000 bond: 1% of the bond amount.
Three steps. One sitting.
The financial-responsibility filing is the simplest part of a provider license. Here's the entire process:
Apply online
Business details, your Illinois company code number, an effective date, and a term. That is the application — any credit screen is a soft pull that never shows as a hard inquiry.
Pay & e-sign
This bond is checkout-priced at 1% — $1,250 for the $125,000 amount — so it issues the moment you pay. Your executed bond and power of attorney generate on the spot.
File with the Department of Insurance
Your executed bond arrives by email, ready to file with your viatical settlement provider license application. Wet-ink original mailed on request.
What it is and who needs it.
What the bond actually guarantees
Illinois regulates the purchase of life insurance policies from terminally or chronically ill policyholders under the Viatical Settlements Act of 2009. A viatical settlement provider must be licensed by the Director of the Illinois Department of Insurance, and the Act requires evidence of financial responsibility of $125,000 — a surety bond issued by an authorized insurer, a deposit of cash or securities, or an irrevocable letter of credit. The bond is the standard route.
It's a three-party arrangement: you (the principal), the surety carrier, and the State of Illinois (the obligee). The statute requires the bond to specifically authorize recovery by the Director on behalf of any person in Illinois who sustains damages from the provider's erroneous acts, failure to act, or conviction of fraud or unfair practices.
It is not insurance for you — if the surety pays a claim, you repay the surety. The Director may ask for evidence of financial responsibility at any time, so the bond has to stay continuously in force; we track the term and send renewal notices 60 and 30 days out.
You need this bond if you're
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 $125,000 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; a longer term is the same price per year, chosen at checkout.
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 Insurance. Your executed bond arrives by email, ready to file with your viatical settlement provider license application. Wet-ink original mailed on request.
What sets the price
The premium is 1% of the bond amount, $100 minimum: the amount the obligee sets moves the price, not your business profile.
One soft credit pull, never a hard inquiry, and it never affects your score.
Where a check runs, it decides approval; the rate is the same for everyone approved.
One application, issued instantly.
These are the actual issuing fields — business details, your Illinois company code number, an effective date, and a term. That is the application.
Start the application →Common questions.
Other Illinois bonds.
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Price and requirements checked on the carrier’s application, . Page updated .
Finish your provider license filing today.
$1,250 for the statutory $125,000 bond, issued the moment you pay, soft pull only. Free until issued.