IN tobacco distributor bonds.
$275. Five minutes.

Indiana requires an other tobacco products distributor to file a $1,000 bond with the Department of Revenue as a condition of the license, under IC 6-7-2-8. Ours is $275 flat — the $275 minimum, since 3% of $1,000 lands below it. License bonds like this are the fastest thing we issue.

Required for your Indiana OTP distributor’s license — new applicants and renewals, filed with the DOR
Fixed amount, fixed price — $1,000 bond, $275, no quote process
Multi-year terms available — set it up once, forget it for up to 3 years
A-ratedA.M. Best carriersFastoften same purchase1–3 yrterms available
Trusted by industry leaders
NYCEDC
BDG
Capital
McKinney
Terra
JLL
Triple Five
Georgetown
NYCEDC
BDG
Capital
McKinney
Terra
JLL
Triple Five
Georgetown
How it works

Three steps. One sitting.

License bonds are the simplest thing in surety. Here is the entire process:

NOW · 5 MINUTES

Apply online

Business details and an effective date. That is the application — no financials, no credit check section, no follow-up scavenger hunt.

MINUTES, USUALLY

Pay & e-sign

License bonds like this are among the thousands of bond types that issue right after purchase. At most, 1–2 business days.

SAME DAY

File with your license

Your executed bond and power of attorney arrive by email, ready to file with your Department of Revenue distributor license application or renewal. Wet-ink original mailed on request.

The whole pricing page.

$1,000 bond × 3% = $30, below our $275 minimum — so the price is $275, one-time per term. Fixed amount, fixed price, multi-year if you want it.

1-year term
$275
2-year term
$550
3-year term
$825
About this bond

What it is and who needs it.

What the bond actually guarantees

Indiana taxes other tobacco products (OTP) — cigars, smokeless tobacco, pipe tobacco, and the like — under IC 6-7-2, and a distributor needs a license from the Department of Revenue. The license is conditioned on a surety bond that guarantees you remit the tobacco products tax you owe, on time and in full.

The bond amount is a fixed $1,000 minimum under IC 6-7-2-8, conditioned on your compliance with the chapter. It is a three-party arrangement: you (the principal), the surety, and the State of Indiana (the obligee). If the department finds the bond inadequate to protect the state, it can require a larger one — most distributors stay at the $1,000 minimum.

It is not insurance for you — if the state recovers unpaid tax against the bond, you repay the surety. Distributors who file and pay on time treat it as a license formality. The bond must stay active for the life of the license, so we track it and notify you ahead of renewal.

IC 6-7-2-8Under IC 6-7-2-8, an applicant for (or holder of) an Indiana tobacco products distributor’s license must file a surety bond of at least $1,000, issued by a surety approved by the Department of Revenue and conditioned on compliance with the tobacco products tax chapter (IC 6-7-2). If the department determines a bond is inadequate, it may require a larger one. This page covers the standard $1,000 OTP distributor bond.

You need this bond if you are

Applying for an Indiana OTP distributor’s license — the bond is filed with your application
Renewing your distributor license and your bond is expiring or was non-renewed
A wholesaler or importer of OTP — cigars, smokeless, pipe tobacco — distributing in Indiana
An out-of-state distributor getting licensed to sell OTP into Indiana

Five minutes. The whole thing.

These are the actual issuing fields — no credit check section, because this bond doesn’t have one.

Start the application →
FAQs

Common questions.

If yours isn't here, the bond team can usually answer within the hour.

How much is the Indiana tobacco distributor bond? +
The premium is $275 — our flat minimum. The bond amount is fixed at $1,000 by statute, and 3% of $1,000 is $30, which falls below the $275 floor, so every distributor pays $275 per term. There is no quote process.
Do I pay the $1,000? +
No. You pay $275. The $1,000 is the surety’s maximum liability to the state if you fail to remit tobacco products tax — not a deposit, and nobody holds your money.
Could my bond amount be higher than $1,000? +
Usually not — $1,000 is the statutory minimum under IC 6-7-2-8 and the standard amount. If the Department of Revenue determines a bond is inadequate to protect the state, it can require a larger one. Send us your notice and we will issue the amount the department named.
Is there a credit check? +
Not on this bond — the application has no credit section at all. Small fixed-amount license bonds like this one don’t need one.
When does it renew? +
The bond must stay active for as long as you hold the license. You can buy a 1, 2, or 3-year term; we send renewal notices 60 and 30 days out, with autopay available, so your license never lapses over a missed email.
Related bonds

Other New York bonds.

Finish your license checklist today.

$275 flat, five-minute application, bond often issued in the same sitting. Free until issued.

Your premium @ 3%$275
Apply now →