Kentucky pharmacy benefit manager bonds.
$10,000 flat.
Kentucky lets a pharmacy benefit manager satisfy its license's financial-responsibility requirement with a $1,000,000 surety bond, filed with the Department of Insurance under 806 KAR 9:360 — the alternative to a $1,000,000 errors-and-omissions insurance certificate. Ours is $10,000 flat, and the price you see is the checkout price.
Trusted by industry leaders
How much does a Kentucky pharmacy benefit manager bond cost?
$10,000 at the $1,000,000 amount, the same for every applicant.
Three steps. One sitting.
The bond side of your Department of Insurance license is the easy part. Here's the entire process:
Apply online
Business details, an effective date, and a soft-pull credit consent — a soft inquiry only, so it never affects your score. That is the application.
Pay & e-sign
This bond is checkout-priced at $10,000 flat, so it issues the moment you pay — no quote round-trip, no waiting on an underwriting queue.
File with the Department of Insurance
Your executed bond and power of attorney arrive by email, ready to file with your PBM license application or renewal. Wet-ink original mailed on request.
What it is and who needs it.
What the bond actually guarantees
Kentucky licenses pharmacy benefit managers (PBMs) through the Department of Insurance. 806 KAR 9:360 conditions that license on one of two forms of financial responsibility: a $1,000,000 errors-and-omissions insurance certificate, or a $1,000,000 cash surety bond issued by a corporate surety authorized to write bonds in the Commonwealth. This page is the bond option.
It's a three-party arrangement: you (the principal), the surety carrier, and the Commissioner of Insurance (the obligee), with aggrieved parties as the protected class. The regulation makes the bond subject to lawful levy of execution by any party the licensee has been found legally liable to — a broader trigger than a typical performance bond, reaching any qualifying judgment against the PBM up to the bond amount.
It is not insurance for you — if the surety pays a claim, you repay the surety. A PBM license expires March 31 each year unless renewed, and a renewal filing requires the same $1,000,000 financial-responsibility evidence as the initial application, so we track the term and send renewal notices 60 and 30 days out to keep the filing continuous.
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 $1,000,000 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 and power of attorney arrive by email, ready to file with your PBM license application or renewal. Wet-ink original mailed on request.
What sets the price
The premium is fixed at $10,000 at the $1,000,000 amount for every applicant: the carrier’s rate book prices this bond by the form, not by your credit or 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, an effective date, and a soft-pull credit consent that never affects your score.
Start the application →Common questions.
Other Kentucky bonds.
Been told you need a different amount?
Price and requirements checked on the carrier’s application, . Page updated .
Finish your Department of Insurance PBM license today.
$10,000 flat, issued the moment you pay, soft pull only. Free until issued.