NJ disability benefits self-insurer bonds.
2% of the bond amount.
New Jersey will not approve a self-insured private plan for temporary disability benefits unless the employer files security with the Division of Temporary Disability and Family Leave Insurance — the bond of an admitted surety, conditioned on paying the plan's obligations, under N.J.S.A. 43:21-54. Premiums cost 2% of the bond amount, with a $100 minimum. The application includes a credit consent, but it authorizes a soft credit pull only — a soft inquiry that never affects your score. Enter the penal sum the Division set for your plan and your exact price appears at the application.
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Apply to filed in one sitting.
The plan review at Trenton takes a calendar quarter. The bond does not — enter your penal sum, pay, and put the executed bond in the submission packet. Here is the whole thing:
Apply online
Employer details, the penal sum the Division set for your plan, and an effective date. The only extra step is a one-time consent to a soft credit pull.
Pay & e-sign
Most applicants are approved on the spot and the executed bond and power of attorney are generated right after purchase. Six-figure penal sums can draw a brief underwriter look, usually inside 48 hours.
File with the Division
Send the bond to the Private Plan Compliance Section with your Form DP-2 application, or as the security backing an existing approved plan. Wet-ink originals mailed whenever Trenton insists.
What it is and who needs it.
What the self-insurer bond actually guarantees
New Jersey runs one of the country's few state temporary disability programs. Under N.J.S.A. 43:21-32 a covered employer may opt out of the State plan and run a private plan instead — provided through an admitted insurer, through a union agreement, or, hardest of the three, by a specific undertaking of the employer as a self-insurer. Self-insuring means the employer, not a carrier, owes the weekly benefit to every disabled New Jersey employee.
That is exactly where the bond comes in. N.J.S.A. 43:21-54 says that if a private plan does not shift the benefit liability onto an admitted insurer, the Division shall not approve it unless the employer files the bond of an admitted surety conditioned on payment of the plan's obligations — or deposits approved securities instead. The protected parties are your own employees: if a self-insured plan fails to pay a benefit it owes, the claimant's recovery does not depend on the employer still being solvent.
It is not insurance for you. The surety pays the claimant and then looks to you for reimbursement, which is why the penal sum is sized against real exposure rather than a token figure. The bond has to stay in force for as long as the private plan is approved, so we track it and remind you at 60 and 30 days out — a lapse puts the plan's approval, and your employees' coverage, at risk.
You need this bond if you are
One application, then a quick review.
These are the actual issuing fields, including a one-time consent to a soft credit pull. Larger penal sums may draw a brief underwriter review, usually within 48 hours.
Start the application →Common questions.
Other New Jersey bonds.
Get the private plan approved.
Enter the penal sum the Division set, pay 2% of it, and file the executed bond with your DP-2 packet. Free until issued.