New Jersey disability benefits self-insurer bonds.
From $100.
New Jersey will not approve a self-insured private plan for temporary disability benefits unless the employer files a surety bond with the Division of Temporary Disability and Family Leave Insurance under N.J.S.A. 43:21-54. The Division sets the penal sum for your plan. Premiums cost 2% of the bond amount, with a $100 minimum.
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How much does a New Jersey disability benefits self-insurer bond cost?
2% of the bond amount, from $100. Enter your amount in the calculator for the exact price.
Three steps. 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
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 term is set on the carrier’s application; the premium covers the period shown there.
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 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 sets the price
The premium is 2% 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, 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.
Price and requirements checked on the carrier’s application, . Page updated .
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.