New York self-insurer’s representative bonds.
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A third-party administrator that represents self-insured employers before the New York State Workers’ Compensation Board needs a Board license, and every application and renewal must include a $5,000 bond on Form OC-407 under 12 NYCRR § 302-1.7(c). A surety specialist returns a quote, usually within one business day.
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How much does a New York self-insurer’s representative bond cost?
It is underwritten: the premium is quoted from the bond amount and your financial picture, so there is no flat price to show.
From application to a Board-approved bond.
The Workers’ Compensation Board will not license or renew a third-party administrator without the OC-407 bond in the package. Here is the whole process:
Send us your license details
Apply online with your firm’s details, whether this is an initial license or a renewal, and the license term you are applying for. The application includes a one-time consent to a soft credit pull.
A surety specialist quotes it
A specialist reviews the file and returns your premium. The soft credit pull never affects your score, and you are under no obligation until you accept the quote.
Sign, notarize & file with the Board
Once you accept and pay, the bond is issued on Form OC-407 with the surety’s power of attorney. You sign it before a notary and send it with Form OC-403 to the Board’s Licensing Unit, which signs the bond’s “Approved as to Form” line.
What it is and who needs it.
What the self-insurer’s representative bond actually guarantees
New York limits who may represent an employer or carrier before the Workers’ Compensation Board. Under Workers’ Compensation Law § 50(3-b)(a), no person, firm or corporation other than an attorney may solicit the business of representing, or engage in representing, self-insurers or group self-insurers before the Board without a Board license. In practice that means third-party administrators: the Board says TPAs filing claims on behalf of insurers or self-insured employers must be licensed. Section 50(3-d) lets the Board license the State Insurance Fund, workers’ compensation insurers and their affiliates, and licensed adjusting companies on the same terms, bond included.
The statute lets the Board require a bond “running to the people of the state of New York, conditioned upon the faithful performance of all duties” and fix its amount in the Board’s rules. The rule is 12 NYCRR § 302-1.7(c): a surety bond in the form the chair prescribes, in the sum of $5,000 per year, filed by each applicant for a license to represent self-insured employers. The prescribed form is OC-407, Self-Insurers’ Representative’s Bond, and it prints a penal sum of $5,000 for the term written on the bond.
The condition is simple. The principal must faithfully perform every duty required of it under subdivision 3-b or 3-d of § 50 and otherwise follow the Board’s rules on the license, for the term of the bond. If it fails to, the surety is liable up to the penal sum. The Board can revoke a license for cause after a hearing, and representing self-insurers without one is a misdemeanor under § 50(3-b)(a).
Licenses run for no more than three years, and the Board collects no fee to apply or renew. A new OC-407 goes in with every renewal, because the renewal package is the same as the initial application. It is not insurance for you. If the surety pays a claim, you repay the surety.
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
Term and renewal are set in the underwriter's quote.
Keep the bond in force for as long as the obligation behind it runs.
How to file it
Sign, notarize & file with the Board. Once you accept and pay, the bond is issued on Form OC-407 with the surety’s power of attorney. You sign it before a notary and send it with Form OC-403 to the Board’s Licensing Unit, which signs the bond’s “Approved as to Form” line.
What sets the price
This bond is underwritten: the premium is quoted from the bond amount and your financial picture, so there is no flat price to show.
One application, one specialist review.
These are the actual fields: your firm’s details, the license term, and a one-time consent to a soft credit pull that never affects your score. A surety specialist reviews it and returns a quote, typically within one business day. Free until your bond is issued.
Start the application →Common questions.
Other New York bonds.
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Get your TPA license bond on file.
Send us your license details, and a surety specialist underwrites the OC-407 bond and quotes it — typically within one business day. Free until issued.