Oklahoma prepaid cemetery merchandise bonds.
From $100.
An Oklahoma organization that takes money up front for cemetery merchandise normally has to hold that money in trust. 36 O.S. § 7127 lets you file a surety bond with the Insurance Commissioner instead, in an amount not less than the minimum funding requirement. Premiums cost 1% of the bond amount, $100 minimum.
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How much does an Oklahoma prepaid cemetery merchandise bond cost?
1% of the bond amount, from $100. Enter your amount in the calculator for the exact price.
Three steps. One sitting.
No underwriting round-trip for the standard cemetery merchandise security — enter your amount, pay, and file with the Insurance Department. Here is the whole thing:
Apply online
Your entity type, business details, the bond amount your annual computation produced, and an effective date. That is the application.
Pay & e-sign
Your exact price appears before you pay, and the bond issues the moment you do. No credit check up to $25,000, and most applications approve instantly.
File with the Insurance Commissioner
Submit the executed bond with your permit application, your renewal, or the annual report due March 15. The Commissioner must approve the bond. Wet-ink original mailed on request.
What it is and who needs it.
What the cemetery merchandise bond covers
A family buys a marker or a vault years before anyone needs it, and hands over the money now. Oklahoma treats that money as still belonging to the buyer until the merchandise is delivered, so an organization selling prepaid cemetery merchandise must hold funds in trust equal to 110% of the wholesale cost of everything covered by outstanding contracts, computed each year as of December 31. Wholesale cost is measured on the vendor's standard published quotations and price lists, not on what you charged.
The bond is the alternative to writing that cash into a trust account. It runs payable to the State of Oklahoma for the benefit of the Insurance Commissioner and all purchasers of prepaid cemetery merchandise, must be approved by the Commissioner, and cannot be written for less than the minimum funding requirement. If the organization fails to deliver what buyers paid for, the buyers — not just the regulator — are the protected parties.
Two details worth knowing. The surety must give 30 days' notice before cancelling or terminating, and remains liable for obligations that arose during the bond term even after it expires or is cancelled — so a lapse does not erase last year's contracts. And the industry did not always sit here: effective July 1, 2010, the governing section was recodified out of Title 8 into 36 O.S. § 7124, moving oversight from the Banking Commissioner to the Insurance Commissioner, who then wrote the current rules. It is not insurance for you: if the surety pays a claim, you reimburse 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
The premium covers a one-year term from the effective date you choose.
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 Insurance Commissioner. Submit the executed bond with your permit application, your renewal, or the annual report due March 15. The Commissioner must approve the bond. Wet-ink original mailed on request.
What sets the price
The premium is 1% of the bond amount, $100 minimum: the amount the obligee sets moves the price, not your business profile.
No credit check up to $25,000. Above that, the carrier may run a soft pull, which 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. No credit check up to $25,000.
Start the application →Common questions.
Other Oklahoma bonds.
Price and requirements checked on the carrier’s application, . Page updated .
Free the cash your trust is holding.
Enter the amount your December 31 computation produced, see the exact price, and file the executed bond with the Insurance Commissioner. Free until issued.