Not in Oregon? Browse bonds by state

Oregon non-participating tobacco manufacturer bonds.
Quote on review.

A cigarette maker that has not signed the tobacco Master Settlement Agreement posts this bond under ORS 180.416 to keep its brands on the Attorney General’s directory. The penal sum is the greater of a $25,000 minimum bond or your largest quarterly payment in the last 12 quarters. A specialist quotes it, usually within one business day.

✓
Posted at least 10 days before each calendar quarter as a condition of the directory listing for that quarter
✓
Written for the State of Oregon on the Department of Justice’s own NPM surety bond form
✓
Underwritten on the manufacturer’s file; collateral may apply where the quarterly payments are large
A-ratedA.M. Best carriers1 daytypical specialist replyNo credit reviewnot even a soft pull
Trusted by industry leaders
New York City Economic Development Corporation (NYCEDC)
Blumenfeld Development Group (BDG)
Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
New York City Economic Development Corporation (NYCEDC)
Blumenfeld Development Group (BDG)
Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
Price

How much does an Oregon non-participating tobacco manufacturer 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.

How it works

Posted before the quarter, filed with the DOJ.

The bond has to be in place at least 10 days before each calendar quarter, or the brands drop off the directory for that quarter. Here is the whole process, from sizing to filing:

TODAY · ONE APPLICATION

Size it and send us the file

Find the largest escrow or equity-assessment payment due from the manufacturer, or its predecessor, in any of the last 12 calendar quarters, and enter the greater of that figure or $25,000. Add the manufacturer’s legal and DBA names, entity type, address, and owner and contact details.

WITHIN 1 BUSINESS DAY

A surety specialist quotes it

A specialist reviews the manufacturer and the amount requested and returns a premium quote. A large quarterly obligation, or a maker without U.S. financial statements, can bring a request for financials or collateral; if so, it arrives as one checklist.

ON APPROVAL

Bind, sign & file

Once you bind, the executed bond arrives on the Oregon DOJ Nonparticipating Manufacturer Surety Bond form with the surety’s power of attorney attached. The DOJ takes filings electronically; submit it to the Tobacco Enforcement Unit and attach a copy to your directory certification.

About this bond

What it is and who needs it.

What the Oregon NPM bond actually guarantees

Every tobacco product manufacturer selling cigarettes in Oregon either joins the 1998 Master Settlement Agreement or does not. ORS 180.405(7) defines a nonparticipating manufacturer (NPM) as any tobacco product manufacturer that is not a participating manufacturer. An NPM does not share in the settlement payments; instead it makes its own per-cigarette payments on its Oregon sales under ORS 323.804 or 323.806, and the Attorney General may require those payments in quarterly installments (ORS 180.445).

ORS 180.416 backs those payments with a bond. The NPM must post a bond for the benefit of the state, conditioned on fully complying with ORS 323.804 or 323.806, at least 10 days in advance of each calendar quarter, as a condition of the manufacturer and its brand families being included in the state directory for that quarter. Its annual certification to the Attorney General must state that the bond has been posted (ORS 180.415(4)). Without a directory listing, ORS 180.440(1)(a) bars anyone from affixing a stamp to its packs, which in practice closes the Oregon market to the brand.

How big the bond has to be. The penal sum is the greater of $25,000 or the largest escrow or equity-assessment payment due from the manufacturer, or its predecessor, in any of the 12 preceding calendar quarters. The DOJ’s 2026 compliance certificate works out to roughly 4.7 cents per cigarette, so one quarter’s payment passes $25,000 at about 527,000 cigarettes — some 26,000 packs of 20 — sold in Oregon that quarter. Above that volume the bond grows with your biggest quarter, and a rising sales curve can call for an increase before the next quarter begins.

What the surety stands behind. If a quarter’s deposits or payments are not made in full within 15 days after the due date, the Attorney General may execute on the bond for the amount still owed, including penalties and other charges; anything above the bond remains due from the manufacturer and any liable importer. The bond must come from a surety company licensed and authorized to do business in Oregon. The DOJ form runs continuously from its effective date until the surety withdraws, and a withdrawal takes effect only 30 days after the Tobacco Enforcement Unit receives written notice — a short window to replace it before the next quarter’s deadline.

ORS 180.416 — Oregon Department of Justice, Tobacco Enforcement UnitORS 180.416(1) provides that a nonparticipating manufacturer shall post a bond for the benefit of the state, conditioned on the nonparticipating manufacturer fully complying with the obligations of ORS 323.804 or 323.806. Under 180.416(2) the bond must be posted at least 10 days in advance of each calendar quarter as a condition to the nonparticipating manufacturer and its brand families being included in the state directory for that quarter, and the amount must be the greater of the greatest required escrow or equity assessment payment amount due from the nonparticipating manufacturer or its predecessor for any of the 12 preceding calendar quarters, or $25,000. Under 180.416(3) the Attorney General may execute upon the bond if deposits or payments for a quarter are not made in full within 15 days following the due date. Under 180.416(4) it must be a good and sufficient bond executed by a surety company licensed and authorized to do business in Oregon, conditioned to pay the escrow requirements and any penalties or other charges. ORS 180.415(4) requires the manufacturer to certify that it has posted the bond. The Oregon Department of Justice publishes the Nonparticipating Manufacturer Surety Bond form, naming the State of Oregon as obligee.

You need this bond if you’re

✓
A non-participating manufacturer entering Oregon certifying for the directory before your first cigarette or roll-your-own sale in the state
✓
A listed NPM keeping your brands on the directory with the bond in place at least 10 days before every calendar quarter
✓
An NPM whose Oregon volume has grown so a recent quarterly payment now exceeds the amount on your current bond
✓
Replacing a withdrawn bond — a surety’s 30-day withdrawal notice to the DOJ leaves little time before the quarter deadline
After you buy

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

Bind, sign & file. Once you bind, the executed bond arrives on the Oregon DOJ Nonparticipating Manufacturer Surety Bond form with the surety’s power of attorney attached. The DOJ takes filings electronically; submit it to the Tobacco Enforcement Unit and attach a copy to your directory certification.

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 underwriting review.

These are the actual fields — the bond amount you need, the effective date, the manufacturer’s legal and DBA names, entity type, address, and owner and contact details. Submit once and a surety specialist returns your quote, typically within one business day. Free until issued.

Start the application →
FAQ

Common questions.

What is an Oregon non-participating manufacturer bond?It is the surety bond ORS 180.416 requires of a cigarette maker that is not a party to the tobacco Master Settlement Agreement. It is written for the benefit of the State of Oregon, guarantees the manufacturer’s escrow or equity-assessment payments plus penalties, and must be posted at least 10 days before each calendar quarter for the manufacturer’s brand families to stay on the Attorney General’s directory.
Who sets the bond amount?The statute does, using your own payment history. ORS 180.416(2) sets it at the greater of $25,000 or the largest escrow or equity-assessment payment due from the manufacturer, or its predecessor, in any of the 12 preceding calendar quarters. A new manufacturer with no Oregon history starts at the minimum; a larger one bonds at its biggest recent quarter.
How much does the bond cost?It is priced on review rather than posted. Our carrier has not published a rate for this bond, and the penal sum depends on your Oregon volume, so a surety specialist quotes the premium from your application. You see the exact number before you commit, and nothing is charged until you bind.
Will I need collateral?It depends on the file. A foreign manufacturer without U.S. financial statements, or one bonding at a large quarterly figure, can be asked for collateral; an established maker often is not. Credit plays no part: the bond issues the moment you pay — no credit review of any kind, not even a soft pull. Note that the statute calls for a surety bond, so the DOJ requirement itself is not met by cash in place of the bond.
Where do I file it, and how long does it stay in force?It is written on the Oregon Department of Justice’s Nonparticipating Manufacturer Surety Bond form and filed electronically with the DOJ Tobacco Enforcement Unit, with a copy attached to your directory certification. The form is continuous until the surety withdraws, and a withdrawal takes effect 30 days after the DOJ receives written notice. Because the amount is measured against the last 12 quarters, check it before every quarter.
Which A-rated carriers underwrite these bonds?Typically Arch Insurance Company (A.M. Best A+) or Nationwide Mutual Insurance Company (A.M. Best A). Which one writes your bond depends on the bond type and your state. The carrier's name and official signature are printed on the bond you receive.
How do I contact Light RFP about this bond?Email insurance@lightrfp.com. It reaches the bond team at Light RFP Risk Management Services LLC (NY DFS License # PC-1978982). Write to us about quotes, applications, bond forms or certificates. We will respond within 24 hours.
Related bonds

Other Oregon bonds.

Requirements checked on the carrier’s application, . Page updated .

Keep your brands on the Oregon directory.

Tell us the amount, get a specialist quote in about a business day, and file a bond on the DOJ’s own form before the quarter deadline. Free until issued.

PricingOn review
Apply now →