Tennessee ESA program bonds.
From $100.
Schools that participate in Tennessee's Education Savings Account (ESA) program can meet the Department of Education's financial-viability requirement with a surety bond payable to the state, under TCA 49-6-2601 et seq. Premiums are 1% of the bond amount, $100 minimum, with a soft credit check that never affects your score.
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How much does a Tennessee ESA program bond cost?
1% of the bond amount, from $100. Enter your amount in the calculator for the exact price.
Apply to filed in a day or two.
Participation bonds are straightforward once the department sets your amount. Here's the whole process:
Apply online
Your school details, the bond amount the department set, and the effective date — plus a one-time consent to a soft credit pull. That is the application.
Approved
Most are approved as soon as you apply. One soft credit pull, never a hard inquiry, and it never affects your score. If it needs a second look, one to two business days at most.
E-sign & file with the department
Pay online and receive the executed bond, ready to file with the Tennessee Department of Education to complete your ESA participation. Wet-ink originals mailed on request.
What it is and who needs it.
What the ESA program bond actually covers
Tennessee's Education Savings Account (ESA) program (TCA §§ 49-6-2601 et seq., with State Board Rule 0520-01-16) lets eligible families direct state education funds to approved schools and service providers. To participate, a school must demonstrate financial viability and a commitment to lawful participation.
A surety bond payable to the state is one of the accepted ways to satisfy that requirement. The amount reflects the ESA funds the school expects to receive, and the Department of Education sets it as part of approving your participation.
The bond backs the state and participating families: if a school misuses ESA funds or violates the program's terms, a claim can be made to recover the loss — and if the surety pays, the school repays the surety. Enter the amount the department set and see your price, starting from $100.
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.
Renewal falls on the statutory date, June 30, in the year your term ends.
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
E-sign & file with the department. Pay online and receive the executed bond, ready to file with the Tennessee Department of Education to complete your ESA participation. Wet-ink originals 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.
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 underwriting fields, including a one-time consent to a soft credit pull. Submit once and your bond is issued when you pay.
Start the application →Common questions.
Other Tennessee bonds.
Price and requirements checked on the carrier’s application, . Page updated .
Complete your ESA participation today.
Premiums from $100. Enter the amount the department set and file in a day or two.