Tennessee postsecondary school bonds.
$100 flat.
Tennessee authorizes postsecondary schools through the Tennessee Higher Education Commission (THEC) and conditions authorization on a surety bond. An in-state institution posts $10,000; an out-of-state institution posts $20,000. Our premium on the $10,000 bond is $100, the same for every in-state school.
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How much does a Tennessee postsecondary school bond cost?
$100 at the $10,000 amount, the same for every applicant.
Three steps. One sitting.
The authorization bond is a license formality. Here is the entire process:
Apply online
Business details and an effective date. No financials and no credit check on this bond.
Pay & e-sign
Fixed-amount license bonds like this issue right after purchase in most cases.
File with THEC
Your executed bond arrives by email, ready to file with your THEC authorization application. Wet-ink original mailed on request.
What it is and who needs it.
What the authorization bond actually guarantees
Tennessee's Postsecondary Education Authorization Act of 1974 (Tenn. Code Ann. Title 49, Chapter 7, Part 20) requires non-exempt postsecondary schools to be authorized by THEC, through its Division of Postsecondary School Authorization. Authorization is conditioned on a surety bond filed by the institution.
The bond is a student-protection guarantee: its penal sum indemnifies any student, guardian, or class that suffers loss or damage if the institution violates the authorization act — for example, by closing mid-program. An in-state institution posts $10,000 and an out-of-state institution posts $20,000.
A cash surety bond on deposit at a Tennessee federally insured bank or savings and loan, payable on demand by the Commission, may be filed instead of the corporate surety bond, subject to THEC approval. Most schools choose the surety bond — you pay the $100 premium rather than tying up the full amount in cash.
You need this bond if you're
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 $10,000 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; a longer term is the same price per year, chosen at checkout.
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 THEC. Your executed bond arrives by email, ready to file with your THEC authorization application. Wet-ink original mailed on request.
What sets the price
The premium is fixed at $100 at the $10,000 amount for every applicant: the carrier’s rate book prices this bond by the form, not by your credit or your business profile.
No credit check.
One application, issued instantly.
These are the actual issuing fields. No credit check.
Start the application →Common questions.
Other Tennessee bonds.
Been told you need a different amount?
Price and requirements checked on the carrier’s application, . Page updated .
Your THEC authorization is waiting on one document.
$100 flat for the in-state bond, no credit check, often issued in the same sitting. Free until issued.