Colorado Preneed Funeral Contract Seller Bond Guide
In Colorado, all funeral service providers that accept prepayment must file a $100,000 surety bond for state licensing.
Bond Overview
- Purpose: To ensure funeral service providers uphold state regulations and client contracts
- Who Needs It: All funeral service providers that accept prepayment
- Regulating Body: The Colorado Department of Regulatory Agencies, Division of Insurance
- Required Coverage: $100,000
- Premium Rate: Credit-based, starting at 1%
Keep scrolling to learn more about the bonding process.
What Is a Colorado Preneed Funeral Contract Seller Bond?
This bond ensures that preneed funeral contract sellers properly handle prepaid funds and uphold client contracts.
Anyone who collects prepayment for future funeral services must file a $100,000 surety bond for licensing with the Colorado Division of Insurance (DOI).
How Much Do Preneed Funeral Bonds Cost in Colorado?
Colorado preneed funeral bond premiums start at 1% of the bond amount, based on credit score. Qualified applicants typically pay $1,000—$2,500 for the required $100,000 coverage.
You may also be eligible to save 25% with a multi-year term. Apply below for your free personalized quote.
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Does a Colorado Preneed Funeral Contract Seller Bond Work?
A Colorado preneed funeral contract seller bond is a legally-binding agreement between three parties:
- Principal: The funeral service provider purchasing the bond
- Obligee: The Colorado Department of Insurance requiring the bond
- Surety: The provider issuing the bond
You, as the principal, promise to uphold CO Rev Stat § 10-15-105.
If you break the bond terms, harmed parties can file claims. The surety will validate and pay claims up to the full bond amount. However, you are ultimately responsible for refunding the surety.
How Do I Get a Preneed Funeral Contract Seller Bond in Colorado?
SuretyBonds.com provides the fastest and easiest way to get a preneed funeral contract seller bond. Just follow these simple steps:
- Apply Online: Select your bond amount and complete the quote request form
- Pay Invoice: Complete your purchase online or over the phone
- Receive Bond: Receive your official bond form via email
Upon receipt, sign and file the bond documentation with the DOI.
How Fast Can I Get My Bond?
SuretyBonds.com issues preneed funeral bonds faster than any other provider. We process most bond applications same-day. Apply now to receive your free quote.
Can I Get Bonded With Bad Credit?
You may still be able to get bonded with bad credit. However, poor credit will likely increase your premium rate.
Apply for a free quote or visit our Surety Bond Cost FAQ page to see how credit may impact your cost.
How Do I Renew My Preneed Funeral Bond?
Colorado preneed funeral bonds expire annually. When you work with SuretyBonds.com, we’ll send you reminders and a renewal invoice before your bond expires.
To renew, just pay the premium — we’ll do the rest!
