North Carolina Professional Employer Organization (PEO) Bond Guide
If you need a PEO bond in North Carolina, you’re in the right place. SuretyBonds.com is the top surety provider and we’ll walk you through the complete bonding process in this guide.
Bond Overview
- Purpose: To provide financial security and operational certainty for PEO clients
- Who Needs It: Providers of outsourced HR and payroll services in North Carolina
- Regulating Body: The North Carolina Department of Insurance
- Required Coverage: $100,000
- Premium Rate: Credit-based, starting at $1,000
What Is a North Carolina Professional Employer Organization Bond?
A North Carolina professional employer organization (PEO) surety bond holds PEOs liable for the following:
- Meeting state registration and licensing requirements
- Providing workers’ compensation policy collateral
- Guaranteeing PEO performance of employer responsibilities
- Guaranteeing payment of clients’ service fees
The bond is required according to the North Carolina Professional Employer Organization Act as financial security to protect the state and the public.
How Much Do PEO Bonds Cost in North Carolina?
The state-required $100,000 North Carolina PEO bond costs a small percentage of the bond amount, starting at $1,000.
Request a free quote to determine your exact rate today.
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Does a North Carolina Professional Employer Organization Bond Work?
Outsourcing HR and payroll functions creates significant financial risk for companies. Surety bonds provide financial security and reinforce operational certainty for clients of PEOs.
If your PEO breaks the bond terms, clients can file a claim. The surety provider will reimburse the harmed party up to the full bond value. Then, you must reimburse the surety in full.
How Do I Get a PEO Bond?
To get your professional employer organization bond, follow these quick steps:
- Submit an online quote request
- Provide any requested documents and financials
- Receive your free quote
- Complete the purchase online
We’ll email your official bond documentation shortly after checkout. Remember to file the signed bond form with the Department of Insurance, PEO Unit.
How Do I Renew My Professional Employer Organization Bond?
North Carolina PEO bonds expire annually. Pay your renewal invoice when prompted to extend your policy for an additional year.
