Warehouse Operator Bond
USDA and public warehouse surety for storage operators
Public warehouse operators storing commodities or commercial goods file warehouse operator surety so depositors get paid or delivered when the warehouse fails to perform.
You are applying for this bond — opens in a new window.
A warehouse operator bond is the surety a licensed public warehouse files so depositors of stored commodities or goods are protected if the warehouse cannot redeliver, pay, or honor warehouse receipts. Federal filings run under the United States Warehouse Act; some states also require a public-warehouse bond for commercial storage.
The surety bond guarantees that the principal will perform the duties required under United States Warehouse Act - USDA warehouse regulations as applicable up to the penal sum.
A claim may arise if the principal fails to comply with the bonded Arizona obligation or causes covered loss to the obligee or protected parties.
If a claim is valid, the surety may pay up to the bond penalty according to the bond terms; the principal remains liable to reimburse the surety.
Amount, premium, term, and the authority that requires this filing.
Warehouse operators, grain elevators, and public storage facilities that issue warehouse receipts or hold a USDA or state warehouse license need this bond.
Confirm the warehouse license path (USDA or state), then file the matching continuous warehouse bond in the amount set by capacity or the program schedule.
Match USDA warehouse or the state public-warehouse program that requires surety for your facility.
Use Apply on this page for the Warehouse Operator Propeller class. Underwriting sets the penal sum from your licensed capacity.
Deliver the issued bond to USDA FSA or the state warehouse board named on the form. Keep it continuous while you store goods for others.
No. CBP Activity 2 / bonded-warehouse customs filings sit on the U.S. customs bond. This page is USDA and public-warehouse operator surety.
USDA and state warehouse programs set the penal sum from licensed storage capacity or a published schedule. Confirm the current figure with the regulator before you apply.
The United States (USDA) or the state warehouse program named on the bond form — the party that holds the warehouse license.
If you operate a public warehouse, issue warehouse receipts, or hold a USDA or state warehouse license, yes. Private storage with no receipts may not.
No. The bond is a licensing guarantee for depositors and the regulator. Warehouse legal liability and cargo insurance are separate.
Also need coverage?
Need more than a bond? Through the same agency desk we can discuss commercial coverage for the whole business.
Freight Bonds
BMC-84 freight broker, OTI, customs, SDDC, warehouse operator, and distributor filings.
View all bonds