§ 4-295. Surety bond as assurance.

In the event a surety bond is furnished, the following shall apply:

(1)

The surety company shall have a currently valid certificate of authority, issued by the state department of financial services, authorizing it to write surety bonds in the state.

(2)

The surety company shall have a currently valid certificate of authority issued by the federal department of treasury under 31 USC 9304—9308.

(3)

The surety company shall be in full compliance with the provisions of the state insurance code.

(4)

The surety company shall have at least twice the minimum surplus and capital required by the state insurance code at the time the surety bond is issued.

(5)

If the bond amount exceeds $5,000.00, the surety company shall also comply with the following provisions and ratings in the latest issue of Best's Key Rating Guide:

Bond Amount	Policyholder's Rating	Required Financial Rating
$5,000.00 to $1,000,000.00	A	Class IV
$1,000,000.00 to $2,500,000.00	A	Class V
$2,500,000.00 to $5,000,000.00	A	Class VI
$5,000,000.00 to $10,000,000.00	A	Class VII
$10,000,000.00 to $25,000,000.00	A	Class VIII
$25,000,000.00 to $50,000,000.00	A	Class IX
$50,000,000.00 to $75,000,000.00	A	Class X

 

(Ord. No. 05-536, § 303.13H, 12-20-2005)