Already?

[grasshopper]

I have my Mortgage Brokers bond with your company and last year was my first year for my motgage company here in North Carolina. Last week I recieved in the mail a renewal invoice for next year but I still have ninety more days till the end of this years bond. Why do I have to have next years bond in so early?

[Bond Magician]

Originally Posted by grasshopper

I have my Mortgage Brokers bond with your company and last year was my first year for my motgage company here in North Carolina. Last week I recieved in the mail a renewal invoice for next year but I still have ninety more days till the end of this years bond. Why do I have to have next years bond in so early?

That is due to the cancellation clause that is in the bond language. Some states have 30 day cancellation clauses, some have 60, and some have 90. If you got an invoice three months prior to the expiration date, that means that the surety company needs to know if you are renewing the bond so that coverage doesn't lapse.