Oklahoma Abstractor (County Records Permit) Bond: A Comprehensive Guide
This guide provides information for insurance agents to help their customers obtain an Oklahoma Abstractor (County Records Permit) bond.
At a Glance:
- Lowest Cost: $56 per year or $6 a month
- Bond Amount: Determined on a case-by-case basis (more on this later)
- Who Needs It: Individuals planning to build or are in the process of building an abstract plant in Oklahoma
- Purpose: To protect the public from financial harm if the permittee mutilates, defaces, or destroys abstract county records to which they have access
- Who Regulates Abstract Plant Development Permittees in Oklahoma: The Oklahoma Abstractors Board
Background
Oklahoma Abstractors Act 1-27 requires all individuals planning to build or are in the process of building an abstract plant to obtain a permit from the Abstractors Board. The Oklahoma Abstractors Board enacted the permit requirement to ensure that permittees do not engage in unethical business practices. To provide financial security for the enforcement of the licensing law, permittees must purchase and maintain a surety bond to be eligible for licensure.
What Is the Purpose of the Oklahoma Abstractor (County Records Permit) Bond?
Oklahoma requires all individuals planning to build or are in the process of building an abstract plant to obtain a permit from the Abstractors Board. The bond ensures that restitution is available to any damaged party should the permittee fail to abide by the regulations outlined in the Oklahoma Abstractor Act. Specifically, the bond protects claimants if the permittee mutilates, defaces, or destroys abstract county records to which they have access. In short, the bond is a type of insurance that protects the public if the permittee violates the terms of their permit.
How Can an Insurance Agent Obtain an Oklahoma Abstractor (County Records Permit) Bond?
BondExchange makes obtaining a Oklahoma Abstractor (County Records Permit) bond easy. Simply log in to your account and use our keyword search to find the “abstractor” bond in our database. Don’t have a login? Enroll now and let us help you satisfy your customers’ needs. Our friendly underwriting staff is available by phone (800) 438-1162, email, or chat from 7:30 AM to 7:00 PM EST to assist you.
At BondExchange, our 40 years of experience, leading technology, and access to markets ensures that we have the knowledge and resources to provide your clients with fast and friendly service whether obtaining quotes or issuing bonds.
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How Is the Bond Amount Determined?
According to the Oklahoma Abstractor Act 1-27C, the Abstractor (County Records Permit) bond amount is based on the population numbers for each county in which the permittee plans to build an abstract plant. See the following for further details:
- County population less than 30,000 – $15,000 bond limit required
- County population between 30,000 and 60,000 – $25,000 bond limit required
- County population between 60,000 and 100,000 – $50,000 bond limit required
- County population more than 100,000 – $100,000 bond limit required
Is a Credit Check Required for the Oklahoma Abstractor (County Records Permit) Bond?
Surety companies will run a credit check on the permit applicant to determine eligibility and pricing for the Abstractor (County Records Permit) bond. Permit applicants with excellent credit and work experience can expect to receive the best rates. Permit applicants with poor credit may be declined by some surety companies or have to pay higher rates. The credit check is a “soft hit”, meaning that the credit check will not affect the applicant’s credit.
How Much Does the Oklahoma Abstractor (County Records Permit) Bond Cost?
The Oklahoma Abstractor (County Records Permit) bond can cost between 0.5% to 5% of the bond amount per year. Monthly subscription options are also available. Insurance companies determine the rate based on several factors including your customer’s credit score and experience. The chart below briefly references the approximate bond cost on the $15,000 requirement.
$15,000 Oklahoma Abstractor (County Records Permit) Bond Cost
| Credit Score* | Bond Cost (1 Year) | Bond Cost (1 month) |
|---|---|---|
| 720+ | $56 | $6 |
| 680 – 719 | $68 | $7 |
| 660 – 679 | $105 | $11 |
| 649 – 659 | $150 | $15 |
| 629 – 648 | $225 | $23 |
| 600 – 628 | $375 | $38 |
| 580 – 599 | $525 | $53 |
| 550 – 579 | $600 | $60 |
| 525 – 549 | $750 | $75 |
| 500 – 524 | $900 | $90 |
*The credit score ranges do not include other factors that may result in a change to the annual premium offered to your customers, including but not limited to, years of experience and underlying credit factors contained within the business owner’s credit report.
How Does Oklahoma Define “Abstract Plant”?
To paraphrase Oklahoma Abstractor Act 1-21, an abstractor plant is a business that contains an organized collection of copies/images affecting real property. This index provides an efficient method for identifying and locating all records pertaining to a described piece of land to compile them into a certified Abstract of Title.
BondExchange now offers monthly pay-as-you-go subscriptions for surety bonds. Your customers are able to purchase their bonds on a monthly basis and cancel them anytime. Learn more here.
How Do Individuals Obtain a Permit to Develop an Abstract Plant in Oklahoma?
Individuals in Oklahoma must navigate several steps to obtain a permit to develop an abstract plant. Below are the general guidelines, but applicants should refer to the Board’s Application for Permit Checklist for details on the process.
Permit Period – Oklahoma permits to develop an abstract plant expire after one year.
Step 1 – Purchase Surety Bond
The Oklahoma Abstractor (County Records Permit) bond must be purchased and maintained to apply for and hold a permit to develop an abstract plant.
Step 2 – Complete and Submit Application
A completed Application for Permit to Develop an Abstract Plant, along with any other required documents and fees, must be submitted to the Oklahoma Abstractors Board.
How Do Individuals in Oklahoma Renew Their Abstract Plant Development Permits?
All permits expire annually. A permit holder who has not completed the development of an abstract plant at the time the permit expires may apply for renewal of the permit. Applications for renewal must be made between the dates of 60 days prior and 30 days prior to the scheduled expiration of the original permit and shall be accompanied by the renewal fee. The renewal application can be found here.
What Are the Insurance Requirements for Abstract Plant Development Permittees in Oklahoma?
Oklahoma does not require permit applicants to purchase any form of liability insurance as a prerequisite to obtaining such a permit. Permittees must simply purchase and maintain a surety bond.
How Do Oklahoma Abstract Plant Development Permittees File Their Bonds in Oklahoma?
Oklahoma permit applicants should submit their completed bond forms, including the power of attorney when submitting their abstract plant permit applications to the Abstractors Board (see the mailing address listed below).
Oklahoma Abstractor Board
421 NW 13th Street, Suite 180
Oklahoma City, OK 7310
The surety bond requires signatures from the surety company, as well as the permit applicant. The surety company should include the following information on the bond form:
- The legal name of the individual buying the bond
- Surety company’s name
- Date the bond is signed
What Can Oklahoma Abstract Plant Development Permittees Do to Avoid a Claim Against Their Surety Bond?
To avoid claims against their bonds, abstract plant development permittees in Oklahoma must follow all license regulations in the state, including some of the most important issues below that tend to cause claims:
- Negligence
- Misrepresentation
- Fraud
For example, if the permittee mutilates, defaces, or destroys abstract county records to which they have access, a claim may be filed against their surety bond.
What Other Insurance Products Can Agents Offer Abstract Pant Development Permittees in Oklahoma?
Most reputable abstract plant development permittees will purchase business liability insurance. Bonds are our only business at BondExchange, so we do not issue any other types of insurance, but our agents often utilize brokers for this specific line of business. A list of brokers in this space can be found here.
How Can Insurance Agents Prospect for Abstract Plant Development Permittees Customers in Oklahoma?
Oklahoma conveniently provides a public database to search for active abstract plant development permittees in the state. The database can be accessed here. Contact BondExchange for additional marketing resources. Agents can also leverage our print-mail relationships for discounted mailing services.
