A Michigan Private Trade School Bond, also known as a Michigan Proprietary School Bond, is a type of surety bond. The bond is required by the Michigan Department of Education to operate a private trade school, business school, institute, or correspondence school in the state. The bond amount is set by the Department of Education based on the total fees paid by students who haven’t completed their courses yet. The minimum bond amount is $5,000. The cost of the surety bond is usually between 1% and 3% of the bond amount, subject to a minimum premium and fees of $150. Surety1 will shop its many markets to procure the right price at the right terms. Michigan Private Trade School Bond

How to Get a Michigan Private Trade School Bond

At Surety1.com we make it easy to obtain this surety bond. Our simple, three step process is:

  1. Complete the easy to navigate and secure online application1
  2. Review the free, no obligation quote from one of Surety1’s professional surety bond agents, usually within one business day.
  3. Sign some paperwork and pay the bond premium

Once these steps have been completed, the Michigan Proprietary School Bond, will be shipped to the bond applicant.
1 -The name of the applicant on the surety bond application must match the exact legal name of the school. 

Surety1.com is a service of AssuredPartners one of the largest and fastest growing insurance agencies in the nation. Representing over a dozen surety bond companies, Surety1.com is the premier online provider of surety bonds nationwide since 2003.

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What you Need to Know About the Surety Bond

Here’s a breakdown of the key points:
  • Purpose: Protects students from financial loss if the school closes down unexpectedly or is unable to complete the promised course or program of study.
  • Amount: The minimum bond amount is $5,000, but it can be higher based on the total fees paid by students who haven’t yet finished their programs.
  • Beneficiary: The bond is payable to the State of Michigan on behalf of the students.
  • Renewal: The bond needs to be renewed and potentially adjusted every year by June 30th.
Who Needs It:
  • Any institution offering private trade school programs in Michigan must obtain a Michigan Private Trade School Bond as a mandatory requirement for licensure.Michigan Proprietary School Bond
How it Protects Students:
  • If a student suffers financial loss because the school abruptly closes or fails to deliver the promised training, they can file a claim against the Michigan Proprietary School Bond to get reimbursed for tuition or other related fees.
  • If the surety company pays a claim on the bond, it will seek restitution from the bond principal (licensee).
Where to Get More Information:
Additional Notes:
  • You can obtain a Michigan Private Trade School Bond from a licensed surety agency like Surety1.com.
  • Securing this bond is a crucial step before you can obtain a license to operate your private trade school in Michigan.

How to Get Your Michigan Private Trade School Bond

  1. Complete an online application. It’s free and no-obligation.
  2. One of our surety experts will contact you with a firm quote and an agreement to sign.
  3. Provide payment and your signed agreement, and then you will receive your Surety Bond!

If you have any questions, please call us at 877-654-2327.

How to Get Bonded

1. Apply Online
Using our Free & Secure Application
2. Get Your Free Quote
Applications are No-Obligation
3. Get Your Bond
Most Bonds are Approved in 1-2 Business Days

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Surety1 was founded in 2003 and helps thousands of clients find the best prices on their surety bonds. We take pride in our work so that we can give you great service. Learn more about Surety1.

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