The Texas Department of Licensing and Regulation requires the Texas Service Contract Provider Bond.
The Texas Department of Licesning and Regulation (TDLR) defines a service contract provider as someone who “provides extended warranties to consumers for a specified period of time and for an additional cost beyond the price of the product.” TDLR requires that those applying to become a licensed Service Contract Provider to get bonded.
The Texas Service Contract Provider Bond states that the bond holder will faithfully perform its obligations to the persons contracting their services. It also states they will comply fully with the Texas Occupations Code and the rules and regulations of the Texas Department of Licensing and Regulation.
Becoming a licensed service contract provider requires the Texas Service Contract Provider Bond to be on file with the TDLR Commissioner. The Texas Service Contract Provider Bond does not have a specified bond amount.