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North Carolina bonds

North Carolina — Collection Agency ALIEN #2 Replacement State Expenses - MAIL Bond

This MAIL-labelled option is for replacement of North Carolina alien Bond #2, the $20,000 Department of Insurance expense undertaking. Confirm the existing permit and bond being replaced. A new purchase does not itself release the previous surety or provide the separate Bond #1 protecting client collection money.

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Recorded state
North Carolina
Bond type
Collection Agency Bond
Category
Financial services

What this bond does

Alien Bond #2 reimburses DOI for visiting and examining the agency in connection with a federal bankruptcy or state receivership proceeding in which the agency is the subject. It is additional expense security, not a general promise to pay routine examination costs, permit fees or clients' unremitted collections.

Who needs it
Permit holders incorporated outside the United States that need replacement alien expense security. Current section 58-70-5 requires ultimate US parent ownership or majority control and limits the alien corporation's servicing to accounts held by affiliates or subsidiaries of that parent. Identify the existing undertaking and replacement reason rather than changing the legal classification to obtain a form.
Who it protects
The alien CA-A2 condition binds principal and surety jointly and severally to the state for DOI's specified expenses. The $20,000 sum reflects the current statute's alien doubling rule. The condition is continuous until Commissioner termination, with an aggregate limit; replacing a document or reaching the permit end date does not automatically extinguish earlier obligations.

Your bond option

This is the option on record for this bond.

The bond amount describes the limit of the bond obligation, not the price. A listed amount does not establish what the requesting party requires. The premium is what you pay and must be confirmed for the actual option. An E&O limit, where listed, is separate errors and omissions insurance.

Details

Bring the permit number, existing CA-A2 bond number, legal applicant and reason for replacement. The currently posted alien renewal packet specifies $20,000 for #2; current section 58-70-5(a)(5) doubles the ordinary section 58-70-20(c) additional security. Its old model cross-reference to 58-70-5(e) is not a reason to use the ordinary foreign sum.

Keep the expense and client obligations separate. CA-A2 concerns DOI visiting and examination costs tied to the agency's bankruptcy or receivership proceeding. CA-A1 is the distinct client-money undertaking. Matching the agency name or replacing one bond does not establish that the other obligation has been supplied.

Coordinate continuity with DOI before cancelling existing security. The posted initial CA-A2 expressly conditions replacement release on Commissioner acceptance and written notice to the old surety. The renewal CA-A2 remains continuous until Commissioner termination. Do not assume a provider receipt supplies acceptance, a release or instructions for allocating liabilities between the old and replacement bonds.

The model requires written nonrenewal notice to both the principal and Commissioner at least 30 days before the permit period ends. Existing permit-period liabilities survive suspension or revocation. Legal-name changes require registered or certified notice within ten days and an endorsement; authorized principal and surety representatives execute under seal, with a surety notarial acknowledgment.

Purchase Now opens Propeller's ALIEN #2 Replacement State Expenses MAIL application in a new tab. Bring existing bond and permit details, incorporation and parent information, the written replacement request, amount and intended dates. Confirm the issued CA-A2 and replacement handling before paying. MAIL is the option's label, not a promise that the provider posts it: follow DOI's current bonds-only delivery directions and the applicable packet's accepted method. Complete any separate NCLMS permit update.

Sources

Have these ready

  1. Identify the existing alien CA-A2 bond and permit, not the separate client-money bond.
  2. Confirm outside-US incorporation and the current parent-control and affiliate-account requirements.
  3. Bring DOI's written replacement request, $20,000 expense security and effective dates.
  4. Arrange authorized signatures, seals and surety notarial acknowledgment.
  5. Coordinate acceptance, continuity and written release with DOI, then confirm delivery and any NCLMS update.

Questions about this bond

Does replacement automatically release the old surety?

No. The posted initial alien CA-A2 expressly requires Commissioner acceptance of replacement security and written release notice. The renewal model continues until Commissioner termination. Confirm the actual replacement and liability handling with DOI rather than relying on a new provider receipt.

Does MAIL mean DOI accepts only postal delivery?

The label does not establish that rule or promise provider mailing. The posted alien renewal packet includes a mailing route and says electronic bonds are acceptable by email. Follow the current instructions applicable to your replacement, with any required execution and acknowledgment.

Will this replace alien Bond #1 too?

This listing identifies #2 State Expenses security. Bond #1 protects clients' unaccounted collection money under a different condition. Ask DOI which existing bonds and documents need replacement; do not treat a single #2 application as both.

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