Texas Hearing Instrument Fitter and Dispenser Bond: A Comprehensive Guide
This guide provides information for insurance agents to help their customers obtain a Texas Hearing Instrument Fitter and Dispenser bond
At a Glance:
- Lowest Cost: $100 per year or $10 per month, based on the applicant’s credit
- Bond Amount: $10,000
- Who Needs it: All hearing instrument fitters and dispensers operating in Texas
- Purpose: To ensure the public will receive compensation for financial harm if the fitter/dispenser violates licensing law
- Who Regulates Hearing Instrument Fitters and Dispensers in Texas: The Texas Department of Licensing and Regulation
Background
Texas Statute 402.201 requires all hearing instrument fitters and dispensers operating in the state to obtain a license with the Department of Licensing and Regulation. The Texas legislature enacted the licensing laws and regulations to ensure that hearing instrument fitters and dispensers engage in ethical business practices. To provide financial security for the enforcement of the license law, hearing instrument fitters and dispensers must either purchase and maintain a $10,000 surety bond, or obtain this coverage through their employer, to be eligible for licensure.
What is the Purpose of the Texas Hearing Instrument Fitter and Dispenser Bond?
Texas requires hearing instrument fitters and dispensers to obtain surety bond coverage as part of the application process to obtain a business license. The bond ensures that the public will receive compensation for financial harm if the fitter/dispenser fails to abide by the regulations set forth in Texas statute 402.404. Specifically, the bond protects the public if the fitter/dispenser fails to repay required taxes and fees, improperly dispenses hearing instruments, or engages in any acts of fraud. In short, the bond is a type of insurance that protects the public if the fitter/dispenser operator violates licensing law.
How Can an Insurance Agent Obtain a Texas Hearing Instrument Fitter and Dispenser Surety Bond?
BondExchange makes obtaining a Texas Hearing Instrument and Dispenser bond easy. Simply log in to your account and use our keyword search to find the “hearing” bond in our database. Don’t have a login? Gain access now and let us help you satisfy your customers’ needs. Our friendly underwriting staff is available by phone at (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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Is a Credit Check Required for the Texas Hearing Instrument Fitter and Dispenser Bond?
Surety companies will run a credit check on the fitter/dispenser to determine eligibility and pricing for the Texas Hearing Instrument Fitter and Dispenser bond. Applicants with excellent credit and work experience can expect to receive the best rates. While applicants with poor credit may be declined by some surety companies or 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 Texas Hearing Instrument and Fitter Dispenser Bond Cost?
The Texas Hearing Instrument and Fitter Dispenser bond can cost anywhere between $100 to $700 per year or $10 to $70 per month. Insurance companies determine the rate based on a number of factors including your customer’s credit score and experience. The chart below offers a quick reference for the bond cost on the $10,000 bond requirement.
$10,000 Hearing Instrument and Fitter Dispenser Bond Cost
| Credit Score | Bond Cost (1 year) | Bond Cost (1 month) |
|---|---|---|
| 625+ | $100 | $10 |
| 600 – 624 | $250 | $25 |
| 575 – 599 | $300 | $30 |
| 550 – 574 | $500 | $50 |
| 500 – 549 | $700 | $70 |
Who is Required to Purchase the Bond?
Texas requires all hearing instrument fitters and dispensers to purchase a surety bond, or obtain coverage from their employer, as a prerequisite to obtaining a business license. To paraphrase Texas statute 402.001, a hearing instrument fitter and/or dispenser is an individual or business that provides the following services:
- Measures a person’s hearing capabilities
- Creates impressions for earmolds to be used as part of a hearing instrument and provides post fitting counseling
- Sells hearing instruments to consumers
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 Texas Hearing Instrument Fitters and Dispensers Apply for a License?
Hearing instrument fitters and dispensers in Texas must navigate several steps to obtain a license. Below are the general guidelines, but applicants should refer to the application form for details on the process.
License Period – All Texas Hearing Instrument Fitter and Dispenser Licenses are valid for two years from the date of issuance and must be renewed before the expiration date
Step 1 – Meet the Eligibility Requirements
Applicants must satisfy all of the following criteria to be eligible for licensure:
1.a Apply for a temporary training permit by submitting an application online here. The following items must accompany the application:
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- Proof the applicant has obtained a high school diploma or certificate of high school equivalency
- Supervisor’s affidavit
- $205 application fee
1.b Complete the Direct Supervised Practicum which consists of 150 hours of direct training and 10 hours of masking
1.c Pass both the written and practical test
1.d Complete the jurisprudence test
1.e Apply for an apprenticeship permit by mailing a completed application, including a $205 fee, to the following address:
Texas Department of Licensing and Regulation
P.O. Box 12157
Austin, TX 78711-2157
The application must be accompanied by the following documents:
-
- Supervisor’s affidavit
- Certificate of completion of the jurisprudence test
1.f Complete the one-year apprenticeship program which includes a minimum of 20 hours of classroom-based continuing education
Step 2 – Obtain Surety Bond Coverage
Applicants must purchase and maintain a $10,000
Step 3 – Complete the Application
Applicants are able to apply for a license once they have met all eligibility requirements and obtained surety bond coverage. All Texas Hearing Instrument Fitter and Dispenser License applications can be submitted online here. The application must be completed in its entirety, and be accompanied by the following items:
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- Proof of surety bond coverage
- Certificates of Calibration, completed within the past year, for each portable and stationary audiometer used by the applicant
- $205 application fee
How do Texas Hearing Instrument Fitters and Dispensers Renew Their Licenses?
Prior to renewing their licenses, hearing instrument fitters and dispensers must complete the human trafficking prevention training, complete 20 hours of continuing education, obtain proof that all equipment used to test the hearing capabilities of consumers has been calibrated or certified by a qualified. Once all these requirements have been met, fitters/dispensers can complete their renewal application online here.
What are the Insurance Requirements for Hearing Instrument Fitters and Dispensers in Texas?
Texas does not require hearing instrument fitters and dispensers to obtain any form of liability insurance as a prerequisite to obtaining a business license. Fitters/Dispensers must either purchase a $10,000 surety bond or obtain this coverage through their employer.
How Do Texas Hearing Instrument Fitters and Dispensers File Their Bonds?
Fitters/Dispensers should mail their completed bond forms, including the power of attorney, to the following address:
Texas Department of Licensing and Regulation
P.O. Box 12157
Austin, TX 78711-2157
The surety bond requires signatures from both the surety company that issues the bond and from the fitter/dispenser. The surety company should include the following information on the bond form:
- Legal name, address, and phone number of entity/individual(s) buying the bond
- Surety company’s name, address, and phone number
- Date the bond goes into effect
- Date the bond is signed
What Can Texas Hearing Instrument Fitters and Dispensers Do to Avoid Claims Against Their Bonds?
To avoid claims made against their bonds, hearing instrument fitters and dispensers must follow all license regulations in the state, including some of the most important issues below that tend to cause claims:
- Pay all required taxes and fees
- Properly dispense of all hearing instruments
- Do not engage in any acts of fraud
What Other Insurance Products Can Agents Offer Hearing Instrument Fitters/Dispensers in Texas?
Texas does not require hearing instrument fitters/dispensers to purchase any form of liability insurance as a prerequisite to obtaining a business license. However, most reputable businesses will seek to obtain this insurance anyway. 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 Texas Hearing Instrument Fitter and Dispenser Customers?
Texas conveniently provides a public database to search for active hearing instrument fitters and dispensers 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.