Wyoming Employment Agency Bond: A Comprehensive Guide
This guide provides information for insurance agents to help their customers obtain a Wyoming Employment Agency Bond
At a Glance:
- Lowest Cost: $100 per year or $10 per month
- Bond Amount: $1,000
- Who Needs it: All employment agencies operating in Wyoming
- Purpose: To ensure the public will receive compensation for any damages should the employment agency violate licensing law
- Who Regulates Employment Agencies in Wyoming: The Wyoming Department of Workforce Services
Wyoming Statute 27-8-101 requires all employment agencies operating in the state to obtain a license with the Department of Workforce Services. The Wyoming legislature enacted the licensing laws and regulations to ensure that agencies engage in ethical business practices. To provide financial security for the enforcement of the licensing law, employment agencies must purchase and maintain a $1,000 surety bond to be eligible for licensure.
What is the Purpose of the Wyoming Employment Agency Bond?
Wyoming requires employment agencies to purchase a surety bond 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 agency fails to comply with the regulations set forth in Wyoming Statutes 27-8-101 et seq. Specifically, the bond protects the public in the event the agency engages in any acts of fraud or fails to pay all funds owed to clients. In short, the bond is a type of insurance that protects the public if the employment agency breaks licensing law.
How Can an Insurance Agent Obtain a Wyoming Employment Agency Surety Bond?
BondExchange makes obtaining a Wyoming Employment Agency bond easy. Simply login to your account and use our keyword search to find the “employment” 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 (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 Wyoming Employment Agency Bond?
No, a credit check is not required for the Wyoming Employment Agency bond. Because the bond is considered relatively low risk, the same low rate is offered to all employment agencies operating in the state, regardless of their credit history.
How Much Does the Wyoming Employment Agency Bond Cost?
The Wyoming Employment Agency bond costs just $100 per year or $10 per month.
Who is Required to Purchase the Bond?
Wyoming requires employment agencies to purchase a surety bond as a prerequisite to obtaining a business license. To paraphrase Wyoming Statute 27-8-101 an employment agency is a business entity that connects employers with potential employees for a fee.
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 Employment Agencies Apply for a License in Wyoming?
Employment agencies in Wyoming must navigate several steps to secure a business license. Below are the general guidelines, but applicants should refer to the licensing statutes for details on the process.
License Period – All Wyoming Employment Agency Licenses expire on December 31 of each year and must be renewed before the expiration date
Step 1 – Purchase a Surety Bond
Employment agencies must purchase and maintain a $500 surety bond
Step 2 – Complete the Application
The application for the Wyoming Employment Agency License is not listed online. Therefore, employment agencies must contact the Department of Workforce Services to obtain an application. Employment agencies should return their completed application to the department, accompanied by the required licensing fee:
- $25 for agencies operating in cities of 5,000 people or more
- $10 for agencies operating in cities of less than $5,000 people
How do Wyoming Employment Agencies Renew Their Licenses?
Prior to the expiration date, the Department of Workforce Services will send agencies renewal notices containing instructions on to renew their licenses. All Wyoming Employment Agency Licenses expire on December 31 of each year and must be renewed before the expiration date.
What are the Insurance Requirements for Employment Agencies in Wyoming?
Wyoming does not require employment agencies to purchase any form of liability insurance as a prerequisite to obtaining a business license. However, they do need to purchase and maintain a $500 surety bond.
How Do Wyoming Employment Agencies File Their Bonds?
Employment agencies should mail their completed bond forms, including the power of attorney, to the following address:
Wyoming Department of Workforce Services
5221 Yellowstone Road
Cheyenne, WY 82002
The surety bond requires signatures from the surety company that issues the bond, a representative of the employment agency, and a licensed notary. The surety company should include the following information on the bond form:
- Legal name and address of the entity/individual(s) buying the bond
- The agency’s name and address
- Surety company’s name and address
- Date the bond goes into effect
- The term of the bond
What Can Wyoming Employment Agencies do to Avoid Claims Against Their Bonds?
To avoid claims against their bonds, employment agencies in Wyoming must follow all license regulations in the state, including some of the most important issues below that tend to cause claims:
- Pay all funds owed to clients
- Do not engage in any acts of fraud or misrepresentation
What Other Insurance Products Can Agents Offer Employment Agencies in Wyoming?
Wyoming does not require employment agencies to purchase any form of liability insurance as a prerequisite to obtaining a business license. However, most reputable businesses will purchase 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 Wyoming Employment Agency Customers?
Wyoming unfortunately does not provides a public database of active employment agencies in the state. We suggest contacting the Department of Workforce Services directly to obtain this information. Contact BondExchange for additional marketing resources. Agents can also leverage our print-mail relationships for discounted mailing services.