Private Vocational and Degree-Granting School Bond

Arizona Private Postsecondary School Bond

Board for Private Postsecondary Education student-protection security

Arizona private vocational and degree-granting institutions may be required to post a letter of credit, surety bond, or cash deposit under A.R.S. § 32-3023.

Overview

What Is a Arizona Private Postsecondary School Bond?

An Arizona private postsecondary bond protects students when an unaccredited or board-required institution fails to meet refund or closure obligations.

Key Provisions
  • Guarantees compliance with A.R.S. § 32-3023 - A.R.S. § 32-3021
  • Protects the obligee named on the Arizona bond form
  • Remains subject to the penal sum and bond conditions
Surety Obligation Overview

What Does This Bond Guarantee?

The surety bond guarantees that the principal will perform the duties required under A.R.S. § 32-3023 - A.R.S. § 32-3021 up to the penal sum.

Principal
The party required to obtain the bond and perform the underlying obligation.
Obligee
Arizona State Board for Private Postsecondary Education
Surety
The company issuing the bond and guaranteeing the obligation to the obligee.

When a claim may arise

A claim may arise if the principal fails to comply with the bonded Arizona obligation or causes covered loss to the obligee or protected parties.

If a claim is valid

If a claim is valid, the surety may pay up to the bond penalty according to the bond terms; the principal remains liable to reimburse the surety.

Scope of the Obligation
  • Comply with A.R.S. § 32-3023 - A.R.S. § 32-3021
  • Satisfy Arizona State Board for Private Postsecondary Education filing conditions
  • Maintain the bond for the required term
Bond terms

Bond summary

Amount, premium, term, and the authority that requires this filing.

Eligibility

Who Needs This Bond?

Operators of private vocational programs or degree-granting programs licensed by the Arizona State Board for Private Postsecondary Education often need this security.

Who Is Required to File
  • Applicants required by Arizona State Board for Private Postsecondary Education
  • Arizona businesses renewing or expanding licensed activity
  • Out-of-state firms filing into Arizona markets
Requirements

What You Need to Apply

Provide a board-acceptable surety bond, letter of credit, or cash deposit before licensure or renewal when required; sureties must meet the board rating standard.

Required Documentation
  1. Legal entity name matching the license or filing
  2. Bond amount: Board-set amount — commonly a $15,000 minimum for many applicants
  3. board may require more based on tuition revenue and accreditation status
  4. Arizona obligee form or statute citation
  5. Owner or officer identification for underwriting
Filing

How this filing works

  1. 01

    Confirm the Arizona requirement

    Share your license type, court order, or obligee form and the exact penal sum required by Arizona State Board for Private Postsecondary Education.

  2. 02

    Underwrite and price

    We review credit and filing details, then quote premium options through licensed surety markets.

  3. 03

    Issue and file

    Once approved, we issue the bond for delivery to Arizona State Board for Private Postsecondary Education or for your Arizona filing package.

FAQ

Frequently Asked Questions

What is the required amount for an Arizona private vocational and degree-granting school bond?

The amount is Board-set amount — commonly a $15,000 minimum for many applicants; board may require more based on tuition revenue and accreditation status, as set under A.R.S. § 32-3023 - A.R.S. § 32-3021 and confirmed with Arizona State Board for Private Postsecondary Education.

Who is the obligee on an Arizona private vocational and degree-granting school bond?

The obligee is typically Arizona State Board for Private Postsecondary Education. Always match the exact name on the Arizona form.

How long does it take to get the bond?

Many Arizona filings can be underwritten the same day when documents and credit are complete; complex amounts may take longer.

Does bad credit prevent approval?

Not always. Premium and collateral options vary by credit and bond size — ask for markets that still write the risk.

How do I renew the bond?

Most bonds renew on the term shown (1 Year). Keep continuity so your Arizona license or filing does not lapse.

Authority Resources

Arizona State Board for Private Postsecondary Education

ppse.az.gov

Next step

Ready to file this bond?

We’ll match the requirement and route the application.

Apply for this bond

Or call (877) 477-7578