TN non-participating manufacturer bonds.
$1,000 flat.
Tennessee's Tobacco Manufacturers' Escrow Fund Act requires a non-participating manufacturer to post a $100,000 bond in favor of the State, conditioned on its quarterly escrow deposits. Ours is $1,000 flat — the price our carrier's rate book sets for this bond, the same for every manufacturer. A quick soft credit check may apply — never a hard inquiry, no impact on your score — and it's e-signed in 1–2 business days.
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Three steps to on the directory.
Your spot on the Department of Revenue's tobacco directory is waiting on this bond. Here's the entire process — no broker phone tag:
Apply once, online
Business details, the principal county, your escrow deposit due date, and an effective date. That is the application — the only extra step is a one-time consent to a soft credit pull.
Reviewed & approved
Manufacturer bonds get a real underwriting look; if anything else is needed you hear from an underwriter within 48 hours. The credit check is a soft pull that never affects your score.
E-sign & file with the Department of Revenue
Pay online and receive the executed bond, written in favor of the State of Tennessee, ready to file with your certification. Post it at least ten days before the calendar quarter. Wet-ink originals mailed whenever the state insists.
What it is and who needs it.
What the bond actually guarantees
After the 1998 Master Settlement Agreement, Tennessee passed the Tobacco Manufacturers' Escrow Fund Act (Tenn. Code Ann. §§ 47-31-101 to 47-31-103). A tobacco manufacturer that did not join the settlement — a non-participating manufacturer, or NPM — must instead deposit money into a qualified escrow account each quarter, based on the cigarettes it sells in Tennessee. This bond stands behind that escrow obligation.
It is a financial-guarantee bond written in favor of the State of Tennessee: you (the principal), the surety carrier, and the State as obligee. If you fail to make a required escrow deposit, the State can recover against the bond. The statute lets the State execute on the bond for the unpaid amount if the deposit is not made within fifteen days after the quarter's due date.
It is not insurance for you — if the surety pays the State, you repay the surety. The bond amount is the greater of $100,000 or your largest required escrow over the prior twelve quarters; this page issues the $100,000 minimum, and it must be posted at least ten days before each calendar quarter to keep you on the Department of Revenue directory.
You need this bond if you're
One application, issued instantly.
These are the actual underwriting fields, including the principal county, your escrow deposit due date, and a one-time consent to a soft credit pull. Submit once and your bond is typically issued within 1–2 business days.
Start the application →Common questions.
Other Tennessee bonds.
The tobacco directory is waiting on one document.
$1,000 flat, short application, e-signed bond in 1–2 business days. Post it at least ten days before the quarter. Free until issued.