Changing the Broker of Record for an Electronic Surety Bond (ESB)

The Broker of Record (BOR) change process in NMLS allows a bond to be transferred from one surety bond producer to another while maintaining its active status and association with the surety company and regulator.

About this task

The Broker of Record (BOR) identifies the surety bond producer responsible for managing an Electronic Surety Bond (ESB) on behalf of the surety company. When a licensee changes the producer that represents its bond, a BOR change must be completed in NMLS. This ensures that all active bonds continue to be managed under the correct producer’s authority without interruption of coverage.

Note: Only one active producer can be assigned to a bond at a time. When a BOR change is approved, the previous producer’s authority over that bond automatically ends.

The BOR change process involves all three parties associated with the bond: the licensee, the outgoing producer, and the incoming producer. The surety company reviews and approves the change before it takes effect.

Procedure

  1. Sign in to NMLS using an account with Manage Bonds or Manage and Sign Bonds permissions.
  2. From the Tasks tab, select Electronic Surety Bonds, then choose Broker of Record Changes.
  3. Review the list of pending BOR requests displayed on the View BOR Changes page.
    Note: Each entry lists the bond number, licensee name, current producer, and proposed producer. The surety company must review each request individually before approval.
  4. Open a BOR request to view details, including the bond type, state, and effective date of the requested transfer.
  5. Choose one of the following actions:
    1. Approve — Confirms the new producer’s appointment as the Broker of Record and automatically deactivates the previous producer’s bond access.
    2. Reject — Declines the request, maintaining the current producer’s status as Broker of Record.
    Note: When approved, NMLS automatically updates the bond record to reflect the new producer and notifies all parties of the completed change. If rejected, the requesting producer and licensee receive a notification explaining the reason for rejection.
  6. Select Submit to confirm your decision.
    Note: Once the BOR change is submitted, the system generates a new audit entry in the bond record showing the transfer date, new producer name, and user who approved the change.

What to do next

Tips for managing Broker of Record changes

  • Ensure the new producer has an active association with the surety company before approving a BOR change.
  • Review the bond’s state and license type to verify that the regulator allows mid-term BOR transfers.
  • Communicate with both producers and the licensee to confirm effective dates and coverage expectations.
  • Monitor the View BOR Changes page regularly to ensure pending requests are processed promptly.
Note: Regulators are automatically notified when a BOR change is completed. No additional submission or documentation is required outside of NMLS.