Alabama Warehouseman’s Surety Bond

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Large public warehouse in Alabama

What is an Alabama warehouseman’s bond?

In Alabama, the Gins and Warehouses Division of the ADAI (Alabama Department of Agriculture and Industries) regulates the operation of warehouse operators and grain dealers. The ADAI requires federal and public warehousemen and grain dealers to obtain a surety bond (warehouse bond) to acquire and maintain a business permit. Each year, the deadline to renew your bond (and Warehouseman’s Permit) is July 31. You could be subject to a 15% late fee if you miss the deadline. If you operate your business with the proper permit, you’re subject to a penalty of up to $1,000. See ADAI’s Gins and Warehouses page for more information and links to other application packets.  Need to purchase or renew your bond ASAP? Call us at (888) 435-4191, and we’ll help you get bonded in a zip!

Get Your Alabama Warehouseman’s Bond:

Who needs this bond?

Anyone applying for a warehouseman’s permit in Alabama needs this bond. The requirement applies to the following types of facilities:
  • Public warehouses
  • Cotton warehouses
  • Grain warehouses
  • Federal warehouses
An Alabama warehouseman’s bond protects the property of those storing goods in a public warehouse. The bond holds facility operators accountable by holding them financially responsible for each depositor’s personal property. Operators must abide by the bond’s terms and conditions regarding the storage and safekeeping of property to avoid costly bond claims.

Alabama Warehouseman Bonding Requirements

The ADAI’s Administrative Code, Chapter 80-6-5, requires all warehousemen in the state of Alabama to comply with state rules and regulations, including obtaining the proper permit. Complete the following steps to get your warehouseman’s permit:
  1. Complete your permit application (get it signed and notarized) and pay a filing fee of $150.
  2. Obtain a $5,000 surety bond or an equivalent.
  3. Submit a Certificate of Insurance for “Warehouseman’s Legal Liability.”

How much does a warehouseman’s bond cost in Alabama?

You will pay a small percentage of the $5,000 bond as your annual premium. If you have good credit, you can expect to pay as low as $100.  Remember to renew your Alabama warehouseman’s bond by July 31 every year to maintain compliance with the state of Alabama (and avoid extra fees). Call ZipBonds at (888) 435-4191 to get bonded as quickly as possible.

Get Your Alabama Warehouse Bond

ZipBonds is the fastest and most secure way to get the bond you need. We take out the pain of long, complicated applications. Many of our bonds are approved and processed immediately.

You can get your warehouse bond today by applying below or calling us at (888) 435-4191. We’d be happy to walk you through the process!

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About ZipBonds.com

Founders Ryan Swalve and Zach Mefferd formed the vision for ZipBonds.com when they realized how overly complicated it was to help clients place surety. The frustration of being unable to incorporate the technology they’d used in other insurance-focused projects left them thinking “there has to be a better way.”

Fast forward a couple of years, and that better way is the impetus of everything we do at ZipBonds. We constantly look for innovative ways to improve the bonding process for our clients and agents. Our team comprises individuals who understand all angles of surety – for companies, agencies, and individuals. Incorporating everyone’s point of view to improve the process while simultaneously integrating cutting-edge technology is what sets our business apart.