Which of the following is a requirement for a corporate surety?

A corporate surety is an established entity that provides surety bonds, which guarantee the performance of contractual obligations and compliance with laws and regulations. One critical requirement for a corporate surety is that it must have a certificate of authority. This certificate is issued by the state, enabling the surety to operate legally and provide bond coverage in that state. It ensures that the surety company meets specific regulatory requirements and is financially stable to back the obligations outlined in the bonds.

Having a certificate of authority helps maintain the integrity of the surety bond market by ensuring that only credible and sufficiently capitalized organizations can issue bonds. This certification process is a protection measure for the public and for those who rely on the surety bonds to ensure the fulfillment of contracts or legal obligations.