This notice is in regards to:

New Bond/Insurance Requirements for Private Security Businesses

As you may know, a new requirement went into effect on December 1, 2017. This change was to 6VAC20-172 and 6VAC20-174 that changed the bond and insurance requirements for Private Security Businesses and Personal Protection Specialists (PPS) and Private Investigators (PI) enter into a contract with a licensed private security business to work as an independent contractor.

What has changed?:

The insurance/bond requirement increased from $100,000 to $1,000,000.

This is a new insurance requirement for independent contractors hired as a PPS or PI.

Who does this change impact?

Private Security Businesses as well as Personal Protection Specialists and Private Investigators that enter into a contract with a licensed private security business to work as an independent contractor.

What do I need to do as a Business?

Your business must maintain the minimum bond/insurance requirement of $1,000,000.

If your business will be entering into a contract with Personal Protection Specialists and Private Investigators that will work as independent contractors, you are responsible for obtaining documentation that verifies that they have met the insurance requirement.

What do I do as a Personal Protection Specialist or Private Investigator?

If have entered into a contract with a license private security business to work as an independent contractor you must maintain insurance coverage of at least $1,000,000. When you are hired for your services, you must supply the business with documentation verifying that you have met this requirement.

Is this limit change required immediately or by the next renewal?

Private Security Businesses are to meet this requirement immediately and are to supply DCJS with a copy of your updated insurance or bond.

Will a change rider from my surety company detailing the increased bond be accepted?

DCJS will not accept any riders. Your surety company will need to rewrite the bond to reflect the new requirements.

Should you have any additional questions, please contact a Customer Service Representative at 804-786-7400 or by email at ora.info@dcjs.virginia.gov.