Resource Center

How Is a Continuous Bond Used?

How Is a Continuous Bond Used?

A continuous bond is used to cover multiple customs transactions over a 12-month period, providing a cost-effective and efficient solution for importers who frequently bring goods into the United States. Rather than securing a separate single transaction bond for each shipment, a continuous bond, as long as the bond amount remains sufficient, ensures compliance with U.S. Customs and Border Protection (CBP) regulations across all imports during the year.

Who Needs a Continuous Bond?

A continuous bond is ideal for businesses that:

  • Import goods regularly throughout the year.
  • Require a streamlined customs clearance process.
  • Want to reduce administrative costs compared to purchasing multiple single-entry bonds.
  • Need compliance coverage for duties, taxes, and fees payable to CBP.

Key Benefits of a Continuous Bond

  • Covers All Shipments: A continuous bond applies to all imports within its active period, eliminating the need for repeated paperwork and approvals.
  • Reduces Costs: If you import frequently, a continuous bond can be more economical than purchasing multiple single-entry bonds.
  • Simplifies Compliance: Ensures that importers meet CBP regulations without the hassle of securing individual bonds for each shipment.
  • Covers Other Customs Activities: A continuous bond can also be used for Importer Security Filing (ISF), Foreign Trade Zone operations, and warehouse entries.

How to Obtain a Continuous Bond

To obtain a continuous bond, businesses must:

  1. Determine the appropriate bond amount, which is typically 10% of duties, taxes, and fees paid in the last 12 months (with a minimum of $50,000).
  2. Work with a licensed surety company to secure the bond.
  3. Submit the bond to CBP through an electronic filing process.

How Roanoke Can Help

At Roanoke, we specialize in serving the customs brokers who help importers secure the right customs bonds to keep their operations running smoothly. We are here to help guide customs brokers in selecting adequate bond amounts, overcoming underwriting hurdles, and processing new and replacement bond filings.

Need assistance? Contact us at 1-800-ROANOKE (800-762-6653) for expert advice.

Related Resources:

Our Latest Articles

Staying Ahead of Cargo Thieves: The Latest Trends and Strategies for Supply Chain Security

The threat of cargo theft is a persistent risk for businesses operating in the global supply chain, with organized crime groups continually adapting and evolving their tactics to target high-value goods. According to our latest Cargo Theft Report, the rise in strategic thefts, which involve deception, fraud, and sophisticated planning, is a key trend in […]

CARM & RPP: Essential FAQs for Canadian Importers

This FAQ is tailored for Canadian importers who need guidance on complying with the upcoming Release Prior to Payment (RPP) changes under the Canada Border Services Agency (CBSA) Assessment and Revenue Management (CARM) initiative. Frequently Asked Questions (FAQ) – Release Prior to Payment (RPP) Under CARM 1. What is the Release Prior to Payment (RPP) […]

E&O Insurance: Important Protection Customs Brokers Need for Anti-Dumping Claims

by Craig Nerger, Strategic Relationship Manager, Roanoke Insurance Group Customs brokers are essential facilitators of international trade, ensuring that goods are properly cleared through U.S. Customs while navigating a complex regulatory landscape. As advisors to importers and key figures in the global supply chain, brokers face significant risks, particularly when dealing with imports subject to […]

Roanoke is the leading provider of insurance and surety solutions for transportation and logistics providers. In fact, we are recognized as the most reliable source for U.S. customs bonds.

Contact

If you have any questions or need help, feel free to contact with our team.

800-762-6653

US CORPORATE HEADQUARTERS

1501 E. Woodfield Road

Suite 400W

Schaumburg, IL 60173


CANADA CORPORATE HEADQUARTERS

390 Bay Street

Munich Re Centre, 22nd Floor

Toronto, ON M5H 2Y2

Solutions that Go the Distance.

© 2024 Roanoke Insurance Group Inc.

Better Business Bureau logoCoverholder at Lloyd's logo