(a) At the time of the application for license as a public adjuster, the applicant shall file with the Commissioner a bond executed and issued by a surety insurer authorized to transact business in the State in the amount of $20,000, which bond shall serve the faithful performance of his or her duties as a public insurance adjuster. A public adjuster license shall automatically terminate when the bond is not in force.
(b) The bond shall have the following characteristics:
(1) The bond shall be in favor of the State and shall specifically authorize recovery by the Commissioner of the damages sustained if the licensee is convicted of fraud or unfair practices in connection with the licensee's business as a public adjuster.
(2) The aggregate liability of the surety for all damages shall not exceed the amount of the bond.
(3) The bond shall not be terminated unless at least 30 days written notice is given to the licensee and filed with the Commissioner.