Such security shall:
1. Be for the protection, use and benefit of all persons whose applications for membership in a motor club have been accepted by such club or its representative.
2. Be subject to the following conditions and, if a bond, shall be so expressly conditioned:
(a) The club will faithfully furnish and render to such persons any and all of the motor club services sold or offered for sale by it.
(b) The club will pay any fines, fees or penalties imposed upon it under or pursuant to this chapter.