In some industries, clients may require a surety bond before they agree to work with you. To them, this is a show of good faith and honesty that your company will perform its duties and comply with local laws. If any issues arise, the client can then file a claim to cover the costs to fix the problem. The surety will then be paid by your business. Having bonding insurance allows you to pay for this coverage and protects your business from claims and surety bond payments.
Many different types of small businesses will need bonding insurance. There are also different types of surety bonds that businesses can get. Depending on your industry and the type of work being done, we can suggest the correct bonding insurance for you.
Bonding insurance protects the holders from default by the issuer. These insurance policies guarantee repayment of principal and sometimes interest. Issuers can receive higher credit ratings on these bonds as a result, making them a great investment.
Typically for those who handle money, a public official bond confirms you’ll uphold your duties through Tax Collector Bonds, Town Clerk Bonds, or Treasurer Bonds.
Typically for construction, these bond insurance programs guarantee your obligations through policies like bid bonding, performance bonding, and payment bonding insurance.
If you work regularly with a municipality or the government, bonding insurance for notary services, auto dealers, travel agencies, and collection agencies are all common.
In the event an employee commits a fraudulent act, fidelity bonds like an Employee Theft and Dishonesty Bond or a Employee Retirement Income Security Act Bond could help.
Surety bonds are unique in that they require three parties, you – the principle, the oblige, and the surety. The group works together to guarantee work being done is accomplished.
Bonding Insurance is typically tailored to a unique situation. Our agency represents many Sureties who are standing by to help you with your specific contract or commercial bond needs.
