Insurance Partners is one of the leading full-service Surety Bonds agencies in the United States. In essence, a Surety Bond is ‘performance bond.’ This bond is given to protect the obligee against loss in case the terms of a contract are not filled; a surety company assumes liability for the nonperformance.
A Surety Bond is a contract among at least three parties; the principal who will be performing the contractual obligation; the recipient of the obligation (obligee); and the surety, who ensures that the principal's obligations will be performed.
There are many varieties of Surety Bonds. Your Insurance Partners representative will be pleased to review these with you in detail. We are licensed in most of the USA, with global capabilities. We have been providing Surety Bonding services for many years, and are one of the leaders in this industry. We work diligently to obtain excellent pricing with our Surety providers, based on your particular needs.
As an overview, here is a basic presentation of various bonds.
Contract Bonds – For many in the construction industry, Contract Bonds are an essential tool. Construction contractors often require these Construction Surety Bonds (also referred to as Contractor Bonds) to provide financial protection in the event that a particular job is not performed as desired. Should the contractor fail to perform, the bond would provide the obligee with financial resources. A contractor's bond will adhere to the terms of the contract defining the project. The contractor purchases a Contract Bond and pays premiums to keep the bond current.There are seven categories of Contract Bonds:
- Bid Bond
- Maintenance Bond
- Payment Bond
- Performance Bond
- Site Improvement Bond
- Subdivision Bond
- Supply Bond
Court Bonds – These are required as a part of many court proceedings, to protect against a possible outcome of the proceeding and ensure faithful performance of duties and compliance, as ordered by the court.
There are two major categories of Court Bonds:
- Judicial Bonds, for Plaintiffs, Replevin, Attachment, Costs on Appeal, and Indemnity to Sheriff, to obtain a special right or remedy prior to the court decision.
- Fiduciary/Probate Bonds include Bankruptcy Bonds, as well as Bonds for Administrators, Executors, Guardians and Trustees, to ensure faithful performance of duties in relation to estates of deceased persons, minors, and/or other persons unable to manage their own affairs. Bankruptcy Bonds specifically provide coverage for:
- Chapter 7, Liquidation
- Chapter 11, Reorganization
- Chapter 13, Personal Reorganization
- Equity Court
Fidelity Bonds – These bonds are a form of insurance protection that covers policyholders for losses that they may incur as a result of fraudulent acts by specified individuals, typically insuring a business for losses caused by the dishonest acts of its employees such as burglary, fire, general theft, computer theft, disappearance, fraud, forgery, and others.
License & Permit Bonds – These protect consumers by ensuring that businesses and/or individuals perform their jobs according to the rules and regulations set forth by local, state and federal governments. Having a License & Permit Bond shows that a business or individual is in good standing with the state and assures consumers of working with an ethical entity. There are thousands of commercial license and permit surety bonds, and each state has differing regulations and requirements.
Typically these bonds can include:
- Contractor License Bond
- Tax Collector Bond
- Mortgage Broker Bond
- Motor Vehicle Dealer Bond
- Lottery Bond
- Other Types of License Bonds
Contact us to learn more about how Insurance Partners can provide your bonding requirements.