A bond filed with a bid for a construction or other project which guarantees that if the contractor has the low bid and is awarded the job, the required performance bond will be furnished.
Contract Bonds assure owners that the surety believes with such certitude that the principal will fulfill his contractual promises that the surety guarantees to do so, for free, if the principal doesn't.
Financial Institution Bonds
Few industries have crime loss exposures equal to those faced by financial institutions. Several different Financial Institution Bonds are available to cover these exposures.
Commercial Surety Bonding represents a wide variety of bonds, which normally respond to an act/law and can be part of a licensing requirement. Commercial Surety Bonds protect the consumer against fraud, misrepresentation, and monetary loss and are required by the courts, government, financial institutions, and private corporations.
License & Permit Bonds
License and Permit Bonds are required by federal, state, and local governments and are part of a government body that represents the consumer. The bond protects the consumer against fraud, misrepresentation and compensates the consumer against potential monetary loss. The bond also ensures the applicant's compliance with the regulations governing that sector.
These bonds are required by the courts or public trustee when a person dies or becomes incapable handling their own estate.
Employee Dishonesty Crime Bonds/ERISA
This bond protects the consumer/companies against theft from service employees of a contractor such as a Janitorial service, Nursing service etc. It is a component of Crime Bonds in which several types of crime are listed individually. The most common forms included in a Crime Bond are theft by dishonesty, forgery or alteration, and computer funds transfer. ERISA Bonds are a form of the Dishonesty Bond that designates the owner as the plan itself. ERISA Bonds are generally required for 10% of the total plan assets in the retirement plan.