Many believe the main service insurance bonds provide is safeguarding consumers against unethical brokers – those who falsify quotes, sell clients unnecessary policies, or encourage customers to openly lie in paperwork.
Performance and Payment Bonds
by Ryan Hanley
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Where a Bid Bond ensures the “good faith” of a Contractor’s work-bid, a Performance Bond ensures monetary compensation to the client in the event the Contractor fails to finish the project according to the specifications laid out by the contract (most often due to the default or bankruptcy of the contractor).
Bid Bonds
by Ryan Hanley
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Contractors – Bid Bonds provide a guarantee to the Client, they do not release your business from the bid obligation. The contractor will be responsible to repay the Bank or Insurance Carrier any payments made to the Client.
Builder’s Guide to Construction Bonds
by Ryan Hanley
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Contract (or Construction) Bonds can drive a Contractor crazy, especially if that contractor is dealing with a municipality. However, despite most contractors familiarity with construction bonds, this common form of insurance product is quite frequently misunderstood.
