Commercial Surety Bonds

Commercial Insurance

Commercial Surety Bonds

Commercial surety bonds can be used to guarantee the performance of contractual obligations imposed on an insured by third parties, such as a municipality, court, utility company, or other entity.

What is a Surety bond?

A surety bond is a contract between three parties: the principal, the obligee and the surety. It is a promise to pay or carry out an act and guarantees a contractual agreement between three parties.

The three parties in a surety agreement are:

  • The principal (the person who needs the bond)
  • The obligee (the person requesting the bond)
  • The surety company (the company providing the bond)

The bond protects the interests of the parties involved in nonpayment, nonperformance, and good faith dealings.

If an insured does not comply with the obligation imposed by the third party and the debt is substantial enough to cause financial harm, the party can have their claim paid by the surety bond company.


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Surety Bonds for Real Estate owners

We write these kinds of bonds in support of our real estate insurance solutions,  as clients have to comply with requirements from municipalities and public entities (including courts) in their operations. As a real estate owner and developer, you can use commercial surety bonds to secure permits, licenses, and site work agreements with municipalities.

We work with real estate developers, landowners, contractors and builders to ensure they have coverage for any obligations.

Our commercial surety bonds can be used for several obligations, including licenses, permits, liens, site work, and utility deposits.

To request more information about commercial surety bonds

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