Surety and Contract Bonds Information

What are Surety and Contract Bonds?

Contract Bonds are primarily used in the construction and infrastructure sectors to cover performance obligations, as a flexible alternative to bank guarantees or retention funds.

Types of Surety and Contract Bonds?

Performance Bonds

Provides security to the beneficiary against contractor non-performance or default, and supports contractor obligations during the contract period.

 

Bid Bonds

Supports a contractors bid to tender to ensure that they will enter into a contract if accepted

 

Advance Payment Bonds

Secures the beneficiary's position on funds advanced to the contractor for capital purchases or site preparation

 

Retention Release Bonds

Provide security to the beneficiary when the contractor is advanced funds from the retention fund

 

Maintenance Bonds

Secures contractor's post-completion obligations during the warranty or latent defects period, usually 3-12 months post-completion

 

Off-Site Material Bonds

If goods or materials are held off site and paid for by the beneficiary, the bond responds if the goods or materials are not available when required for use in the contract

More Information

To obtain a quotation or further information on Surety and Contract Bonds you can contact one of our experienced brokers toll free on 1-3000-COVER.

 

Alternatively, click here to complete a contact request and a broker from our Insurance Broking team will contact you within one business day.

 

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