Results for: surety-bonds

What are surety bonds used for?

Surety bonds are used to protect an obligee in the event that the principal does not perform or complete their obligation to the obligee. There are three main types of surety bonds, contract surety bonds, commercial surety bonds, and fidelity… Full Answer

Does surety bond end?

Yes. All surety bonds will reflect bond and premium terms in some manner. Most surety bonds are annual. A contract surety performance bond will guarantee the specific terms and conditions of the contract it references. When the job obligation is… Full Answer

What is professional surety?

The term professional surety can be applied to an individual who is licensed and experienced in providing surety bond support. It can also allude to the corporate sureties that underwrite and provide the actual surety bonds. Full Answer

What are the types of sureties?

The majority of sureties in the United States are corporate. They are licensed and regulated by insurance commissioners in the various states that they operate. There is such a thing as a personal surety. This relates to a law hundreds… Full Answer

What is letter of surety?

Surety is providing a guarantee for another party. A letter of surety is a document the confirms the terms and conditions of said guarantee. Sometimes called a "Bondability Letter", it declares the name of the entity providing surety and under… Full Answer

What is a surety company?

The surety company is usually an insurance company that is guaranteeing the obligation of another party in a contract. In order for a company to write surety bonds, it must be licensed by the insurance departments of the states in… Full Answer

How Surety can be compared to insurance policy?

Both insurance and surety provide protection against financial loss. Insurance anticipates losses and charges a premium with that in mind where surety companies expect no loss and the premium charged is a 'service fee'. Surety bonds involve three-parties the surety… Full Answer

What is surety bonding?

A surety bond is a contract among at least three parties: The principal - the primary party who will be performing a contractual obligation The obligee - the party who is the recipient of the obligation, and The surety… Full Answer

What is an surety bond?

A surety bond is a contract among at least three parties: The principal - the primary party who will be performing a contractual obligation The obligee - the party who is the recipient of the obligation, and The surety… Full Answer

What is surety bonds?

A surety bond is a contract among at least three parties: The principal - the primary party who will be performing a contractual obligation The obligee - the party who is the recipient of the obligation, and The surety… Full Answer