What it is
- Surety bonds: bid, performance, and payment
- A financial guarantee to the project owner — not insurance for you
- If the surety pays, you reimburse the surety
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Bonding, in plain English.
Surety bonds for bid, performance, and payment. A bond is a financial guarantee to the project owner, not insurance for you.
When you need it
- Public work — almost always bonded
- Larger private contracts that require performance security
Worth knowing
- Bonding capacity is built over time on financials and track record
- Clean, reviewed financial statements expand what you can bid
- Personal indemnity is standard — understand it before signing
Who it's for
- Contractors bidding bonded work
- Firms that want capacity ready before the big bid appears
This page is general information, not advice about your specific situation, and not a quote, binder, or contract of insurance. Actual coverage is governed solely by the terms, conditions, and exclusions of the issued policy.
Who usually needs it
See Bonding in your industry.
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