Contract Bonding FAQs
What is a contract bond?
A contract bond is primarily used by contractors to meet their obligations and performance for a particular construction project, as stated in their contract agreement. That is why contract bonds are also sometimes referred to as construction bonds. In the event that the contractor fails to meet the obligations as listed on the contract, a construction bond will transfer the liability to the bonding company, who will be responsible for the payment owed to the project owner.
What are the various types of bond under this category of bond?
They include bid bonds, environmental surety bond, maintenance bond, payment bond, performance bond, site improvement bond, subdivision bond and supply bond. For bonds that are not included in this list, do not fret. Please feel free to call us at 1(815) 459-3300 for more detailed information.
Why do I need a contract bond?
If you are a contractor, chances are high that you will be required to have various bonds pertaining to the construction projects that you participate in.
How long does it take to process the bond?
Depending on the characteristics of the bond requested and your financial history, some bonds can be processed within the same day.
I am not sure what type of bond I need.
Call us at 1(815) 459-3300 and our agent experts here will be able to investigate your case and provide you with all the necessary information.