Construction Bonds

 

Mostly referred to as construction bonds, Contract Bonds guarantee a contactor’s performance. Such bonds ensure proper performance by the contractor, adhering to the terms of the contract.In case of failure to perform appropriately, the surety bonding company is liable to pay to the insured or the bond owner’s clients, within the agreed limits of the surety bond. This limit however is normally equal to the amount of the appropriated cost of construction. The surety bonding company then reclaims the bond amount from the contractor.We underwrite this bond based on credit, experience and referencesand approval of this contract bond program are usually within 48 hours depending on the amount of the bond.

To Apply for a Construction Bond:

1. Application, Sign and Fax to 713-785-2711

2. Download Personal Financial Statement for Bids Over $250,000


 

Type of Construction Bonds:

Bid Bond

This bond requires the contractor to submit the lowest bid on a particular project. On refusal by the contractor to undertake the project, the developer is entitled to the difference between lowest and the next lowest bid. The Bid Bond ensures that the contractor undertakes projects seriously and fulfills his obligations completely.

Payment Bond

The Payment Bond enforces an obligation upon the contractor to pay the dues owed to the labor and for the materials that are used in the construction of a project. In case the dues are not paid, the owner can be confronted by sub contractors, and ends up paying the dues a number of times.

Performance Bond

This bond ensures quality of performance by a party against another party, according to the terms agreed in the contract.

Supply Bond

This bond guarantees that materials comply with the contract document and are thus delivered accordingly.

Site Improvement Bond

These bonds are not meant for existing structures, and thereby guarantee remarkable improvements in the site.

Material Bond

This bond guarantees the supply of all necessary material required for the successful completion of the project put on contract.

Sub Division Bond

This bond is much like the Site improvement bond. It guarantees the existing properties that mandatory improvements will be made to them by the city or the state.


BOND ESTIMATE

Surety Bond Types:
Auto Dealer Bond
Auto Title Bond
Construction Bonds
Court Bond
Fidelity Bonds
Guardianship Bond
Liquor Bond
Medicare Bond – DMEPOS
Notary Public Bond
Sales Tax Bond
TABC Bond
Probate Bond

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