What are my options for obtaining a surety bond? There are a few options available to you when it comes to obtaining a surety bond. You can either work with a professional surety company, or you can try to obtain one on your own through a variety of online sources. If you decide to go… Read More »
How Do Surety Bonds Differ from Insurance? Insurance and surety bonds are both used to compensate a party for financial loss. Insurance is a contract between an individual and an insurance company whereby the individual makes periodic payments to the insurance company, which, in turn, agrees to pay damages resulting from certain defined contingencies. A… Read More »
Why do you need to renew your surety bond annually? Surety bonds must be renewed annually in order to maintain their validity. This is because the bond protects the interests of both the obligee and the surety. By renewing the bond annually, the surety can ensure that they are still protected if the principal fails… Read More »
Who needs a performance bond? First, let’s begin with why we have performance bonds for commercial banks in the first place. What they do is provide an extra layer of protection when failures happen at big, systemically-important financial institutions – banks that are considered ‘too big to fail’. The idea behind the provisioning of these… Read More »