FAQ
Q: What is a Surety Bond?
A: Surety Bonds are financial guarantees that provide financial security, in the event of a default, for the party that is hiring an entity to complete a job. To read more on What Surety Bonds are, click here.
Q: How do I get Bonded?
A: Please read our step by step guide that tells you everything you need to know to get started.
Q: What type of bonds do you provide?
- Construction/Contract – For construction projects
- Commercial Bonds – Governmental and local province regulations and statutes
- License Bonds – Government bodies generally require you to obtain this type of bond.
- Court Bonds – Used to satisfy legalities.
Q: How Long Does It Take To Get A Surety Bond issued?
A: We can issue some bonds in under 30 minutes in house. To learn more click here.
Q: Do Construction Bonds Expire?
A: Depends on your contract requirements. We can extend your construction bond coverage if need be. To read more about when bonds expire or how to renew existing bonds, click here.
Q: What is the difference between Construction Bonds and Contractor’s Insurance?
A: Bonds are meant to protect the obligee and the principal when a project is awarded. On the other hand, contractor’s insurance provides coverage to the contractor from liability that can arise as a result of his operations. Read more on Bonds vs Insurance.
Q: Why do I need Surety Bonds?
A: Not only do bonds save you cash flow, there are also requires by certain industries and job types. Click here to read more.
Q: Why requires these bonds?
A: These bonds are fairly common in the construction industry. Saying that, go here to see more professions that use bonds as a security.
Q: What should I look for in a broker?
A: Your broker matters. Always make sure you are dealing with a profession who knows their products. Find our tips on finding a broker here.
Q: Who can qualify for this program?
A: We accept all contractors!
Q: Does my credit score matter?
A: It does matter! But we can qualify you with a non standard market if need be. To read about how credit score matters with bonding, go to this page.
Q: Any limitations on the bonded contracts you receive?
A: There are no limitations!
Q: High Risk jobs? Environmental, Recycling, Waste removal?
A: Not a problem!
Q: Is there a cost to use the Surety facility?
A: No, the cost is included in the cost of the bond.
Q: What is the cost of a construction or labour bond?
A: You are looking at 1% – 2 1/2% of the total cost of the job. For a quick guide on cost alone, visit this page. To read on how you can get the cheapest rates, click here.
Q: If my construction company is bonded, do I need to buy insurance for it?
A: Yes. A bonding facility does not provide any protection to the business from any liability claims. To learn more about construction company insurance, please visit this page.
Q: I subcontract all my work – Is that okay?
A: Not a problem!
