InSource is happy to help our insurance customers with their surety needs. Whether you need an oil and gas plugging bond, bid bond, performance bond, notary bond, or other type surety bond, we can help!
A surety bond ensures a contract is completed even if a contractor defaults on their obligations. This means that, in most cases, monetary compensation is required for failure to perform as agreed. A surety bond is a type of contract between three main parties that ensures they will act in accordance with the terms established by the bond. The “principal” in the surety bond, or the person who needs to purchase the bond, is often required to secure the bond on behalf of an “obligee” (the entity requiring the bond). The “surety company,” which issues the bond, would pay the financial obligation on behalf of the principal to the obligee if there is a default by the principal in meeting their obligations under their contract. When a bond is “called,” the principal must pay back the face value of the bond to the surety company. Surety bonds can be valuable risk mitigation tools that financially guarantee that a contractor will fulfill their obligations. InSource is expertly trained in the many types of surety bonds and can help you choose the most effective bond for your situation.
The licensed agents at InSource Insurance Group work with multiple top-rated surety companies that can fulfill a multitude of surety bond needs that your business may have. We are happy to help our existing and prospective insurance clients with their surety needs.
When it comes to protecting your business, the right insurance program is essential. If you’re business also needs surety bonds, InSource has the expertise and connections to be your one-stop solution. Whether you need an oil and gas plugging bond, bid bond, performance bond, notary bond, or other type surety bond, we’re here for you.
Surety Bonds help to hold your business partners accountable, and we have the tools and experience needed to provide you with bonds to keep your business protected.
A type of surety bond, oil and gas bonds are a third-party agreement between oil and gas well operators, the state, and the bonding company to ensure a project is completed even if the operator or contractor defaults. These bonds are often required before a company can drill in a certain area, and should the operator default and abandon a well, the bond company will pay the face value of the bond to the appropriate state authority to ensure the well is properly plugged. When the surety company has a bond “called” and pays the value of the surety bond, the purchaser of the surety bond (the “principal”) must pay the surety company back the amount they have paid to the state.
InSource has contracts with many of the top bonding companies in the country and can help you determine which surety options may be the best fit for your business. Our experienced team can guide you through the application process, and help you find competitive quote options.
A bid bond is a guarantee that a contractor who bids on your project follows through when you decide to partner with them. They can’t back out for any reason and if they do, they may face a fine. A bid bond is required for many large construction projects, and should be considered by the project owner to protect their interests.
InSource is experienced when it comes to understanding the many aspects of bid bonds, including the legal and financial aspects and helping make sure the businesses involved in a construction project are protected.
A contract bond is a guarantee that any contractor who is bidding on your project will follow through when you decide to partner with their business. This bond protects you against a contractor that doesn’t follow through, isn’t financially stable, or doesn’t have the resources to complete the job.
A contract bond is a necessity for most government projects. Even if your project isn’t a government project or required to have a contract bond by law, it will be required for larger projects with a bidding structure.
If your business finds itself needing other types of surety bonds, including performance bonds, notary bonds, and title bonds, to name a few, InSource is here to help!
Protect your business with the right insurance through InSource Insurance Group.