What exactly is a bond?
A bond in layman’s terms is a way to secure a debt.
It is a way of you the consumer, being able to put up a little cost up front that says “I am letting you borrow this money so as to your agreement to pay the face value of said bond if ever needed”. In the real world, bonds can be issued by a government, municipality, corporation, federal agency and other entities.
In the insurance world a lot of times you will see bonds requested in the following ways:
A surety bond is a contract between three parties. The person who is the recipient of an obligation, the primary party who will perform the contractual obligation, and the person who assures the obligation will be done.
License and Permit Bonds
These types of bonds function as a guarantee to a government entity that a company will comply with a statute, state law, ordinance, etc.
Some examples are but not limited to:
- Fidelity Bonds
- Environmental Bonds
- Broker’s Bonds
- ERISA Bonds
Our job as an independent insurance provider is to help you navigate a cumbersome system in finding the best fit for your bond requirements. We can help you find your bond needs, provide you with your bond, and help you get it to the party requesting.
Call our office today or complete the form below to get started!