Time is money

When opportunity strikes, you need to be ready. That’s why contractors and trade professionals across the region work with our advisors year after year for their surety bond needs. We understand that a quick turnaround can mean the difference between closing a deal or losing out on a project. Our bond experts will assess your project requirements and identify which bond companies are the right fit for your job.

Why surety bonds matter

Bonds provide financial security for businesses, governmental agencies and individuals by holding bondholders liable for the professional or personal obligations of another. Unlike other contracts, surety bonds involve the obligee, the principal and the surety.

‍Obligee – The business or entity that requires assurances that the principal will satisfy its contractual obligations. That assurance is provided in the form of a surety bond that the principal must secure.  

Principal – The business or entity that provides a good or services for the obligee. In the event a principal doesn’t fulfill its contractual obligations, the obligee can receive payment from the surety bond to complete the principal’s unmet obligations.

Surety – The entity that issues the bond. The surety will perform its due diligence prior to issuing a bond and confirm the principal’s business reputation, years in business and financial solvency.

Bukaty’s business insurance experts have strong relationships with leading surety providers. Our industry knowledge and reputation stem from long-lasting partnerships with our clients and the carriers we work with.

Construction expertise

Our team has decades of experience working with construction contractors and agencies requiring contract surety bonds. Private developers of construction projects and governmental agencies want assurance that project contractors are qualified and able to complete a project on schedule. The contract surety bond also ensures the contractor will pay all subcontractors, suppliers and other workers to complete the project. The three types of contract surety bonds are – a bid bond, a performance bond and a payment bond.

Benefits of a surety bond

• Ensures project is completed on time
• Provides contingency planning should a contractor default
• Ensures project workers are paid
• Encourages development

Build with confidence

Bukaty’s business insurance experts have strong relationships with leading national and regional bond companies. Our industry knowledge and reputation stem from long-lasting partnerships with our clients and the companies we work with. No matter what your construction bond needs, we can get the job done.

Type of construction bonds

Performance bonds – Used to guarantee a contractor will complete the job according to the contract specifications and according to the proposed schedule.

Bid bonds – Offers a guarantee when submitting a project bid that your submission is accurate. A bid bond can help smaller contractors compete with established competitors.

Payment bonds – Often coupled with a performance bond that guarantees all suppliers, laborers and subcontractors used on a specific project will be paid by the contractor, relieving the project owner of future liability claims.

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