Express Scripts Surety Bonds Requirements
Express Scripts said that the bond obligation “guarantees to the obligee (Express Scripts) that the principal will carry out the performance of their contract according to terms and conditions agreed to by the parties.” Express Scripts requires the bond to at least as long as the initial two-year period.
What Are Express Scripts Performance Surety Bonds?
In addition to delivering medications to patients' homes, Express Scripts works with pharmacies all over the nation. Pharmacy partners are required to provide a performance bond as a measure of protection by Express Scripts. Pharmacy surety bonds ensure their compliance with the business contracts they agreed to.
How Do Express Scripts Performance Bonds Work?
Express Scripts performance surety bonds are three-party agreements that work akin to normal surety bonds. The Three Parties are: The Surety; The Principal; and The Obligee
- The pharmacy, as the principal, must purchase a bond as a condition to successfully work with Express Scripts.
- As the organizer, Express Scripts requires the partnering pharmacy to post a bond, so they are the obligee in the contract.
- Surety companies in agreements provide bonds needed by pharmacies, and those companies pay claims against bonds when necessary. Most sureties are large insurance companies
Do You Need an Express Scripts Performance Surety Bond?
Express Scripts requires all qualified applicants to obtain a $500k performance bond. Surety bonds ensure that pharmacies adhere to their contracts, protecting Express Scripts in the event they breach their agreement.
How Much Do Express Scripts Performance Bonds Cost?
Bond's Pharmacy owners will pay a percentage of the bond amount for an Express Scripts performance bond. Depending on the applicant's financial background and credit history, the percentage can range between one and ten percent.
We’ve been getting clients bonded for 1.9% or LESS!
How to Get the Express Scripts Bond
For Express Scripts to accept a performance surety bond, pharmacies must apply with a surety company that has a AM Best rating of no less than A-VIII. Pharmacies submitting the bond must guarantee that the bond remains active for at least two (2) years.
We are the nation’s bond experts, and we have the best rates in the surety bond industry. When you partner with Swiftbonds, we dedicate a team that is put together to help you with your business.