You can now apply online for a New York Performance Bond - it only takes three (3) minutes! (Yep, we timed it.) Click here:
Or you Can download our Express Performance Bond Application (click to download form)
- Complete the form and email to [email protected]
- Be sure to include the Contract and Notice of Award letter (bid specs from the obligee).
- Send the bid results if you have them
What is a Performance Bond in New York?
How do I get a Performance and Payment Bond in New York?
We make it easy to get a contract performance bond. Just click here to get our New York Performance Application. Fill it out and then email it and the New York contract documents to [email protected] or fax to 855-433-4192.
You can also call us at (913) 562-6992. We thoroughly review each and every application for commercial bonds and then submit it to the surety that we believe will provide the best p & p bond for your matter. The surety broker will perform a credit check. We have a high success rate in getting our clients performance and payment bonds at the best rates possible.
How much does a Performance Bond Cost in New York?
The cost of a performance bond can vary widely depending on the amount of coverage that is required. It is based on the total amount of the contract. Things that can affect this pricing are the perceived risk of the job, the financial position of the entity being bonded, plus other factors.
How much do bonds cost in NY?
Bond prices fluctuate based on the job size. The cost of a bond is estimated through a couple of back-of-the-envelope calculations. In general, the cost is approximately three percent (3%) for jobs under $800,000 and then the percentage is lower as the contract amount increases. We work diligently to find the lowest premiums possible in the state of New York. Please call us today at (913) 562-6992. We'll find you the very best rate possible for your maintenance bond or completion bond.
| Bond Amount Needed | Fee |
| <$800,000 | 2-3% |
| >$800,000<$1,500,00 | 1.5-3% |
| >$1.500,000 | 1-3% |
These rates are for Merit clients, Standard rates are higher
Just fill out our bond application here and email it to [email protected]
Find a Performance Bond near Me
What is a Payment Bond? Is it included with the Performance Bond? A payment bond is a bond that assures that the subcontractors and material vendors are paid. The payment provides that if the subcontractors are not paid timely and they make a valid claim, then the surety will pay them (and then collect and try from the general contractor).
What is a payment and performance bond? What is a contract bond?
Typically, a payment and performance bond are done together in the same contract by the surety. This way, the owner of the project is assured that the project can be completed pursuant to the terms of the contract and that it will not be liened by any contractor. The bond is risk security for the benefit of the owner.
Who Gets the Bond?
The general contractor is the entity that gets the bond. It is for the benefit of the owner (or in the case of government contract work, the governmental entity). It's the general contractor that has to apply for the bond and be underwritten before the performance and payment bond is written by the surety. This is also known as bonding a business.
Discover how do performance bonds work to ensure project completion and protect your investments today!
How to Get a Performance Bond in NY
Just call us. We’ll work with you to get the best New York bond possible.
We provide performance and payment bonds in each of the following counties:
Albany
Allegany
Bronx
Broome
Cattaraugus
Cayuga
Chautauqua
Chemung
Chenango
Clinton
Columbia
Cortland
Delaware
Dutchess
Erie
Essex
Franklin
Fulton
Genesee
Greene
Hamilton
Herkimer
Jefferson
Kings
Lewis
Livingston
Madison
Monroe
Montgomery
Nassau
New York City
Niagara
Oneida
Onondaga
Ontario
Orange
Orleans
Oswego
Otsego
Putnam
Queens
Rensselaer
Richmond
Rockland
St. Lawrence
Saratoga
Schenectady
Schoharie
Schuyler
Seneca
Steuben
Suffolk
Sullivan
Tioga
Tompkins
Ulster
Warren
Washington
Wayne
Westchester
Wyoming
Yates
And Cities:
New York
Buffalo
Rochester
Albany
Syracuse
Yonkers
Ithaca
Utica
White Plains
Binghamton
Manhattan
Bronx
Queens
Brooklyn
Staten Island
See our North Carolina Performance Bond page here.
Performance Bonds: Your Ultimate Guide to Protecting Construction Projects in New York
Understanding the Basics: Performance Bonds vs. Bank Letters of Credit in NY
In the realm of construction projects in New York, insurance performance bonds and bank letters of credit (LoCs) serve as vital financial safeguards. While both offer assurance, performance bonds provide broader protection by guaranteeing both the completion of work and the contractor's financial obligations. This makes them a crucial tool for project owners seeking to mitigate risks and ensure project success in NY.
The Non-Refundable Nature of Performance Bonds: A Key Consideration in NY
One common misconception about performance bonds in NY is their refundable nature. In reality, once issued and the premium paid, the money is generally considered earned by the surety, regardless of whether the bond is later released or the project is canceled. While there may be rare exceptions, understanding this non-refundable aspect can help contractors avoid unexpected financial setbacks in NY.
Navigating the Claims Process: Understanding the Ramifications in NY
Filing a claim on a performance bond in NY can be a complex process. If a claim is justified, the surety will compensate the project owner up to the bond's penal sum. However, contractors are then required to reimburse the surety, which can place significant financial strain on their business. This underscores the importance of understanding the full ramifications of a bond claim before proceeding in NY.
Timing is Everything: The Critical Importance of Bond Release in NY
The timing of performance bond release is a key concern for both contractors and project owners in NY. Typically, bonds are released once the project is completed and all obligations are fulfilled. However, the release process is often contingent on the project owner's approval and the completion of warranty periods. Effective communication and thorough documentation are essential to ensure a smooth bond release in NY.
Maximum Protection: The Power of 100 Percent Performance and Payment Bonds in NY
A 100 percent performance and payment bond is the gold standard for protecting construction projects in NY. This dual bond covers the full contract amount, guaranteeing both project completion and payment to all subcontractors, suppliers, and laborers. These bonds provide a significant level of security for project owners in NY, ensuring they are shielded from financial losses.
Speeding Up the Process: How Long Does It Take to Secure a Performance Bond in NY?
The timeframe for obtaining a performance bond can vary depending on factors such as the contractor's financial standing, project complexity, and the underwriting process in NY. Having all required documentation ready can significantly expedite the bonding process, reducing delays and keeping projects on schedule in NY.
The Risks of Expiration: Protecting Against Lapses in NY
Allowing a performance bond to expire before the project is completed or all obligations are fulfilled can have severe consequences in NY. If a bond expires, the contractor may face penalties, project delays, or even defaults. It is crucial to monitor bond expiration dates closely and ensure timely renewals to avoid any gaps in coverage in NY.
By understanding these essential aspects of performance bonds, contractors and project owners in New York can better safeguard their investments and navigate the complexities of the construction industry with greater confidence.
Learn more on Surety Bond New York
See more at our Oklahoma Performance Bond page.
