What is general liability insurance?
General liability insurance protects your company from any liability that arises due to loss or damage caused to a third party. General Liability Insurance can help cover medical expenses and legal fees resulting from bodily injury or property damage the company may be legally responsible for.
What is the difference between a cash and surety bond? What are the differences between cash and surety bonds? One of the main distinctions is how many parties are involved. Sureties involve three--the principal, obligee, and surety.
How are surety bonds different from insurance?
Most people don't know the difference between insurance and surety bonds. Surety is a three party arrangement, so it's different from most other types of insurance that are two-party arrangements. A surety bond protects those who have been hurt by someone else’s actions rather than just protecting the person with coverage (like getting an auto policy).
What is a general surety bond?
A surety bond is an agreement between three parties that involves a principal, the obligee and a third party. It can be easier to understand if you think of it as your business being responsible for fulfilling obligations instead of just yourself.
If you want more information about how this type of coverage could help protect your company against financial loss or fraud liability
Who can issue a surety bond?
Surety bonds are generally issued by licensed and regulated surety companies. However, it's common to apply for one through a broker or bonding agency.
What is surety insurance?
The surety bond is a type of insurance that guarantees the company will fulfill an obligation or perform as required by the underlying contract. Sureties contractors and other business owners get bonded so they can complete their projects with peace-of-mind knowing if something goes wrong they are covered!
Do insurance companies issue surety bonds? Insurance companies issue surety bonds, which are often obtained through brokers and dealers. The commissions can be high for the person who sells them to you.
What type of insurance is a surety bond?
Surety bonds are actually a form of credit. They're mistaken for insurance because they often involve payment when things don't go as planned but with surety bonds, risk is always with the principal (the person purchasing the bond), not an insurance company.
Why would I need a surety bond?
So, you're a contractor and want to be on the safe side? A contract surety bond is your friend!
What is an example of a surety bond? A surety bond is a legal contract which guarantees that the contractor will complete their job in accordance with an agreement. A typical example of this would be when someone hires contractors to renovate or build new structures, and wants them to safeguard both parties against potential damages incurred during construction.
What is a surety bond in construction? A surety bond is the financial guarantor of a construction project, guaranteeing that contractors will act in accordance with the terms established by their bonds.
What do surety bonds cover?
Surety bonds help protect people from fraud and other bad business practices. For example, if someone doesn't hold up their end of a contract or deal they make with you--and so damages your property in some way--surely bond will reimburse you for the loss.
Be sure to check out more at Swiftbonds.com