Rely on the Experts
First Citizens Insurance Services has the experience and knowledge not only to issue bonds, but to also help companies compile the financial information necessary to attract and build stable bonding programs with surety partners.
What Is A Surety Bond?
A surety bond is a promise to pay one party (the obligee) a certain amount if a second party (the principal) fails to meet some obligation, such as fulfilling the terms of a contract. The surety bond protects the obligee against losses resulting from the principal's failure to meet the obligation. This is a guarantee to Project Owners that the General Contractors will adhere to the provisions of a contract. These bonds are not exclusive to Contractors; it can include Supplier/Distributor or Manufacturer/Supplier relationships as well.
A correctly underwritten surety bond will protect against losses including, but not limited to:
- Substandard construction
- Non-performance of the contract
- Contractor bankruptcy
- Supplier bankruptcy
- Payment of associated cost
- Liens against the property related to construction
- Legal disputes between owner and contractor
- Replacement of contractor to complete the project if necessary
Other Types of Surety Bonds
- Commercial Surety Bonds
- License & Permit Bonds
- Court Bonds
- Public Official Bonds
- Miscellaneous Bonds
First Citizens Insurance Services will also provide the ongoing support services and insurance products that work in conjunction with bonds, including:
- Financial statement review
- Contract review pertaining to insurance and bonds requirements, including liquidated damages
- Risk management, transfer and avoidance of risk
- Bond form review
Insurance products are not insured by the FDIC or any federal government agency and are not a deposit or other obligation of, or guaranteed by, any bank or bank affiliate.