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Bonds Come in Several Different Varieties to Fit Different Needs and Situations

In general, bonds are meant to guarantee that one individual or entity will perform according to the specifications of a contract, ordinance, or other requirement. Common types are Surety Bonds, Contract Bonds, Judicial and Probate Bonds, and License and Permit Bonds. Click on "Get a Quote" and we will contact you.

Fidelity Bond

A Fidelity Bond protects bondholder clients from theft by employees of the bond holder. This type of bond is very close to traditional insurance - in this case it protects the employer/bond holder from employee dishonesty. Fidelity Bonds are often purchased by businesses employing high-risk employees.

Fiduciary Bond

Fiduciary Bonds provide guarantees that certain individuals in positions of trust will carry out duties faithfully and honestly. Fiduciary Bonds are often required by estate administrators, trustees, estate executors, and others. In some specific cases, courts or statutory requirements may call for a Fiduciary Bond; in these situations the bond is often referred to as a Probate Bond, sometimes a Judicial Bond, and sometimes a Court Bond.

Contractors Bonds (Contractors Surety Bonds)

There are several types of Surety Bonds for contractors: Bid Bonds, Performance Bonds, Payment Bonds, License Bonds and Supply Bonds are a few. In general, surety bonds assure a project owner that they can rely on contractor performance, ability to make payments to certain other parties (sub-contractors, e.g.), good faith bid submissions, and so on. The issuer of sureties, usually an insurance company subsidiary, investigates the abilities of a contractor and, in the event of a valid claim, will make reimbursement for non-performance according to the terms of the surety.

Information Needed for General Agreement of Indemnity:

Federal ID Number of each corporation

  • Full Name and Social Security Number of each stockholder and their spouses
  • Home Address of each stockholder and their spouses
  • Legal Name and Address of Corporation
  • For Bid Bond Purposes - State(s) of Incorporation

License Bond

A License Bond guarantees the the bond holder will comply with the statutes and license requirements of the granting state. Contractors often need to secure License Bonds as do mortgage brokers (Mortgage Broker Bonds). Damages resulting from deliberate license and statutory non-compliance may be filed against the bond by any person 'damaged'.

Payment Bond

Payment Bonds are provided to the project owner by the contractor after a contract has been awarded. The Payment Bond is a guarantee that the contractor will cover bills for specific project labor and material.. A Payment Bond also acts as a guarantee to subcontractors and suppliers for payments due from the project owner.

Bid Bond

A Bid Bond is often required of a contractor for a specific project. The bond amount is a percentage of the total bid on project, typically 10%. The Bid Bond provides the owner of the project with some assurance that, if the contractor is ultimately awarded a contract based on his bid, he will enter into a contract with the owner of the construction project. In short, a Bid Bond is a guarantee that the bond holder will perform the work they have bid on.

Performance Bond

Performance Bonds are provided by contractors to project owners after a contractor is awarded a bid (Performance Bonds are often preceded by Bid Bonds). The Performance Bond is a guarantee that the contractor will perform according to the project contract's terms and specifications. The amount of the bond will vary but in many cases it will equal the full contract amount.

Contact the Valeri Agency today to find out which coverage is best for you!

From Our Clients

"

Over the past four decades, Kenosha Achievement Center, Inc. has developed a great partnership with Valeri Agency and their dedication to our well-being is amazing!  They really know their business and almost as important they take the time to know ours. We love that we talk to people that care about the welfare of our organization as much as much as we do."

-Christine Weyker, Kenosha Achievement Center

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