WE PROVIDE BEST INSURANCE SERVICES
Surety bonds are an important risk mitigation tool, but it’s essential to know that insurance and surety bonds are two different types of tools. The terms “surety bond,” “surety bond insurance,” and “surety insurance” are often used interchangeably, causing some confusion for consumers. It’s important to note that surety bonds are not insurance.
With most insurance policies, risk is typically spread among a pool of similar clients and policyholders contribute premiums which help cover losses. Surety bonds, however, are three-way agreements where loss is not expected. Similar to paying interest on a bank loan, the premium is a fee for borrowing money, covering pre-qualification and underwriting costs, and not a means of covering losses.
There are over 50,000 bonds in the U.S. and bond requirements, amounts and regulations are typically set at the state level.
WE HAVE FOLLOWING SOLUTIONS
FIND OUT WHAT MAKES US STAND OUT