Commercial Lines Coverage
Bid, performance, and payment bonds for contractors and businesses that need to guarantee their obligations to project owners and government agencies.
Surety bonds are three-party agreements that guarantee a contractor or business will fulfill their contractual obligations. Unlike insurance, a bond protects the project owner (obligee) — not the contractor. Florida contractors frequently need bonds for public projects, licensing, and large private contracts. We work with surety markets to get your bonds issued quickly.
Most public projects and many large private projects require performance and payment bonds as a condition of the contract.
GCs often require subcontractors to provide bonds, especially on larger projects or when the sub is new to the relationship.
Florida requires license bonds for many contractor license types — electrical, plumbing, HVAC, and others.
Federal and state government projects over $150,000 require performance and payment bonds under the Miller Act.
Many business licenses and permits require surety bonds as a condition of licensure.
Executors, guardians, and trustees may be required by courts to obtain fiduciary bonds.
Insurance protects the policyholder. A surety bond protects the project owner (obligee). If a claim is paid, the surety company can seek reimbursement from the contractor (principal). Bonds are a credit product, not a risk transfer product.
Bond premiums are typically 1–3% of the bond amount for well-qualified contractors. Higher-risk applicants may pay more. A $500,000 performance bond might cost $5,000–$15,000 per year.
Small bonds (under $100K) can often be issued same-day. Larger bonds require underwriting review of your financials and experience, which can take a few days to a week.
Surety underwriters evaluate your financial statements, work history, credit, and management experience. Strong financials and a track record of completed projects lead to better terms.
Our licensed advisors will find you the best rate across 100+ carriers. No obligation, no pressure — we speak English and Spanish.