Surety insurance is required by states to protect both businesses and consumers.
Surety plays a big role in government construction projects.
When a company offers to secure travel arrangements, for example, they are required to post a surety bond. This bond is used as insurance that the travel agency will abide by all regulations and not misuse funds entrusted to them for travel purposes. Should the agent not handle his or her responsibilities in good faith then the surety bond protects the money lost by the customer.
What Is Surety Insurance
A surety bond is a type of promise or guarantee that one party will pay, handle business, or follow a court mandated action. Failure to meet the obligation can result in negative consequences.
There are different types of surety insurance to choose from. Speaking with a surety bond agent at Jurisco can help you obtain the right type of insurance for your particular situation.
Each state has their own set of mandates and requirements for surety bonds and insurance. Since Jurisco works in every state they will know exactly what is expected from a bond.
Projects Move Forward With Insurance
A good example of how surety insurance keeps the wheels greased is happening in Texas.
A construction problem long marred by expensive delays is finally seeing some resolution because of a surety bond. Since work was being repeatedly stalled and the company was not fulfilling their obligation, the central Texas county was able to file a “notice of default.”
This notice of default serves as protection for the county to push the contractor to finally complete the project (originally scheduled to be finished in September 2015). Should the contractor continue to default the country continues to be protected with surety insurance to help them not see taxpayer money mishandled by a contractor.
The Texas surety insurance mandates and specifications are all laid out online. That doesn’t make them any easier to understand, however, so working with a professional surety agency is recommended.
Obtaining Surety Coverage Today
When a court, State, or federal government require surety protection they mean right away. Jurisco helps you get the ball rolling with the right type of surety insurance today.