Frequently Asked Questions

Along with being your go-to resource for surety bond purchasing and guidance, we’re committed to bringing you the highest level of customer service in the industry. Here’s a list of the most frequently asked questions about surety bonds and how the process works. If you have a question and don’t see it listed, just contact us, and we’ll get back to you right away.

A surety bond is a three-party instrument by which one party (the surety) guarantees or promises a second party (the obligee or entity requiring the bond) the successful performance of a third party (the principal).

In most cases, a surety bond is required by a governing body during the license or permitting process of an individual or business entity to do certain activities and/or to be provided a particular designation.

This bond is often required to ensure that the individual and/or business follow a standard of conduct set forth in a statute, ordinance, or other regulation related to their line of business. Ultimately, a surety bond protects the general public and governing body from fraudulent acts made by the license or permit, which result in financial loss or damages.

We make the application process quick and easy. Just select here on our website what type of surety bond you need, fill out the application, and submit it. If you need help with any part of this process, please contact us, and we’ll be happy to help.

Few types of businesses aren’t required to get a license, permit, or specialized designation by a governing body in order to operate or conduct a particular type of activity or business. Under such circumstances, it is generally required that the applicant file a surety bond with the governing body in order for them to formally approve and issue such a license, permit and/or particular designation.

Should your request involve review of your personal credit and/or additional underwriting information, we’ll let you know within 24 to 48 hours after your submission whether you’ve been approved or declined.

As the premium rates for all surety bonds differ by the bond type, a quote will be provided prior to submitting your application online. If a premium rate is determined based on the applicant’s personal credit, a preferred premium rate will be quoted. 

However, the quote may be higher in cases where the applicant’s personal credit and/or other underwriting criteria don’t meet the thresholds for approval at a preferred rate. In this case, an exact premium quote will be provided after the application has been submitted online.

We’ve organized a list of surety bonds and their specific requirements for you to know which bond you need. If you need more information, contact us today at 1-877-668-8886 or at

The manner in which a bonding company underwrites a particular bond type is based on the level of risk they assess to that bond. In many cases, the bonding company’s claims loss history for a particular bond type plays an important role in the underwriting criteria of an applicant as well as the premium rate being charged for the bond.

Credit reports serve as a useful and reliable source of information regarding an individual’s financial outlook, history, and timeliness of payments to creditors. All in all, a review of one’s credit report can determine their ability to manage finances and is one of the only ways for a surety company to determine the competency of an applicant.

In many cases, your surety bond will be ready on the same day you submit your application online. If a personal credit check and/or additional underwriting information is necessary, an approval is typically provided within 24 to 48 hours after submitting your application online.

Once your bond is approved and the premium is remitted for the first term, it will be sent to you in the mail. When necessary and with an additional charge, we can overnight the bond as well.

Typically, the original, wet-signature surety bond must be filed with the governing entity that sets the bond requirement. In addition, most surety bonds require a signature of the principal, and some require notarization.

Upon receipt of your original bond, you’ll want to be certain that it’s signed, notarized, and when necessary, forwarded to the required entity as quickly as possible. It’s also recommended that bonds be filed using a shipping service that allows for the tracking of its delivery to the obligee.

Generally, surety bonds are issued for a one-year term. However, some can be prepaid for additional terms at a discounted premium rate. In some cases, the entity which has set the bond requirement mandates that the bond last a specified term.

Most surety bonds renew upon the expiration of the term in which it was issued unless otherwise specified by the governing entity which required the bond. In addition, most bonds remain continuous until otherwise cancelled by the surety company for the principal to the bond.

Should a claim be made on your surety bond, the bonding company will investigate the matter to determine its legitimacy. In most cases, the principal will be contacted to supply an explanation of the dispute or situation. It’s also useful for any supporting and relevant documentation to be provided to the surety.

In most cases, the bonding company reserves the right to cancel a bond due to claims. And as most governing entities require the bond to be maintained at all times, a notice of cancellation will often result in the cancellation and/or suspension of the license, permit, or particular designation being secured by the bond.

Consumers of the principal are entitled to make a claim against their surety bond, should they act in violation of the statute, ordinance, code, or other regulation under which they conduct their business. The surety bond guarantees that individuals granted a license or permit to operate a business or to exercise a privilege will meet the obligations under that license or permit.