Surety Bonds are a form of credit, not insurance. A bond protects the bond holder (Obligee) against loss if you (Principal) fail to meet obligation outlined in Contract/Agreement, Federal, State and Local Government Laws, Statutes or Ordinance. In exchange you are required to demonstrate a commitment to protect the surety from any loss or expenses caused by failure to fulfill bonded obligation.
Obligee: The party who is the recipient of an obligation.
Principal: The primary party who will be performing the obligation.
Surety: Who assures the oblige that the principal can perform/meet their obligations.
At The Daniel and Henry Co., we have a dedicated professional staff with experience and expertise to find the right solution for your bonding needs. We have an excellent reputation and relationship with local, regional and national surety markets and underwriters. Having a personal interest in your business, our commitment is to find the best terms and conditions for our customer.
Contract bonds represent the obligations outlined in a contract/agreement between an oblige and principal. This category covers Bid Bonds, Performance and Payment Bonds, Completion Bonds for various obligations, including construction, service, supply and install.
Commercial bonds represent the broad range of bond types that do not fit the classification of contract. They are generally divided into four sub-types: license and permit, court, public official, and miscellaneous. The bond guarantees that the Principal will adhere to the laws, ordinances or statutes set forth by Federal, State, Local or Private Entities.