AUTO DEALER BOND
It is not uncommon in the industry for a bond to have several different names, and this bond is a perfect example. The motor vehicle dealer bond is also known as: a used car dealer bond, auto dealer bond, and DMV bond.
The Auto Dealer Surety Bond guarantees that the dealer operates as per the terms of the state in which they operate. This bond is considered a moderate risk by bonding companies; in recent years applicants have been examined more closely. Low rates for Dealer Bonds are available to those who qualify, but those with a poor credit track record will be forced into the higher rate, bad credit market.
For those with less than perfect credit, we have DMV Bonds available through our bad credit auto dealer program. This program requires a higher rate than the standard market, but allows those auto dealers who have been denied before the opportunity to be bonded.
ERRORS AND OMISSIONS
Errors and omissions insurance is business liability insurance for professionals such as insurance agents, real estate agents and brokers, architects, attorneys, third party administrators, quality control workers, NDE Persons, and other business professionals. An error or omission, a mistake, which causes financial harm to another, can occur on almost any transaction in any profession. This type of insurance helps to protect; a professional, an individual or a company, from bearing the full cost (up to amount of policy) of defense for lawsuits and related cost of lives or property lost relating to an error or omission in providing covered professional services.
PERFORMANCE BONDS
A performance bond is a surety bond issued by an insurance company or a bank to guarantee satisfactory completion of a project by a contractor. Performance bonds are commonly used in the construction and development of real property, where an owner or investor may require the developer to assure that contractors or project managers procure such bonds in order to guarantee that the value of the work will not be lost in the case of an unfortunate event (such as insolvency of the contractor). In other cases, a performance bond may be requested to be issued in other large contracts besides civil construction projects.
CONTRACT BOND
Contract bonds are used heavily in the construction industry and are a guarantee from a Surety to a project's owner (Obligee) that a general contractor (Principal) will adhere to the provisions of a contract.
Included in this category are: bid bonds (guarantee that a contractor will enter into a contract if awarded the bid), performance bonds (guarantee that a contractor will perform the work as specified by the contract), payment bonds (guarantee that a contractor will pay for services and materials), and maintenance bonds (guarantee that a contractor will provide facility repair and upkeep for a specified period of time). There are also miscellaneous contract bonds that do not fall within the categories above, the most common of which are subdivision and supply bonds.
