Bonds in Columbus, Coshocton, Newark, Zanesville, OH
Bonds are a form of financial guarantee, and contractors, business owners and licensed professionals often need them to legally operate or fulfill contract requirements. Without these risk management tools, companies could face extensive losses following unexpected incidents, untimely delays or compliance violations. 
How Do Bonds Work?
Bonds, also known as surety bonds, create a three-party agreement: the principal who purchases the bond, the obligee who requires it and the surety company that backs it. If the principal fails to meet an obligation, the surety compensates the obligee and then seeks reimbursement from the principal. Unlike insurance, which financially protects the policyholder, a bond protects the party requiring it.
Are There Different Types?
Different industries and circumstances call for different bond types. Some of the most common include:
- License and permit bonds, required by many states and municipalities before a business can obtain certain licenses
- Contract performance bonds, which financially protect project owners if a contractor fails to complete work as agreed
- Fidelity bonds, which financially protect businesses against employee theft, property damage or dishonest acts
Who Needs Bonds?
Businesses across many industries and sectors, including contractors, cleaning companies, notaries, auto dealers, freight brokers and real estate agents, must often navigate and satisfy bond requirements as a condition of doing business. Project owners and government agencies frequently require bonds before awarding contracts to protect against incomplete or noncompliant work.
How Our Team Can Help
Since bond requirements vary by industry, state and contract type, working with a knowledgeable and experienced agent can help your business understand and address its needs.
Contact Boyer Insurance LLC to review your bonding requirements and secure the necessary coverage.