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What is a Maintenance Bond and Why Do You Need One?
Also known as a warranty bond, this is a type of construction bond that is needed for performing work on public projects.
If your workmanship is not free of defects for the specified period of time after it is completed, a claim can be filed on your bond.
Are Maintenance and Warranty Bonds the Same?
Yes, they are the same bond type; they are simply different names used to refer to this type of bond. If you would like to learn more about what a surety bond is and how it works, you can find all the information you need in our FAQ section.
Contractor Insurance
There are several types of insurance coverages that are recommended for contractors, but the recommended coverage will vary based on your operation.
If you’d like to learn more about all of the insurance coverages available to you, please read our contractor insurance guide.
Frequently Asked Questions
We have the industry standard bond forms on file. If a special bond form is required, you need to obtain it from the obligee.
No. Only one application is needed. Our contract applications are on our website and you can get approvals for maintenance and performance bonds online.
No. The bond must be paid in full. Most surety companies do not offer financing on bonds.
It is used as a guide to how you may handle future obligations. A bond is a form of credit provided to you by the surety company. Therefore, the surety reviews your credit history to assess your likelihood to cause bond claims and your ability to pay them.
12, 18, or 24 months are the typical term lengths. Maintenance terms longer than 24 months are usually too lengthy for a surety to approve.
If there are problems with your workmanship during the warranty period that goes uncorrected, a claim will be filed on the bond which you are responsible to reimburse.
You must contact us immediately, as we have a team of claim specialists here to find a resolution for you. Keep in mind, it is crucial that you work with an expert in the surety industry. Learn more about how to ensure you choose the proper bond company.
You can take a look at our full list of contract bonds.
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