By: Craig F. Martin of Lamson, Dugan & Murray, LLP There are fundamental differences between insurance and surety bonds and knowing the difference will help you avoid making mistakes, should claims arise. This blog will discuss the differences between insurance and surety bonds. Insurance An insurance policy is a two party contract between an insurer and the insured. The policy is intended to protect the insured. The cost of insurance is calculated by the insurer based on … [Read more...]
Surety Bonds and Bank Letters of Credit Comparisons
By: Jack Anderson, President Over the next several blog posts, we will explore surety bonds and bank letters of credit – what each is, their differences, and the advantages and drawbacks to each. Let’s start with a basic definition for each. A surety bond is a three-party agreement between the surety company, the oblige (project owner), and the principal (the contractor). A performance bond protects the owner from non-performance and financial exposures should the contractor … [Read more...]
Interview With a Contract Bond Underwriter – Meet Rita Jorgenson
This week I would like you to meet Goldleaf Account Specialist, Rita Jorgenson. Rita is married with one child. Being able to spend time with her family is the most important thing to Rita. She enjoys spending time at the lake, as well as watching her child, nieces and nephews participant in various sporting events. She and her husband enjoy motorcycling together with other friends. One fact you may not know about Rita – she is part of a military family and her husband has served several … [Read more...]
Surety Bond Basics – Part 1
When agents and clients come to Goldleaf, it is often their first time working in the world of surety, and they are not even sure what a bond is or what it does. For this reason, we often find ourselves going over some very common bond basics with all of our clients. There are several commonly asked questions that I would like to address over several blog posts – starting with the following: What is a surety bond? A surety bond is a three party agreement which legally binds together the … [Read more...]