Surety Bonds for Shreveport, LA, Area Contractors

McInnis Insurance Agency offers surety bonds to business owners and contractors here in the Shreveport, LA area, as well as throughout Louisiana, Texas, Arkansas, Mississippi, Alabama, Georgia, and Tennessee.

While surety bonds are not a form of insurance against loss for you, the business professional, you may find that they are required to guarantee work performance or completion of a project. In the case of a municipal construction project, for example, the surety bond protects the tax payer monies invested by providing a guarantee that the work will be performed and the project completed.

If for any reason the project or obligation is not completed satisfactorily, the surety company will take financial responsibility. To post a bond, you (the “principal”) must pay a premium to the surety company (the “surety”) to post a bond to meet the requirements of the entity requiring it (the “obligee”). This bond then protects the public and public funds in the event that you default on your obligation.

Types of Surety Bonds

There are many types of surety bonds, and they differ by state. Here in Louisiana, we have a mortgage lender bond, which is a required bond for anyone who wants to become licensed as a mortgage lender in this state. Other bond types include:

 

  • Bid bonds
  • Contract bonds
  • Performance bonds
  • License and permit bonds
  • Payment bonds

 

Fast Bond Turn-Around Time

You will typically know if and when you are required to post a bond because the obligee (the entity requiring the bond) will inform you, or a potential contract will state that you must have bonding to place a bid. The group or individual asking for the bond is essentially requiring that you show proof that you have financial backing to perform the work.

One of the best strategies, if you regularly provide bids to obtain projects, is to contact a McInnis Insurance agent who can work with you and be ready to help you post your bonds quickly to ensure that you do not lose the opportunity. We can also help you with your builders risk insurance and other contractors insurance coverage to help protect you against liability and property damage.

We look forward to assisting you with all of your business insurance needs.