Differences in Surety Bond Companies
There are a large number of different surety bonds available. Likewise, there are quite a few different surety bond companies, which do have some differences between them.
- Not all offer the same types of surety bonds
- For the same bond type, differences can include:
- Surety bond premiums paid by the surety bond principal
- Surety bond term lengths
- Surety bond renewal processes and requirements
- Surety bond underwriting policies, required paperwork, efficiency, etc.
- Financial stability of the surety company. A.M. Best (www.ambest.com), an independent third-party evaluator of insurance and surety companies, offers rankings that assist consumers in evaluating the stability of a surety company. Alpha Surety & Insurance Brokerage only works with surety bond companies ranked A- or better by A.M. Best.
For example, one surety company may offer license and permit bonds for only 1 or 2 year terms and require company financial statements before approval. Another company may offer the same bonds but also have 3 & 4 year term options with only a signed bond application and indemnity agreement for approval.
Return to Surety Bonds Defined
Alpha Surety is a nationwide surety bond broker offering simple, fast solutions for all types of surety bonding in all 50 states. We offer our customers extremely competitive pricing with multiple national carriers as well as world class support. For a free consultation about your surety bonding needs, please call 510-435-8425 or contact us. Or, to apply for a free quote, please complete our surety bond application.
