Contractors that enter into design-build contracts can significantly increase their risk by taking on the design responsibilities for a project. Continue »
Bonding Design-Build Contracts: Avoiding “Non-Negligent” Guarantees
Contractors Should be Prepared for a Hard Surety Cycle
In the early 2000s, contractors felt the pain of another surety cycle as bonding companies incurred historical losses and surety capacity was drastically diminished. Continue »
Court Holds the Door Open for Bad Faith Claims Against Sureties
As sureties and contractors are well aware, the question of whether the surety-principal relationship can—or should—be held to the same standards as the insurer-insured relationship is far from settled. Continue »
Overview of Bonding Regulations for Contractors in 2017
For contractors across the U.S., a number of new bonding regulations have been passed in 2017 that deserve consideration. Continue »
Talking the Talk: How Contractors Should Communicate With the Surety
For many contractors — whether they perform on construction projects for private companies or local, state or federal agencies — bonding lines can be their lifeblood. Continue »
Three Key Determining Factors to Surety Bond Approval Taking the mystery out of the surety underwriting process
What’s a surety bond? It’s defined as a three-party agreement binding together a principal who needs the bond, an obligee who requires the bond and a surety company that provides the bond. Continue »
The Three Cs of Maximum Construction Bonding Capacity
Across much of the United States, construction projects involving medical facilities, renewable energy infrastructure, schools and mixed-use properties are on the rise. Continue »
Five Strategies for Reducing Subcontractor Risk and Hiring Qualified Subcontractors
For the past few years, subcontractors have been experiencing the burden of a serious backlog, shortages in labor and increased costs. These factors create strong pressures on subcontractors and make them more vulnerable to default and other risks. Continue »
Managing Financial Risk for Subcontractors
Some financial risk is inescapable on every construction project. The generally large number of parties performing work, and the fact that the money on the project must trickle down through many of those parties before others can get paid, results in slow (or sometimes non-existent) payment. Continue »
Get It Right or Lose Payment Rights: Navigating Bond Notices and Bond Claims on Construction Projects
A payment bond secures a subcontractor’s and a supplier’s right to get paid. If a job is bonded, payment is secured generally by the bond and not by the property. Continue »
Streamline Contractor Claim Investigations With Expedited Dispute Resolution Bonds
Stan Halliday from Travelers Bond & Specialty Products answered questions about Expedited Dispute Resolution (EDR) bonds and what the construction industry needs to know about them. Continue »
The Value of Surety in Assisting Contractors Who Manage Aging Infrastructure Projects
At a time when local, state and federal government budgets are under mounting pressure, allocating the resources to refurbish America’s aging infrastructure – the roads, bridges, railways, airports, water systems, pipelines and other components upon which our economy depends – is an increasingly difficult challenge. Continue »