Roberts Insurance Group
  • Personal Insurance
    • Vehicles >
      • Auto Insurance
      • SxS/RZR Insurance
    • Property >
      • Home Insurance
      • Landlords Insurance
    • Other >
      • Boat Insurance
      • Wedding Event Insurance
      • Umbrella Insurance
  • Business Insurance
    • Coverage Types >
      • Apartment Owners Insurance
      • Bonds
      • Business Auto - Commercial Auto Insurance
      • Business Liability Insurance - General Liability
      • Business Owners Package (BOP) Insurance
      • Builder's Risk Insurance
      • Commercial Property Insurance Georgia - Commercial Real Estate Insurance Canton GA
      • Commercial Umbrella - Excess Liability Insurance
      • Cyber Liability - Data Breach Insurance
      • Employment Practices Liability Insurance (EPLI)
      • Liquor Liability Insurance
      • Pollution Liability Insurance
      • Professional Liability Insurance
      • Trucking & Transportation Insurance
      • Vacant Building Insurance
      • Workers Compensation
    • Industry Specialties >
      • Auto Body Shop Insurance
      • Auto Dealers Insurance
      • Auto Mechanics Insurance
      • Car Wash Insurance
      • Contractors Insurance
      • Convenience Store - Gas Station Insurance
      • Day Care Insurance
      • Dump Truck Insurance
      • Electricians Insurance
      • HVAC Contractor Insurance
      • Janitorial Insurance
      • Landscaper Insurance
      • Manufacturers Insurance
      • Non Profit Organization Insurance - Religious Organizations - Charities
      • Plumber Insurance
      • Restaurant Insurance - Bar
      • Roofing Contractor Insurance
      • Trucking - Transportation - Cargo Insurance
      • Towing Insurance - Tow Truck
  • Work Comp Cost Control
  • Pricing
  • Blog
  • Contact
    • About
    • Staff Directory
    • Client Testimonials
    • Accessibility Statement

Performance Bonds

What is a Performance Bond?

Performance bonds are very common in the commercial construction industry and function as a safety net for project owners and developers that the contractors they hire will successfully complete their work on time and within the proposed budget.

Performance Bonds are legal agreements between 3 parties:
  • Obligee (Project Owner or Real Estate Developer)
  • Principal (Contractor hired to do work)
  • Surety (The Company Issuing the bond)​

​Click below to go to our innovative bond portal. You can quote, bind, and issue a bond in less than 5 minutes! Note that some types of bonds and higher bond amounts aren't eligible for online instant issue and will require additional underwriting.
Get Your Performance Bond Approved Today

How Performance Bonds Work:

When a contractor (Principal) wins a bid on a new job (which requires a bid bond), the contractor then has to acquire a performance bond (from a Surety) to reassure the project owner (Obligee) that you will follow through with your bid and complete the project as promised. If the contractor fails to follow through and honor the contract, the project owner can file a claim on the bond to provide liquidity to finish the incomplete job. The surety will then recover the lost money from the contractor. 

What does a Performance Bond Cost?

Performance Bonds are typically anywhere from 1% to 3% of the contact's value. For example, a $100,000 contract that requires a performance bond will usually cost $1,000 to $3,000 in premiums.

Factors that play a role in the cost of a performance bond include credit history, work experience, personal and corporate financials, as well as the type of work to be completed. 

Performance Bonds are often combined with a payment bond that ensures a contractor pays subcontractors and suppliers as agreed upon.

​Click below to go to our innovative bond portal. You can quote, bind, and issue a bond in less than 5 minutes! Note that some types of bonds and higher bond amounts aren't eligible for online instant issue and will require additional underwriting.
Get Your Performance Bond Approved Today

Navigation

Homepage
Insurance Products
Contact Us

Connect With Us

Share This Page

Contact Us

Roberts Insurance Group
64 Academy St
Canton, GA 30114​
(678) 250-8133
Alex@RobertsInsGroup.com

Location

Canton town square photo by Akhenaton06 | CC-BY-SA-3.0 | Website by InsuranceSplash
  • Personal Insurance
    • Vehicles >
      • Auto Insurance
      • SxS/RZR Insurance
    • Property >
      • Home Insurance
      • Landlords Insurance
    • Other >
      • Boat Insurance
      • Wedding Event Insurance
      • Umbrella Insurance
  • Business Insurance
    • Coverage Types >
      • Apartment Owners Insurance
      • Bonds
      • Business Auto - Commercial Auto Insurance
      • Business Liability Insurance - General Liability
      • Business Owners Package (BOP) Insurance
      • Builder's Risk Insurance
      • Commercial Property Insurance Georgia - Commercial Real Estate Insurance Canton GA
      • Commercial Umbrella - Excess Liability Insurance
      • Cyber Liability - Data Breach Insurance
      • Employment Practices Liability Insurance (EPLI)
      • Liquor Liability Insurance
      • Pollution Liability Insurance
      • Professional Liability Insurance
      • Trucking & Transportation Insurance
      • Vacant Building Insurance
      • Workers Compensation
    • Industry Specialties >
      • Auto Body Shop Insurance
      • Auto Dealers Insurance
      • Auto Mechanics Insurance
      • Car Wash Insurance
      • Contractors Insurance
      • Convenience Store - Gas Station Insurance
      • Day Care Insurance
      • Dump Truck Insurance
      • Electricians Insurance
      • HVAC Contractor Insurance
      • Janitorial Insurance
      • Landscaper Insurance
      • Manufacturers Insurance
      • Non Profit Organization Insurance - Religious Organizations - Charities
      • Plumber Insurance
      • Restaurant Insurance - Bar
      • Roofing Contractor Insurance
      • Trucking - Transportation - Cargo Insurance
      • Towing Insurance - Tow Truck
  • Work Comp Cost Control
  • Pricing
  • Blog
  • Contact
    • About
    • Staff Directory
    • Client Testimonials
    • Accessibility Statement