Surety Bond Insurance for Construction Projects

A surety bond is an undertaking from an insurance company (surety) to pay a specific sum to a beneficiary on certain specified conditions, such as company insolvency or contractual default.

Surety facilities are unsecured and treated as a contingent liability and are thus off balance sheet. The surety company will be placed alongside other unsecured company creditors by way of an indemnity agreement, allowing a company to make best use of its assets.

Surety bonds differ from bank guarantees in a number of ways and there are several benefits of using the product.

They are competitively priced and enable the client to free up working capital facilities from their bank. Most of the time, this product is conditionally worded giving the client the protection of the underlying contract conditions. With an underwritten second opinion from a third party, the principal can complete the contract.

WHAT WE DO

Surety bond insurance

We can help our clients with:

  • Our dedicated team dealing solely in bonds and guarantees
  • Co-ordination of marketing with specialised knowledge of both jurisdiction and underwriters in relation to clients’ needs
  • Excellent relationship with all surety companies at the highest management level
  • Ability to negotiate significant facilities at the most competitive rates available
Surety bond insurance
  • Longstanding experience of both broking and underwriting surety bonds. We use this perspective to save time and effort by matching the client to the appropriate underwriters who would be willing to provide support
  • Extensive knowledge of traditional bonding, structured finance bonding transactions and facultative reinsurance surety solutions and work on a regular basis with banks, lawyers and the private equity market.

Key Stats

Construction Key Services
Construction Key Services
Construction Key Services
Construction Key Services

WHY JLT

JLT Specialty, through its surety offering, provides tailored service solutions to its client with surety bond requirements.

We focus not only on construction, house building, developers and the facilities management sectors but also on the need for surety bonds within a variety of other sectors which would include waste, energy and power, rail, telecommunications, water, retail and more.

Our experts recognise the need for surety bonds and guarantees on an international basis.

Most notably we operate in North and South America, Europe and Australia and set out to support clients in whichever country they are based for their contracts around the world.

We differentiate ourselves through our knowledge of bonding limits, pricing, indemnity and conditions – to name a few.

Our success comes from focusing on sectors where we know we can make the greatest difference – using insight, intelligence and imagination to provide experts advice and robust solutions. We build partner teams to work side by side with you, our network and the market to deliver responses which are carefully considered from all angles.

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