BOND FORM
This is required when a contractor needs to perform work in a public parking lot.
What is a license and permit bond?
The party who is obligated to perform a specific task or adhere to certain regulations
Who is the Principal?
This bond can be cancelled in 30 days from written notice from the surety to the State of Iowa.
What is a cancellation provision?
This is submitted when a contractor needs a municipality bond for $25,000.
What is an application?
This involves a principal, an obligee, and a surety company.
What is a three-party agreement?
This type of surety bond is designed to protect clients of cleaning businesses from potential financial losses due to theft or dishonest acts by cleaning company employees.
What is a janitorial bond?
They agree to be responsible for the debt or obligation of a primary debtor if the debtor fails to meet their obligations
What is surety or suretyship?
This is required when a bond form does not contain a cancellation provision.
What is a release?
This is an underwriting requirement when credit is needed to be pulled.
What is a signed application?
They require a bond to be in place before any construction is started.
What is an obligee?
When I grow up and am an executor of my mother's estate, the court will sometimes require this.
What is a fiduciary bond or probate bond?
The Surety provides a financial assurance where they will cover losses if the Principal defaults on their obligations.
What is a financial guarantee?
This bond needs to be sent to the obligee by certified mail.
What is the mailing method?
This is needed when underwriting a wage and welfare bond for a contractor.
What is a financial statement?
This is also known as employee dishonesty insurance, which we do not write.
What is a fidelity bond?
This type of form is easily mistaken for a License and Permit form when dealing with wage and welfare bonds.
What is a miscellaneous bond?
The core function of a surety bond is to ensure that the Principal will fulfill their obligations as outlined in the contract or legal agreement.
What is guaranteeing performance?
This letter is sent out when the principal no longer wants to proceed with the cancellation of their bond.
What is a rescind letter?
A new bond form is submitted for billing and needs to receive this after it books to the system.
What is a bond transaction report?
This is where a rate can be found for a bond form we have in our system.
What is bonds system?
Guarantees that the land will be restored to its original condition or an agreed-upon state after the operations are complete.
What is a reclamation bond?
The Surety provides a financial guarantee, meaning they will cover losses if the Principal defaults on their obligations.
What is indemnification?
This cancellation date was sent out July 1, 2025 with a 60 day notice. It is now September 3, 2025.
What is the effective date of cancellation?
This is needed when we don't have a copy of it for billing.
What is a bond form?
This refers to the potential for the surety to be held responsible for losses or damages suffered by someone not directly involved in the surety bond due to the failure of the principal to fulfill their contractual obligations.
What is third party liability?