Getting Smart on Surety Bonds 09/13/2012
Not the insurance companies. They told me I could not get a bond because my company did not have a good credit score. Turns out that surety bonds and completion bonds and other bonds are not really insurance. They are more like lines of credit.
Here’s why: If a contractor does not finish a job, the bonding company has to step in and make it right. Then the bonding company can turn around and pursue the original contractor for reimbursement.
Soon we were talking with Andrew Wohl at Ox Bonding.