A surety bond is in essence, a legal agreement that guarantees that a person or business will do what it promised to do. It is a contractual agreement between three parties - the obligee, which is the party who expects to be the recipient of an obligation or promise, the principal, which is the party responsible for performing the obligation, and the surety, which is the party that guarantees that the obligee will honor his obligation. Should the obligee fail to do so it then falls to the surety to either ensure that the obligation is carried out by contracting with someone else to fulfill the obligation, or if necessary, stands in the gap financially to prevent the obligee from experiencing loss. A surety bond is at its most basic level, a form of insurance.

Surety bonds assume a number of different variations. A bid bond guarantees that a contract's bidder will furnish the payment as well as the performance bonds if given the contract. A payment bond makes certain that both suppliers and subcontractors get paid for the work that they do as per the terms of a contract. A performance bond provides for the work to be completed according to the contract's terms. An ancillary bond requires that everything that is integral to a contract is carried out, even if it is not directly performance related.

Contractor Bonds are a promise to the person having a project completed that the contractor will complete the job according to the contract as well as the obligee's satisfaction. Contractors generally purchase bonds from an established surety company. One of the best places to purchase contractor bonds is from a company that brokers offers from a number of different companies. One good example of such a company can be found at this website: http://contractorbondquote.com/. When a company such as contractorbondquote is consulted, a purchaser can be certain that he or she has the benefit of working with a broker who is connected with a number of different bond companies, which ensures that the quotes that they receive are both reasonable and competitive.

A Contractor Bond Quote Blog ends up being both a reassurance and also an incentive. It is an incentive to the provider to honor the contract he signed. It's a reassurance to the person who contracted with the provider that all will go well and that his work will be completed in a timely fashion. The bond provider earns a living simply by willing to stand behind the provider for the benefit of the consumer. It's a win-win-win situation.