Commercial / License and Permit Bond Questions
What is a Commercial Surety Bond?
Commercial Surety Bond is a very general term that is used to describe the requirement that many governments place on certain types of individuals or businesses to secure a bond in order to bid on or perform work in that state.
What is a License and Permit Bond?
Many federal, state and municipal government agencies require a Principal to obtain a License and/or Permit Bond to legally operate some type of business within a specific jurisdiction. License and/or Permit Bonds typically have a one-year term and need to be renewed each successive year.
Some examples of License and Permit Bonds are:
- Auto dealership or used car dealership bonds: provide limited protection to consumers that purchase vehicles from a dealership. This could include consumer fraud issues, the dealership charging in excess of regulated fees or failing to cover repairs.
- Tuition bonds: provide limited reimbursement to students who pay tuition to private schools that go out of business.
- Road and sidewalk opening bonds or road restoration bonds: protect the public if the property owner fails to repair and restore sidewalks and roadways to acceptable and safe conditions after work such as sewers or electrical lines were installed. The bond would pay for the cost of the restoration.
Apply for a License and/or Permit Bond Here.
What are Lost Instrument Bonds, Lost Security Bonds or Open Penalty Bonds and does The Service Insurance Company write them?
Lost Instrument Bonds, Lost Security Bonds or Open Penalty Bonds are required when a party needs to replace missing certificates such as lost checks, lost stock certificates or lost co-op certificates. The Service Insurance Company writes Lost Instrument Bonds, Lost Security Bonds or Open Penalty Bonds.
Apply for a Lost Instrument Bond, Lost Security, or Open Penalty Bond Here.
What is a New York Nail Salon Bond?
New York State requires all Nail Salon operators to have a NY Nail Salon Bond, which guarantees wages to Nail Salon workers. Information on the bond must be accessible to the workers. According to the New York State Division of Licensing Service, nail salon operators must carry bond in the amounts of:
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At least $25,000 if you employ the equivalent of two to five full time individuals who provide nail specialty services. -
At least $40,000 if you employ the equivalent of six to ten full time individuals who provide nail specialty services. -
At least $75,000 if you employ the equivalent of 11 to 25 full time individuals who provide nail specialty services. -
At least $125,000 if you employ the equivalent of 26 or more full time individuals who provide nail specialty services.
Apply for a New York Nail Salon Bond Here.
