A surety bond is a three-party agreement whereby the surety assures the project owner (obligee) that the contractor (principal) will perform a contract in accordance with the contract documents.


Each surety company has its own underwriting standards and requirements, but there are shared fundamentals common to the underwriting of most surety companies. Before a surety underwrites a bond, the contractor typically undergoes a careful, rigorous, and thorough process, often referred to as prequalification.

The prequalification process takes time as the surety must be satisfied that a contractor has the ability to meet its current and future obligations, has a good reputation, has experience meeting the requirements of the projects to be undertaken, and has (or can readily obtain) the equipment necessary to perform the work. The surety also looks for contractors who run a well-managed, profitable enterprise, keep promises, deal fairly, and perform obligations in a timely manner.


Here is a list of what a contractor will typically need to provide to for a Surety’s Underwriting Review:

In some situations additional information may be requested. These include, but are not limited, to the following:

  • A Business Plan;
  • A continuity or transition plan;
  • Letters of recommendation or references from subcontractors, owners, architects, and engineers on completed projects.

Click on the links for our basic application check list and some of the forms referenced above.

Should you have any questions please feel to contact our Bonding Department at @ 808-592-4236