Types of Performance Bonds

Types of Performance Bonds:

Nationwide Sureties are the leading provider of all Types of Performance Bonds in the United Kingdom. We source only the most competitive quotations from multiple providers, specific to your project requirements — ensuring you receive the best possible costs and terms.

• Competitive Premiums
• Access to All Types of Performance Bonds in the Market
• Quick and Simple Application Process
• Expert Knowledge of the Surety Bond Market
• ABI, On-Demand, Adjunction, or Hybrid Bond Wordings Considered

What are the Types of Performance Bonds?

The Types of Performance Bonds vary depending on project needs, contract terms, and jurisdiction. Typically valued at 10% of the contract price (though this can vary), these bonds protect the employer or beneficiary against financial losses and damages caused by a contractor failing to fulfil their obligations. Common types include conditional bonds, on-demand bonds, and hybrid bonds, each offering varying levels of protection and claim processes.

How do the Different Types of Performance Bonds work?

All Types of Performance Bonds are structured as tripartite agreements that protect the project beneficiary if the contractor fails to perform. Failures can arise from insolvency, default, or other contractually defined actions. In case of a dispute, the contractor is first given an opportunity to remedy the issue. If that fails, a claim can be made against the bond, after which the surety investigates the claim. If valid, damages are assessed and settled according to the bond and contract terms.

What we require for Types of Performance Bonds:

To help us source the right Types of Performance Bonds for your project, please provide contract details including the bond amount, duration required, and a completed application form, along with:

• A copy of the Types of Performance Bonds wording (If unspecified, we can recommend suitable wordings)
• Your most recent published accounts (including consolidated group accounts, if applicable)
• Your latest management accounts (up to the latest quarter)

Once we receive this information, your application for Types of Performance Bonds will be submitted to our panel of underwriters. They will assess your financial position and performance relative to the bond’s obligations. Upon successful underwriting, we’ll provide competitive, non-binding terms as quickly as possible.

After acceptance and submission of any requested details, we will issue the necessary security documents (such as the deed of counter-indemnity) and the premium invoice. Once the paperwork and premium are received, we will issue the chosen Types of Performance Bonds.