Performance Bonds Construction

Performance Bonds Construction:

Nationwide Sureties are the leading provider of Performance Bonds Construction services in the United Kingdom. We source the best and most competitive quotations from multiple providers tailored specifically to your construction project — ensuring you receive the most favourable costs and terms.

• Competitive Premiums
• Access to the Full Construction Bond Market
• Quick and Simple Application Process
• Expert Knowledge of the Construction Surety Market
• ABI, On-Demand, Adjunction, or Hybrid Wordings Considered

What is a Performance Bond in Construction?

A Performance Bonds Construction guarantee is typically valued at 10% of the contract price (though this can vary). It provides essential protection to the employer or beneficiary against financial losses or damages caused by the contractor failing to meet its contractual obligations within a construction project.

How do Performance Bonds Construction work?

A Performance Bonds Construction agreement involves three parties and is designed to protect the project beneficiary if the contractor fails to perform. This failure could be due to insolvency, default, or other specified actions. In a dispute, the contractor or subcontractor is first given the chance to remedy the issue. If unresolved, the surety investigates the bond claim; if valid, damages are established and settled according to the contract terms.

What we require for Performance Bonds Construction:

Please provide details about the construction contract requiring the Performance Bonds Construction service — including the bond amount, required period, and a completed application form, along with:

• A copy of the Performance Bonds Construction wording (If none specified, we can recommend a suitable wording)
• Your most recent published accounts (and consolidated group accounts if applicable)
• Your latest management accounts (up to the most recent quarter)

Once we receive this information, your Performance Bonds Construction application will be submitted to our underwriter panel. They will assess your financial standing and trading performance relative to the bond obligations. After underwriting, we aim to offer competitive, non-binding terms promptly.

Upon your acceptance of our terms and submission of any further required information, we will issue the necessary documents (such as a deed of counter-indemnity) along with the premium invoice. Once we receive the completed paperwork and premium, we will issue the Performance Bonds Construction document.