More and more contracts require guarantees that performance will be delivered. Gallagher's commercial surety bond insurance team has the knowledge and relationships with key sureties to provide assurances for implementing surety bonds and their obligations.

Surety Bond relationships that convert to future growth

Gallagher remains an industry leader in providing smart, effective surety bonds for our commercial surety clients. We harness the creativity of our collective underwriting and brokerage experience to enhance or create surety bonds across many industries and niches within Gallagher. Whether expanding programs via shared surety, co-surety or finding new uses for surety bonds such as replacing Letters of Credit, we find the best intersection of indemnity and pricing for our clients.

Our underwriting backgrounds give us a distinct advantage when seeking creative solutions to unique opportunities.


Understanding commercial surety vs. contract surety bonds

Commercial surety and contract surety bonds (also known as construction bonds) are instruments used between three parties: the principal, obligee and surety entity. All bonds provide a line of credit that acts a financial guarantee to allow the obligee to claim against the bond. As a result, the bond principal is required to reimburse the surety for all claims.

The main difference between commercial surety and construction surety bonds is the intended purpose. Commercial surety bonds are to ensure a business complies with all state regulations while contract surety bonds provide a financial guarantee for construction projects. Our team of experienced licensed and bond production associates have worked across surety types to make the complex simple.

Providing assurance that keeps business moving

Commercial surety bonds are required by entities, government or legislation for projects by individuals or businesses. We place commercial surety bonds for domestic and international projects as well as working with customers' existing programs and facilitating the release of collateral. The customers we serve for commercial surety bonds range from all sectors including healthcare, financial services, public utilities, and private and public companies. We work with you to implement the commercial surety bond for your specific need. There is a spectrum of commercial bonds that include:

  • License and permit bonds - required by the federal, state or local government as a condition to engage in a business activity or in the granting of a permit to exercise a particular privilege, and guarantee compliance with statutes, ordinances and departmental rules.
  • Court bonds – used with both plaintiff and defendants guarantee payment in actions of law for costs and damages at the time of judgement.
  • Public official bonds - cover the public official's term of office and guarantee that the bonded official will faithfully perform the duties of his or her office.
  • Customs bonds - These bonds are required by law. Principals under these bonds are typically importers or exporters of articles subject to import or other charges and taxes, custom brokers, or proprietors of warehouses licensed by the U.S. Custom Service.

Commercial Surety Bonds Summary

  • Relationships with leadership at all major surety companies
  • Expertise in both commercial and contract surety
  • Track record of improving terms and conditions for our clients

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