NORTH CAROLINA'S ONLINE RESOURCE FOR NC SURETY BONDS

If you’re looking for information about North Carolina surety bonds or simply looking to get a quote for surety bonds in North Carolina, you’ve come to the right place.

Click a section below for more information.

NC SURETY BONDS - WHAT IS A SURETY BOND?

NC Surety Bonds are contracts guaranteeing that specific obligations will be fulfilled.  That obligation may involve meeting certain contractual commitments, paying a debt or performing certain duties.  A North Carolina Surety Bond has three (3) parties:

  • Principal – The party who has initially agreed to fulfill the obligation which is the subject of the bond (also known as the Obligor).
  • Obligee – The person or organization protected by the bond.
  • Guarantor or Surety – The Insurance company issuing the bond.

Under the terms of a North Carolina Surety Bond, one party (Guarantor or Surety) becomes answerable to a third party (Obligee) for the acts or non-performance of a second party (Principal).

NC SURETY BONDS - COMMON BOND TYPES

Bid Bonds: Bond which guarantees that the successful bidder on a contract will enter into the contract and furnish the required payment and performance bonds.

Payment Bonds: Bond which guarantees payment from the contractor of money to persons who furnish labor, materials, equipment, and/or supplies for use in the performance of the contract.

Performance Bonds: Bond which guarantees that the contractor will perform the contract in accordance with its terms.

NC Auto Dealer Bonds: This is a requirement for any person or business who wished to establish and operate an Auto Dealership.

Permit Bonds: These are bonds often required in the construction industry to open building permits.

Employee Dishonesty Bonds: These bonds are meant to protect you (the business owner) from dishonest acts of your employees (such as theft)

NC SURETY BONDS - ERISA BONDS

This is a type of bond (as discussed above) but requires its own heading.

Why Do I Need An ERISA Bond?

The 1974 Employee Retirement Income Security Act (ERISA) was enacted by Congress to regulate employee benefit plans.  This Act mandated that every fiduciary responsible for managing a benefit plan, and/or every individual who handles the assets of such a plan, be covered by a fidelity bond to help protect the plan’s assets from fraudulent activity.

What Size Bond Do I Need?

Generally speaking (please check with your attorney for exact requirements), the face amount of the bond must not be less than 10% of the funds handled, but not less than $1,000 nor more than $500,000.

NC SURETY BOND QUOTE REQUEST (BY CITY)