Contractors Bonding | Definition Surety Bond

We Help Fulfill Surety Bond Requirments

for Business Owners & Contractors

With 5 licensed agents committed to offering the best in personalized customer care, LB Bonds & Insurance can fulfill your individual surety bond needs.


Surety Bonds

The owners of LB Bonds and Insurance have all been contractors at one time or another. We have all purchased bonds from an insurance broker and understand the importance of the relationship between a contractor and its’ surety. With this unparalleled experience in both construction and brokerage, we use our insider knowledge of how sureties evaluate your management, organizational structure and financial position to negotiate and work closely with underwriters to secure the best possible terms and conditions for your surety program.

Along with offering the full array of Bid, Performance/Payment and Commercial Surety Bonds, LB Bonds possesses powers of attorney with all major sureties to expedite the transaction process.

What are Surety Bonds?

Surety bonds guarantee that specific tasks are fulfilled by bringing together three parties in a mutual, legally-binding contract.

Why Do I Need a Surety Bond?

As a business owner, you may need a surety bond to guarantee payment for state sales taxes or utility bills. Or as a contractor, you may need to post a license or permit bond to guarantee your work for licensing requirements with municipalities. Attorneys may have clients that are required to post court bonds such as administrators or executor bonds to guarantee their performance while distributing assets in estate situations. Notary publics are required to post bonds in most states.

How Does a Surety Bond Work?

The principal is the individual or business that purchases the bond to guarantee future work performance. The obligee is the entity that requires the bond. Obligees are typically government agencies working to regulate industries and reduce the likelihood of financial loss. The surety is the insurance company that backs the bond. The surety provides a line of credit in case the principal fails to fulfill the task.

The obligee can make a claim to recover losses if the principal does fail to fulfill the task. If the claim is valid, the insurance company will pay reparation that cannot exceed the bond amount. The underwriters will then expect the principal to reimburse them for any claims paid.

Commercial bonds cover obligations typically required by law, statute or regulation. Types of Commercial Bonds commonly written by LB Bonds include:

• Adjuster Bonds

• Agricultural Dealers Bond

• Court Bonds

• Customs Bonds

• Employee Dishonesty Bonds

• Fidelity Bonds

• Franchise Dealer Bonds

• License & Permit Bonds

• Miscellaneous Bonds

• Motor Vehicle Dealer Bonds

• Reclamation Bonds

• Recreational Vehicle Dealer Bonds

• Warehouse Bonds

Services We Offer

Surety Consulting Services

• Financial statement analysis, work-in-process schedules, cash flow with feedback

• Bid/contract specifications and bond form reviews

• Financial planning to maximize bond support

• Introductions and referrals to CPAs, attorneys, bankers and potential JV partners

• GC-CM, subcontractor, project owner prequalification

• Annual review of premium rates, capacity needs, and indemnity

• Sub-guard options

Industry Types

The following are just a few of the industry types that we service:

• Condominium Associations

• Developers

• Contractors

• Financial Services Industry

• Hazardous Materials and Waste

• Healthcare

• Manufacturing

• Oil & Gas

• Property Managers

• Restaurants

• Retail Industry

• Service Contractors

• Subcontractors

• Wholesalers, Suppliers, Distributors

Let’s start with a conversation.

Contact one of our dedicated agents about how we can help your business!

Our Results Speak for Themselves

Check out examples of what our clients are staying about our services.

“We’ve been a client at LB Bonds & Insurance for many years. We appreciate the courtesy and expertise from your team of dedicated agents. We would not hesitate to refer anyone looking for insurance and surety bond services to LB Bonds.”

~ Clare Burdick, Stern Construction

The Work That Sets Us Apart

Here is a preview of just a couple of our client case studies, click the button to read more.

Welcome to the New

We are proud to announce our new website. On top of the new look…

Get To Know Us

Insurance and Surety is as important to us as it is to you. We want to you to know who is handling your policies.

Mike Loewke


Jim Loewke

Chief Operating Officer

Mike Vogt


Marie Loewke


Reach Out to Us

1 + 1 = ?

Copyright © 2018 - LB Bonds & Insurance | Website Design by Renoun Creative