Bid and Performance Bonds

Bid and Performance Bonds

As a Contractor working on larger development projects and / or municipal projects your success depends on having a working relationship with a Broker that will take your requests seriously.  We do!

We work with a variety of Surety carriers and each carrier has many similarities and several differences when issuing bid and performance bonds.

Here are a few examples of where the bond markets vary. The topic is according to our experience with several carriers.

  1. Size of the bond – many carriers have a “fast approval” process to qualified businesses depending on the size / amount of the bond.  Here are the tiers we are seeing on smaller bond “ranges”
    1. a – $250,000 or less
    2. b – $400,000 or less ($800,000 aggregate)
  2. Credit Rating – The credit rating criteria can vary. For some Surety carriers they want stellar credit. For others they have a range they will consider. And yet with others they will consider those without the best credit rating.  Of course there are other factors also but keep in mind that with this range of credit acceptance there is a relationship with the rate of the bonds.
  3. For all of the Surety carriers there is no price provided until an application is completed. Many time we have Contractors trying to get a price without completing an application.  It’s not done. It would be like someone asking for you to give them a price on a home without a set of plans and amenities that will go with the project including all other factors that go along with construction.
  4. Maximum Capacity – currently over $754,000,000 at present*
  5. Limited Non-CPA capacity up to $1,250,000 if qualifed**

We are Athena Insurance and Financial Services an Independent Insurance Broker with our home office located at:

Athena Insurance and Financial Services
13773 Eaton Road
PO Box 390
Pine Grove CA 95665

For inquires please contact us by phone (209) 223-1870 or this contact form.



*This will vary from time to time

** Agent Use