Tony Ham Insurance Brokers Limited

SURETY (Bonds)

What is Surety?
Surety has been used since pre-Roman times to reduce the risk inherent in business deals. It comes under a number of different names, but all have the same purpose, to provide a third party guarantee for the successful completion of a contract or selected financial transactions.

How does it work?
A Surety company may agree to provide a Bond to a company (the contractor) who has entered into a contract to provide goods or services to a second party (the Principal). This bond acts as a guarantee that if the contractor fails to fulfil its obligations under the contract then the surety will either ensure that the contract is completed by another party, or that it will pay up to the guaranteed sum.

What role does THIBL play?
As an expert broker we fulfil four roles:

We review the market and locate the most suitable surety companies for the Bond.
We work with the contractor to develop their presentation to the surety company, increasing the likelihood of gaining a Bond on competitive terms
We can develop with the Principal an acceptable wording of the Bond itself.
We can arrange facility terms under which future Bonds will be issued over an agreed period.

Why THIBL?
Due to our expertise and connections in this niche area we have been able to provide individually developed surety facilities for companies in the UK, their overseas subsidiaries and international companies. Our independence (we are not tied to any insurance company) allows us to review the market for the best solutions for our clients and we can react quickly to our customers’ needs.

To enable us to assist you in providing a bond we will initially need some financial information, wording required and contract summary.

Please contact surety@thibl.co.uk if you have any specific needs.

To enable us toi assist you in providing a bond we will initally need some financial information, wording required and a contract summary.




"New business brings new risks"	SURETY (Bonds) What is Surety? Surety has been used since pre-Roman times to reduce the risk inherent in business deals. It comes under a number of different names, but all have the same purpose, to provide a third party guarantee for the successful completion of a contract or selected financial transactions. How does it work? A Surety company may agree to provide a Bond to a company (the contractor) who has entered into a contract to provide goods or services to a second party (the Principal). This bond acts as a guarantee that if the contractor fails to fulfil its obligations under the contract then the surety will either ensure that the contract is completed by another party, or that it will pay up to the guaranteed sum. What role does THIBL play? As an expert broker we fulfil four roles: We review the market and locate the most suitable surety companies for the Bond. We work with the contractor to develop their presentation to the surety company, increasing the likelihood of gaining a Bond on competitive terms We can develop with the Principal an acceptable wording of the Bond itself. We can arrange facility terms under which future Bonds will be issued over an agreed period. Why THIBL? Due to our expertise and connections in this niche area we have been able to provide individually developed surety facilities for companies in the UK, their overseas subsidiaries and international companies. Our independence (we are not tied to any insurance company) allows us to review the market for the best solutions for our clients and we can react quickly to our customers’ needs. To enable us to assist you in providing a bond we will initially need some financial information, wording required and contract summary. Please contact surety@thibl.co.uk if you have any specific needs. To enable us toi assist you in providing a bond we will initally need some financial information, wording required and a contract summary.


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