Bosworth & Associates 1818 W SW Loop 323 Tyler, TX 75701
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A surety bond gets lumped in with insurance a lot, but it’s not really the same thing.
It’s more of a guarantee.
You’re basically saying, “I’m going to follow through on this obligation,” and the bond backs that up
There are three parts to it:
If something goes wrong and the terms aren’t met, the surety can step in. But ultimately, the responsibility still falls back on the principal.
In Texas, these are required all over the place. Licensing, permits, construction projects. It just depends on what you’re doing.
We write a wide range of East Texas surety bonds, from construction-related bonds to licensing and compliance bonds. Some are one-time. Some are ongoing. It just depends on what you need them for.
If you’re in construction, you’ve probably already run into these.
Bid Bond
This comes up during the bidding process. It shows you’re serious and financially capable of taking on the project if you’re awarded it.
Performance Bond
This guarantees the work actually gets completed according to the contract.
Payment Bond
This protects subcontractors and suppliers, making sure they get paid.
If you’re bidding on public jobs or larger private work, these are usually part of the deal. Contractors working on these projects often need builders risk insurance alongside their bond, we can handle both.
A lot of contractors need a contractor license bond just to operate legally.
This can be tied to:
And the details can change depending on where you’re working. What Tyler requires isn’t always identical to what another city expects.
That’s usually where people get tripped up.
These are for businesses that need to meet certain requirements to operate.
Some common ones:
If a state agency or city is asking for a bond before you can move forward, it’s probably in this category.
Professionals in lending and financial services are often required to carry a bond through the OCCC or NMLS.
This includes:
Bond amounts typically scale with volume and license type.
This category can also include ERISA bonds, which are required for certain retirement plan fiduciaries to protect plan assets. Many of these professionals also carry professional liability insurance. Ask us about both when you reach out.
This is the one that actually does function more like protection for your business.
A fidelity bond covers losses tied to employee theft or dishonesty.
It’s especially common for businesses where employees:
Businesses in these positions often look at employer protection coverage alongside fidelity coverage. Janitorial services, home health providers, and staffing companies often carry these as a baseline safeguard.
You’ll usually see surety bonds come up for:
If someone is requiring it, there’s usually a very specific bond tied to it. Getting the wrong one or the wrong amount can slow everything down. Businesses that need licensing through a state or city often have business insurance needs we can address at the same time.
There’s no shortage of places online to “get a bond,” but most of them don’t help much if something is unclear or doesn’t fit neatly into a form.
Bosworth & Associates works differently.
If something is off, we catch it early instead of letting it turn into a problem later.
If you’ve been told you need a bond, the next step is just getting it handled so you can move forward.
We’ll walk through what’s required, get the information we need, and put together a quote that actually makes sense for your situation.
Reach out to get started. Whether it’s a bid bond in Texas, a license bond, or something more specific, we’ll help you get it in place without dragging it out.
Insurance protects you. A surety bond protects the party requiring the bond and guarantees your obligation to them.
Most bond premiums fall between 1% and 15% of the total bond amount. For example, a $10,000 contractor license bond might cost around $100 to $500 per year, depending on credit and underwriting. For accurate pricing, it’s best to request a quote.
Some bonds can be issued the same day. Others, especially larger or more complex bonds, may take longer depending on underwriting requirements.
In many cases, yes. Requirements vary by city and license type, so it’s important to confirm what applies to your specific situation.
Yes, but pricing will usually be higher. There are still options available depending on the bond type.
Yes. We work with businesses and professionals throughout East Texas.
