The Surety Insurance, is a guarantee contract by means of which, the fulfillment of the obligations established in a contract is ensured, covering the losses that result in case of a breach of contract.
By means of a Surety Insurance, the payment of the resulting damages is guaranteed, through the penalty established in the policy. The payment will be made after 30 days, once the required documents are presented.
There are 3 main parts in the Surety Insurance:
- Insured: Beneficiary of the Insurance.
- Insurer: Company that issues the Insurance and supports the fulfillment of the contract.
- Policyholder: Responsible for fulfilling the obligation as stipulated in the contract.
Why is it important to take out Surety Insurance? We give you 8 reasons!
- It provides guarantee and tranquility to Physical and Moral People during the signing of a contract.
- It does not require a solidary obligation for hiring, unlike the Bail Bonds.
- Ensures that the obligations established in a contract will be carried out.
- In case of breach of contract, the losses will be covered by the Company.
- Being a guarantee instrument, it prevents and avoids losses for the Insured.
- In case of non-compliance, the payment of compensation will be made in just 30 days.
- The Surety, can only be issued by Underwriters Surety and Bonding, through intermediaries, which guarantees its validity.
- It does not imply great economic losses since with the payment of the premium it is enough to have the coverage.
Do you want to know more about this guarantee instrument that will play a very important role in the economy of our country? Contact us, our consultants will gladly give you more information about the Insurance of Caution!