A Surety Bond guarantees the performance of the Principal’s contractual or legal obligations to the Obligee, up to the bond amount. Surety is a risk-transfer instrument designed to protect the Obligee by preserving its position in the event the Principal fails to perform.

Surety Bonds are commonly used to support technical and performance-related obligations connected to the execution of works, services, or supplies.

It is important to note that a Surety Bond is not intended to cover the payment of invoices and is not a tool to secure purely financial commitments, such as loan repayment.

Preservation of credit capacity

Surety Bonds do not consume bank credit lines in the same way as bank guarantees, helping the Principal preserve borrowing capacity and optimize capital structure.

Relief from cash flow pressures

Surety bonds can provide immediate relief from cash flow pressures. Whether through tax deferrals or replacing bank guarantees with surety bonds, these instruments free up credit capacity for the Principal’s working capital needs.

Greater diversification and financial capacity

The diversification of insurance companies provides greater financial capacity to Principals. This translates into the release of credit lines at banks, which in turn strengthens the Principal’s financial position and their ability to take on new investment opportunities or projects.

Speed and flexibility

At Get Involved, we are committed to offering flexibility and rapid response to our brokers and clients. As we are an underwriting agency specializing in surety bonds, we are able to adapt to the specific needs of each client. We offer tailor-made solutions to meet the individual requirements of each project or situation.

Surety Bonds vary depending on the obligation being guaranteed. At Get Involved, we offer the following guarantees:

• Definitive
• Provisional
• Environmental Restoration
• Renewable
• Tax Deferral
• Customs
• Legal
• Temporary Employment Agencies (ETT)
• Security Companies
• Between Private Companies
• Amount Guarantees
• Other types of guarantees

Companies that participate in public or private tenders often need surety insurance to guarantee the fulfillment of their obligations. Companies that receive advance payments or have to comply with specific obligations, such as the proper execution of a project, may also need it.

The requirements for obtaining a Surety Bond vary depending on the insurance company, but generally the following is requested:

• Information about the company and its financial statements.
• Information about the contract to be guaranteed.
• Additional guarantees or collateral.

If you would like to understand the underwriting requirements to place Surety Bonds with Get Involved, please contact our team.