COMMERCIAL BONDS

COMMERCIAL BONDS

A commercial bond is a surety bond that guarantees compliance with a law, regulation, or fiduciary duty — rather than an obligation connected to a contract, court order, or professional license. The bonded individual or business is the principal, the government agency or other party requiring the bond is the obligee, and the surety backs the principal’s bonded obligation up to the bond’s terms and limit.

American Surety Bonds Agency underwrites commercial bonds for plan fiduciaries, freight brokers, service-based businesses, and businesses in regulated industries — including ERISA Bonds, Freight Broker Bonds, Dishonesty/Business Services Bonds, TTB Bonds, and Utility Deposit Bonds.

Each bond type has its own requirements, underwriting factors, and application. Select the bond that matches your situation below for details and to apply.

If you already know your bond type, select it below. If you’re not sure, here’s a quick guide based on your situation:

• Running a service-based business and want to bond employees who work in clients’ homes or businesses → Dishonesty/Business Services Bond
• Handle funds or property of an employee benefit plan → ERISA Bond
• Operating as a licensed freight broker arranging transportation → Freight Broker Bond
• Producing, importing, processing, or dealing in alcohol or tobacco products → TTB Bond
• Need an alternative to a cash security deposit with a utility company → Utility Deposit Bond

The applicable statute, regulation, or obligee requirement controls the exact bond form and amount. If your requirement is unclear, send us the bond form or the statute, regulation, or notice you received, and we’ll help identify the right application.

These bonds are underwritten individually. Depending on the bond type, the surety may evaluate:

• The bond form, bond amount, and applicable statute or regulation
• The value of funds, property, or tax obligation involved
• The applicant’s business or professional experience
• Business and personal credit history
• Business and personal financial strength, including net worth, liquidity, and available assets
• Prior bond or claim history, when applicable

Additional information may be required for higher bond amounts or specialized industries.

Commercial bonds are individually underwritten. Premium depends on the bond type and amount, the applicant’s experience and financial profile, and the surety program used. Some qualifying accounts may receive rates starting below 1%, while others may see higher rates.

Contact us for a quote based on the bond form and your specific situation.

Each bond type has its own application and underwriting requirements. Select your specific bond type below, then use that bond’s own page to apply. Because availability and application steps vary by state and by bond type in this category, our underwriting team will confirm the right path for your situation, review your application and supporting documents, and work with you to finalize your bond.

Guarantees that a bonded business will reimburse a client for covered loss caused by theft, dishonesty, or fraud committed by its employees while performing services on the client’s property. It is commonly used by cleaning, home care, and other service-based businesses to reassure clients their employees are bonded.

Guarantees that a plan fiduciary or another person who handles funds or property of an employee benefit plan complies with the bonding requirement under ERISA Section 412. It protects the plan and its participants from covered loss caused by fraud or dishonesty.

Instant Issue availability and the application link vary by state — see the sub-page for details, or contact us directly.

Guarantees that a licensed freight broker meets its payment obligations to motor carriers and shippers under its BMC-84 bond, required by the FMCSA in the amount of $75,000. It protects motor carriers and shippers from covered loss if the broker fails to pay as required.

Serves as an alternative to a cash security deposit with a utility company, guaranteeing payment if a customer’s utility account becomes delinquent. It protects the utility company from covered loss up to the bond’s limit.

Contact American Surety Bonds Agency toll-free at (877) 201-8976 or our Atlanta office at (404) 486-2355. Our team can help identify the bond requirement, select the appropriate application, and explain the underwriting process.