…where insurance works

…where insurance works

Bond & Suretyship

This is a very specialized class of insurance business. This is usually referred to as guarantee rather than the conventional insurance Policy.

Bond is a form of guarantee given by one party called the surety (insurer) that he should be held liable by another party called employer/creditor principal as the case may be in the event of yet another party’s (called Contractor/Borrower) failure to fulfill or abide by the terms and conditions of the said contract or agreement.

There are basically five types of bonds, they include:

  • Performance Bond
  • Advance payment Bond
  • Bid/tender Bond
  • Custom Bond
  • Credit Bond

 

The requirements necessary for bond are:

  • Completion of a Proposal Form
  • Submission of three years audited report or tax for individuals
  • Certificate of incorporation (for corporate bodies)
  • Article and Memorandum of Association
  • Letter of Award of Contract
  • Evidence of Previous Performance
  • Non-refundable Cash Premium
  • Execution of Corporate/Personal Indemnity

The new Anchor Insurance Company Limited sees her customers and clients as reason they are in business which makes customer satisfaction a priority in the company. The Anchor Insurance Company’s promise is “All stakeholders will surely enjoy a pleasant experience”.