Surety Bond Insurance — Policy Feature Checklist

Surety Bond Policy Feature Checklist

What to confirm in a surety bond policy — what's standard, what's often limited, and what to add if needed — plus the gap most often missed.

Pull out your current bond program and check the box next to each feature you can confirm it includes — anything unchecked is worth a quick conversation with your advisor.

Standard should be included · Often limited frequently sublimited or excluded · If needed depends on your operations

Tick each feature you can confirm your policy includes — anything left unticked is a good question for your next policy review.

Confirm?Policy featureWhat to confirmPriority
Bond Form Matches the ObligationConfirm the bond wording matches the contract, license, or court requirement exactly.Standard
Single-Job & Aggregate LimitsConfirm the bonding program fits your largest bid and total backlog.Standard
Indemnity Agreement UnderstoodOwners (and sometimes spouses) personally repay the surety — review before signing.Standard
Current CPA Financial Statements on FileSureties set capacity from them — reviewed or audited statements support larger programs.Often limited
Bid Bond Consent of SuretyConfirms the surety will issue performance and payment bonds if the bid wins.If needed
License & Permit Bonds Renewed on TimeLapsed license bonds can suspend a license — track every renewal date.If needed

The gap most often missed in this coverage

The most commonly missed point about surety is that bonds are not insurance. When a surety pays a claim, it recovers the loss from the business and the owners who signed the indemnity agreement. Contractors should keep CPA financial statements and work-in-progress schedules current, understand the indemnity before signing, and track every license bond renewal.

Not sure you have everything on this list?

Send us the checklist and we'll review your surety bond coverage line by line, then market it across multiple carriers that compete for your account.

Frequently asked questions

What should a surety bond policy include?

Standard features to confirm in a surety bond policy include Bond Form Matches the Obligation, Single-Job & Aggregate Limits, Indemnity Agreement Understood. This checklist also flags the features that are often limited or sublimited and the ones to add if needed, with a plain-English note on each.

Is this checklist insurance advice?

No. It is a free educational tool to help you have a more informed conversation with a licensed professional. It affords no coverage and is not insurance, legal, or financial advice — only your actual policy language governs what is and isn't covered.

Can Cory Washington & Co. review my surety bond coverage?

Yes. Share your checklist and we'll review your program line by line, market your account across multiple carriers, and explain the trade-offs in plain English. Cory Washington & Co. LLC is licensed in all 50 states.

This checklist is a free educational tool from Cory Washington & Co. to help you review your own coverage and have a more informed conversation with a licensed insurance professional. It is general information only — not insurance, legal, or financial advice, and not a recommendation to buy, change, or cancel any policy. Coverage terms, availability, limits, and requirements vary by policy, carrier, and state, and only the language in your actual policy governs what is and isn’t covered. Checking or leaving blank any item above does not indicate that you are adequately insured or under-insured. Using this checklist does not create a client, agency, or fiduciary relationship. Always consult a licensed professional about your specific situation.

Protect What You’ve Built

When everything you’ve built is on the line, a quote isn’t enough. Tell us about your business and receive a considered assessment — not a form letter.