Surety Bond Services in Houston

Houston’s Trusted Bonding Company

As a leading bonding company, Bowen, Miclette & Britt understands that securing the right surety bond program is critical to your success. When you’re looking for a bonding company you can trust, our 95% client retention rate speaks for itself.

That’s why our goal is to develop a personal relationship with each client- to understand your business from top to bottom. With this partnership, we apply our knowledge and skill to help improve your operations. Our in-depth knowledge of how sureties evaluate your business and management puts us in a position to be able to negotiate with underwriters in order to secure the best possible terms and conditions for your surety program.

Your Surety Questions, Answered

How Does A Surety Bond Work?

Think of a surety bond as a three-party guarantee that ensures a promise is kept. Every surety bond involves three key players:

1. The Principal: This is you or your business—the one purchasing the bond and promising to fulfill a specific contractual or legal obligation.
2. The Obligee: This is the entity that requires you to have the bond for protection. It’s often a government agency, project owner, or court.
3. The Surety: This is the insurance company (like BMB) that issues the bond. The surety financially guarantees to the obligee that the principal will fulfill their obligation.

If the principal fails to meet their obligation (for example, a contractor doesn’t finish a project), the obligee can file a claim against the bond. The surety will then investigate, and if the claim is valid, will cover the losses up to the full bond amount.

It’s important to remember that a surety bond is not traditional insurance. If the surety pays a claim, the principal is ultimately responsible for reimbursing the surety for the amount paid.

How To Get A Surety Bond?

Getting the right surety bond can seem complex, but our experts are here to guide you through a straightforward process. Here are the typical steps:

1. Application: You’ll start by completing an application. This will include details about your business, your financial history, and the specific type and amount of the bond you need.
2. Underwriting: Once your application is submitted, our team works with surety underwriters to assess the risk. This involves reviewing your credit history, financials, and overall experience to determine your qualifications.
3. Receive Your Quote: After the underwriting review, we will present you with a firm, no-obligation quote for your bond premium.
4. Sign and Pay: If you choose to accept the quote, you will sign an indemnity agreement (your formal promise to the surety) and pay the premium.
5. Bond Issuance: Once the paperwork is complete and the premium is paid, your surety bond is officially issued and delivered to you, ready to be presented to the oblige.

How Much Does a Surety Bond Cost?

One of the most common questions we get is about cost. It’s important to know that you do not pay the full amount of the bond. Instead, you pay a premium, which is a small percentage of the total bond amount.

The exact premium you’ll pay depends on several factors, making it unique to your situation:

• The Type of Bond: Different bonds carry different levels of risk. A simple license and permit bond will typically have a lower premium than a complex construction performance bond.
• The Bond Amount: The total coverage amount required will directly influence the premium.
• Your Credit and Financial History: This is the most significant factor. Applicants with a strong financial history and good credit are seen as lower risk and qualify for lower premium rates, often between 0.5% and 3% of the bond amount. Applicants with credit challenges may see higher rates.

Because your rate is personalized, the only way to know your exact cost is to get a quote. Our team can provide you with a no-obligation quote that reflects your specific qualifications and needs.

Why Partner With BMB for Your Bonding Needs?

Choosing a surety bond company is about more than just a transaction; it’s about partnership. At BMB, we believe our 95% client retention rate speaks for itself. Here’s why our clients choose to stay with us year after year:

1. We Are Your Advocate We don’t just find you a bond; we represent you. Our team has in-depth knowledge of how surety underwriters evaluate your business. We leverage this expertise to negotiate on your behalf, ensuring we secure the most favorable terms and the maximum bonding capacity possible for your company.

2. A Relationship Built on Your Success Your goals are our goals. We develop a personal relationship with every client to understand your business from the inside out. This allows us to provide strategic advice on everything from financial planning to business continuity, helping you not only meet your current bonding needs but also plan for future growth.

3. Nationwide Power with a Personal Touch We offer a complete range of contract, commercial, and specialty bonds in all 50 states, giving you the nationwide reach you require. But unlike large, impersonal institutions, we deliver this service with the dedicated, one-on-one attention of a trusted partner who is committed to your success.