BONDS
Bonds

Bond Insurance 
for Odessa, Midland, TX & the Surrounding Areas

Explore Modern Bond Insurance

Also know as financial guaranty insurance, this is where the insurance company guarantees scheduled interest and principal payments on a bond or other security in cases where the issuer of the bond or security defaults on the payment. The issuer is also given a premium by the owner of the security as compensation. Although the financial crisis of 2008 put a lot of bond insurers out of business, they are still available through highly rated providers.

Surety Bonds

Surety bonds are a promise by a surety company to pay a first party if a second party fails to meet its obligations. This is a contract between three parties—the principal, the surety and the obligee. The surety financially guarantees to an obligee that the principal will act in accordance with the terms established by the bond.

Surety bonds play a major role in countless industries across America. Some of the most utilized surety bonds fall into one of four major categories: license & permit, construction bonds, commercial bonds and court bonds. Surety bonds are typically required for contractors who seek to work on government contracts and re also required for persons and companies that are licensed by a governmental entity.

Fidelity Bonds

Fidelity bonds provide protection from theft, misconduct, or fraud on the part of the company's employees. This provides protection for both the customer and the business, often considered a viable supplement to business insurance. 

For example, if an employee is providing a service in a customer's home and chooses to steal something, a fidelity bond can be used to cover the cost accrued from the employee's misconduct. In addition, the company itself is not held directly liable for the damages or theft caused by the employee. While fidelity bonds are primarily protection for the customer, it can benefit companies as well by protecting them from unwanted behavior from their employees.

Learn More About the Benefits of Our Affordable Bond Insurance

Bonds can be used in many ways, from basic uses to more advanced applications. Using bonds is an excellent way to balance and diversify your portfolio, and they are beneficial for multiple reasons.


Minimize Risk: Because bond insurance certifies that your company will fulfill its terms of the contract, both you and your customer are protected if you have this type of coverage - even if there are unexpected issues.


Gain Credibility: Customers appreciate businesses that take steps to protect their clients; purchasing bonds makes you more likely to book customers over time, improving your reputation if you continue to deliver.



Grow Your Business: Since you're providing a reliable and risk-free opportunity for customers to take advantage of your services, you stand to acquire repeat and additional business through word of mouth as you grow your reputation. Bonds give you the chance to easily bring in new business.

Call Today to Get a Sense of Our Bond Insurance Options

If you’re thinking about a bond insurance policy and you’re a resident of the Midland or Odessa, TX area, Vickers Insurance can help you. In general, bond insurance can reduce borrowing costs for the issuer, as investors are usually willing to accept a lower interest rate in exchange for the credit boost the bond insurance provides. However, there is plenty to navigate through when it comes to the world of bond insurance, so let the team of certified agents at Vickers Insurance help you.


For more information about the benefits of bond insurance and to request a quote, please feel free to contact our insurance agency today!

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