Insurance Bonds

At Dixons Commercial Insurance Brokers, we understand that certain contracts and obligations require more than just trust—they need assurance. That’s where insurance bonds come in. Whether you’re a contractor, business owner, or individual, insurance bonds are designed to provide a financial guarantee that commitments will be fulfilled, offering peace of mind to all parties involved.

What Are Insurance Bonds?

Insurance bonds, also known as surety bonds, are legal agreements between three parties:

• The Principal: The party who needs the bond (e.g., a contractor or business owner).
• The Beneficiary: The party requiring the bond (e.g., a developer or client).
• The Surety: The insurance company that issues the bond and guarantees the principal’s performance.

If the principal fails to meet their obligations, the surety compensates the beneficiary, ensuring that commitments are honored.

Types of Insurance Bonds We Offer

We provide a wide range of insurance bonds tailored to various industries and needs, including:

1. Performance Bonds

A Surety Bond often requested as part of a JCT or NEC Contract to protect against the Contractors default. Performance Bonds: A Surety Bond often requested as part of a JCT or NEC Contract to protect against the Contractors default.

2. S104 utilities bond

An S104 utilities bond refers to a type of bond required by local government authorities in some jurisdictions, typically in the context of construction or development projects. It is often associated with the S104 agreement, which is a section in the Water Industry Act 1991 in the UK

Key Features of an S104 Utilities Bond:

1. Security for Completion: The S104 bond acts as a financial guarantee that the developer will complete the required water or sewage infrastructure to the satisfaction of the utility provider. If the developer fails to complete the work as per the agreement, the bond ensures that the utility provider can use the bond to fund the completion or repair of the work.
2. Amount of the Bond: The bond amount is typically based on the value of the infrastructure work to be completed, and is agreed upon as part of the S104 agreement.
3. Release of the Bond: Once the developer successfully completes the infrastructure work and it is approved by the relevant authorities (such as the local water or sewerage company), the bond can be released.

3. Payment Bonds

A Surety Bond which protects any advanced amount of money in a contract often for the purchase of materials.

4. Insurance Back Guarantees

Protect your clients with a 10 year Insurance Back Guarantee which will step in should the contractor no longer be trading.

5. Maintenance Bonds

Cover the cost of correcting defects or issues after a project’s completion.

6. Latent Defects

An Insurance that covers repairs to properties as a result of faulty design, workmanship, defects or material problems in new build and renovations.

7. JCT Contract Specific Insurance

Tailored quotations for both JCT or NEC insurance clauses. Such as 6.5.1 or other specified works covers.

Why Choose Dixons for Insurance Bonds?

With over 20 years of expertise in the insurance industry, we have the knowledge and resources to help you navigate the complexities of insurance bonds. Here’s why businesses trust us:

• Tailored Solutions: We work closely with you to understand your specific requirements and recommend the right bond solutions.
• Competitive Rates: Our extensive network allows us to secure cost-effective options for your bonding needs.
• Fast and Efficient: We’re committed to providing quick approvals and minimal paperwork, so you can focus on your business.
• Expert Advice: Our team is here to guide you every step of the way, ensuring a seamless experience.

Get Started Today

At Dixons Commercial Insurance Brokers, we’re here to support your business with reliable and affordable insurance bond solutions. Contact us today to discuss your needs or visit our booking page to schedule a appointment.

Let us provide the assurance you need to move forward with confidence.