Michigan Deferred Payment | $50,000 Deferred Payment Surety Bond

Also known as: deferred payment bond

Type of Bond

A deferred payment bond is a type of surety bond used in the construction industry to provide financial protection to project owners. It guarantees that the contractor will fulfill their payment obligations to subcontractors, suppliers, and other parties involved in the project. The purpose of a deferred payment bond is to ensure that subcontractors and suppliers are paid for their work and materials, even if the contractor fails to make the necessary payments. It acts as a safeguard against non-payment or financial default by the contractor. If the contractor defaults on their payment obligations, subcontractors or suppliers can make a claim against the bond to seek compensation for the amounts owed to them. The bond issuer then steps in to fulfill the payment obligations on behalf of the contractor, ensuring that the affected parties receive their due payment. The specific requirements and terms of deferred payment bonds can vary depending on the construction project and the agreements between the parties involved. Typically, the bond amount is a percentage of the contract value or the value of the subcontractors' work. Deferred payment bonds provide reassurance to subcontractors and suppliers, giving them confidence that they will receive timely and full payment for their contributions to the construction project. They contribute to the smooth flow of funds within the construction industry and help mitigate financial risks for all involved parties.


Program

The price you'll pay for your $50,000 Deferred Payment Bond is generally based on your personal credit score. Start a free online quote by just completing a simple app or by calling 888-518-8011. Our experts will walk you through a very simple process. Compare our quote as the very lowest price, and then you're good to go! It's that simple!

We provide all types of $50,000 Deferred Payment Bonds. Worldwide Insurance Specialists, Inc. has "in house" underwriting authority with the largest and best Surety (Insurance) companies in the world including, Great American, Liberty Mutual, Philadelphia, Travelers, and CNA Surety. All of these surety bond companies are A-rated under the AM Best credit rating system, and T-listed with the U.S. Department of Treasury. This guarantees that by getting bonded through us, you will be provided the backing of these highly trustworthy and reliable companies.


Application

The application process for a $50,000 Deferred Payment Bonds is easy! Many Bonds are INSTANT ISSUE! Easy Application, no underwriting, no credit check, no GIA required. Our NEW Desktop underwriting program provides you with a rapid approval process used to determine the degree of risk that you (the Principle) complete a project or obligation. Non-INSTANT ISSUE quotes can also get instantly approved. Submissions require very little information from you. Once you file and sign an indemnity agreement, we issue the Bond. It's that simple! We quote and issue Surety Bonds of every type and will help you through the entire process. These applications only require basic information about your business, bond type, and ownership structure. Once the application is complete, we submit to the insurance company (Surety) who will then issue your bond. Don't pay too much! Get your Bond Fast, and Easy with the best price! Click here to start the Deferred Payment Bond Application process.

The Michigan Deferred Payment Bond amount is currently set at  $50,000.

Obligee Information

An obligee is the entity that is requiring you to have the Deferred Payment bond.

Obligee: People Of The State Of Michigan