Washington Surety Bonds

  • Home
  • Washington Surety Bonds

Surety Bond Professionals is a family-owned and operated bonding agency with over 30 years of experience. With access to a broad range of surety markets, our expert agents are ready to assist with all of your Washington surety bond needs.

Required Surety Bonds in Washington

Typical Washington bonds include (click on any for more info):

WordPress Tables Plugin

Don’t see the bond you need listed? Get in touch and let our experts help!

Required Surety Bonds in Washington

Every Washington surety bond can be categorized as a construction and contractor bonds, license and permit bonds, or court bond.

Washington Construction & Contractor Bonds

Washington’s “Little Miller Act” requires performance and payment bonds for the full contract amount of any state-funded project valued over $35,000. This bonding requirement may also exist at the local level for public works projects funded by counties or municipalities.

Washington License & Permit Bonds

The Washington State Department of Licensing issues licenses for dozens of different occupations and types of businesses. Other state-level departments and agencies also issue various types of professional and occupational licenses. Purchasing a license and permit bond is often a mandatory step in the licensing process, as is the case with collection agencies, travel agencies, motor vehicle dealers, and construction contractors.

Washington Court Bonds

Any court in the state of Washington can order someone with business before the court to purchase a surety bond—specifically, an appeal bond or a probate bond. An appeal bond may be required from parties appealing a court decision, particularly if the case involves contested property or a large damages award. A probate bond, sometimes called a fiduciary bond, may be required from parties named to manage another person’s finances, such as the executor of a deceased person’s estate or a custodian for an incapacitated adult.

Get A Quote

You can count on our experts to help you get any type of Washington surety bond at a competitive rate.

Frequently Asked Questions

There are three parties to every surety bond agreement, which is a legally binding contract:

  • The “obligee” is the state or local agency requiring the surety bond.
  • The “principal” is the party required to purchase the bond.
  • The “surety” is the company underwriting and issuing the bond.
  • The obligee sets the required amount of the bond, which is the maximum amount that will be paid out on a claim. The obligee also spells out the conduct required of the principal in order to avoid claims against the surety bond.

Any party who suffers a financial loss because the principal has violated the terms of the bond has the right to file a claim against the bond. The principal is solely responsible for paying all valid claims.

However, the surety will often pay a claim and wait to be reimbursed by the principal. This ensures timely settlement of the claim and gives the principal some time to gather the necessary funds.

What the principal in a bond agreement actually pays for a surety bond is a small percentage of the required bond amount established by the obligee. That percentage, known as the premium rate, is determined by the surety company based on the applicant’s credit score and other indicators of the likelihood of claims being filed against the bond. Those with good credit can expect a rate of 1-3%. Those with poorer credit may pay a higher premium.
No claim against a bond will be paid until the surety company has investigated and determined that it is valid. After making payment to a claimant, the surety company will demand reimbursement from the principal.