Contract Payment Bonds
What is a Payment Bond?
A payment bond is a type of contract surety bond posted by contractors to ensure that subcontractors and suppliers involved in the project are paid according to agreed upon terms. Payment bonds are required on most federally funded contracts and are usually set at an amount equaling the full contract value. These bonds usually accompany performance bonds, and together are sometimes referred to as "P&P" bonds.
How much does a Payment Bond Cost?
Payment Bond prices vary based on the bond amount and the applicant. Most contact bonds are priced at 2-3% of the bond amount. Request a free, no-obligation quote and one of our bond specialists will look at your specific circumstances.
If you'd prefer to speak with one of our bond specialists, please call us at 1-800-608-9950. We can help guide you through the bonding process and identify the lowest cost in the market for your situation.