The cover is available on various types of bonds as follows:

Bid Bond

The cover is to assure the Project owner that the low bidding contractor will enter into a contract for the price quoted in his bid. This prevents the contractor from increasing the bid on the project once the contract has been agreed with the Project owner.

Performance Bond

The policy guarantees the Project owner that the bonded contractor will perform his obligations under the contract in accordance with the contract's terms and conditions. The performance bond will protect the Project owner against possible losses in case the contractor fails to perform or is unable to deliver the project as per the established contract.

Advance Payment Bond

This is required when the Project owner makes payments in advance to the contractor, cover ensures that the contractor uses the funds advanced appropriately.

Maintenance Bond

This is a type of bond which is purchased to protect the Project owner of a completed construction project for a specified time period against defects and faults in workmanship, material that could arise later if the project was done incorrectly.