Surety Bonds | Smart, Fast, Friendly Digital Insurance Expert

Protect yourself with a professional “seal of approval."

You may be in a profession that can’t do your work without a business license or other permit. Your local government may require a commercial surety bond to make sure you’ll keep your obligations.

Mylo compares quotes from top surety bond providers to find you the bond you need at the best value.

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How does a surety bond work?

Surety bonds are usually issued by insurance companies, but there's one big difference with an insurance policy. Instead of covering you if something goes wrong with an agreement, the bond issuer reimburses the other party – usually a government authority who provides the license or permit you need for a business operation.

In most cases, a surety bond is:

A three-way agreement between you, a government authority and an insurance company (the "surety")
If you violate your license or permit, the government authority is compensated
The surety will pay the government authority first but you're obligated to reimburse them
If can't pay, the surety may sue you, and you could also lose your business license and find it harder to purchase a bond in the future

A Mylo advisor can help you save money while finding the right surety bond for your profession.

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Surety bond FAQs

Who are the parties involved in a surety bond?

A surety bond is a three-way agreement between a "principal" (you), an "obligee" (a party with specific requirements you have to meet - usually a government authority) and a "surety" (someone who will guarantee the requirements are met - usually an insurance carrier.)

What happens if my business doesn't meet its license or permit regulations?

The bond issuer (surety) steps in and pays what you agreed to pay. You are then obligated to reimburse them. If you're unable to do so:

You could be sued by the surety
You may lose a business license
You'll find it harder to be bonded in the future

I already have business insurance. Is this something different?

Surety bonds are usually issued by insurance companies, but there's one big difference. Instead of covering you when something goes wrong with an agreement, the bond issuer reimburses the other party (usually a government authority providing the license or permit you need for a business operation).

How will Mylo help me find the right bond?

Mylo is a small business insurance expert who has been innovating insurance since 2015. We can quickly:

Recommend the right bond for your business
Compare best quotes for surety bond providers
Find you the best combination of coverage and price.

Surety bonds show you mean business