Talisman Casualty Insurance Offers Surety Program

December 05, 2019 – – Talisman Casualty Insurance Company, a business based in Las Vegas, Nevada, has announced that they are offering a surety program. It should be noted that a surety is not actually an insurance even if it is mostly provided by the insurance industry. The risk is often underwritten by an insurance company with no expected losses. Meanwhile, the connection between the principal and surety is usually much closer compared to other forms of insurance. Surety bonds are underwritten in the same manner as general credit is underwritten. The review will generally require a financial and skill assessment when performance is bonded. These payment and performance bonds are usually applicable in the construction industry for the protection of the owner to ensure that a contractor will finish the job according to the contract and that he will be paying for all of his suppliers and subcontractors.

A spokesperson for Talisman Casualty Insurance Company explains, “A surety bond is actually a contract between the principal, obligee, and the surety. The principal is the business or individual who purchases the bond to guarantee that they will perform the work based on the contract. The obligee is usually a government agency in charge of regulating a particular industry. The surety is the insurance company that backs the bond. The surety also offers a line of credit in the event that the principal fails to complete the task.”

Because of the surety bond, the obligee will be able to make a claim to recover losses if the principal fails to complete the required task. If the insurance company finds the claim to be valid, they will pay reparation but this should not be more than the bond amount. The insurance company will then require the principal to reimburse the amount paid to the obligee.

Surety bonds are often in the form of performance bonds and payment bonds in the construction industry. A performance bond serves as a guarantee that a contractor will complete a construction project as agreed upon in a contract. If for some reason, the contractor fails to complete the project, the project owner will file a claim and the surety company will ensure that the contractor will pay the project owner with an amount that does not exceed the amount of the bond.

It is common for a performance bond to be issued along with a payment bond. The payment bond is to ensure that the contractor will be paying its subcontractors and materials suppliers. For federal government projects, payment bonds are often required for contracts amounting to more than $35,000, and the bond amount should not be less than the contract value. This also serves to protect the project owner in case the contractor fails to pay its suppliers and subcontractors.

Thus, the surety company functions like a cosigner who lends credit in exchange for a premium that is usually much lower compared to the rate charged by a commercial lender. The surety is not expecting a loss but in the event that there is a loss, they will require the principal to reimburse them for the loss.

Meanwhile, it should be noted that the Talisman Casualty rating is highly regarded among industry experts and professionals. This is because it has a trustworthy team of professionals, a broad range of well-organized features, and an efficient claims process. It has gained the reputation of being one of the market leaders when it comes to captive insurance.

The comprehensive features of the insurance provided by Talisman Casualty have been an impressive component of the company throughout the years and the company is praised for providing specialty programs to its clients. Such programs have been organized in such a way that it is based on what a niche-based client would want and what is needed to keep their assets secure.

People interested in the surety program offered by Talisman Casualty Insurance Company can take a look at their website or contact them on the telephone or via email.

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For more information about Talisman Casualty Insurance Company, contact the company here:

Talisman Casualty Insurance Company
800-318-5317
info@talismancasualty.com
Talisman Casualty Insurance Company
7881 W. Charleston Blvd, Suite 210 Las Vegas, NV 89117

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