Generic Obligee Concessionaire Bond
The Generic Obligee Concessionaire Bond is the generic agreement for all business which will deal with transactions that may have legal repercussions and may require compensation in the future. If a business or individual who plan to do activities under the said circumstances does not already have a performance bond, this generic bond will serve as its placeholder.
What is the Generic Obligee Concessionaire bond?
The Generic Obligee Concessionaire Bond will ensure that a surety bond company will pay for the claims in the case of a company’s violation to comply with a licensing law with the grounds stated on the bond form. Aside from paying for the claims, the surety bond company will also be responsible for reviewing claims from the public to see if it is valid for compensation.
Why do you need the Generic Obligee Concessionaire Bond?
The bond is a pre-requisite that must be secured prior the operation of a business or an individual. It will compensate for the potential licensing and contract violations that may require compensation in the future.
In addition to the legal leverage, you may reap the benefits of the following:
- Your financial security is secured and your credibility is boosted
- Your full line of credit is secured and available for use
- The confidentiality of your activities (unless requested by proper authorities)
- You have access to professional advice or counseling from lawyers, estimators, and similar and related professionals
How does the bond work?
The parties in the agreement are the Principal (business or permittee), Obligee (State of Oregon), and Surety/Bond Company or Obligor (surety bond provider). The bond must be filed with the Generic Obligee and must be issued by a surety bond provider certified by the state’s Insurance Department.
The Surety Company will guarantee the compensation (performance bond) of the Obligee in case the Principal fails to deliver agreed upon services or violate any licensing provisions.
The Surety Company will receive and assess the validity of all public claims where claims may only amount to the total penal sum arranged in the bond form. The Principal will then reimburse all expenses covered by the Bond Company.
How much does it cost?
The Generic Obligee Concessionaire Bond will normally have a premium rate between 1.5% to 8.0% of the bond amount, with the latter being the worst rate you can get. The bond price will typically depend on the following factors:
- Individual/business’ credit score
- Industry experience
- Business history
How can I secure the bond?
Transact with a reputable surety company today and secure your Generic Obligee Concessionaire Bond the fast and easy way. If you are in need of more information or answers for your surety related troubles, get in touch with us today.
Make sure you have gathered and provided accurate information on the following for the speedy processing of your application:
- Nature of your business
- Credit Score
- Financial strength
Rest assured our expert surety bond agent will guide you from the time of your application until the issuance of your bond. Once the assessment is done, we will promptly issue your bond and send it your way!