Learn more about the Retention Bond policy.
A bond provided in lieu of cash retention (usually 5–10%) that guarantees the contractor will fulfill post-completion obligations.
Retention Bonds allow contractors to receive full payment during the project while still giving the project owner financial assurance of quality and compliance.
The bond guarantees that the contractor will fulfill post-completion and quality obligations. If they fail, the insurer pays the retained amount to the owner. It substitutes retention money while securing compliance.
Contractors executing high-value or cash-strapped projects, Firms facing tight working capital cycles, Projects where retention deduction is contractually required.
Request a free consultation for the Retention Bond policy.
