Description: Construction Bonds | Nationwide Sureties are the leading provider of Construction Performance Bonds in the UK.
A Construction Bond is a guarantee of various formats, most of the variations are outlined on our specific headings, all types of Construction Bonds are designed to offer some form of protection to the employer/beneficiary against any losses and/or damages sustained as a result of the contractor failing to perform its contractual obligations.
A Construction Bond is a tripartite agreement and is designed to offer some protection to the beneficiary in cases were the contractor fails to perform the contract.
The reasons for such failure could be insolvency, default or any other actions as defined in the contract or bond wording. In the case of a dispute, the first action would be for the contractor/sub-contractor to remedy the issue, if that fails and a call is made on the bond, the surety will investigate the matter, if the claim is valid the damages would be established and ascertained in accordance with the contract.