Contract Surety

Applied Surfacing Technology, a division of Co-Ha Builders, Inc. Agent: Atlas Construction Services / Atlas Insurance Agency

Contract surety is a tripartite (three-party) agreement between the Contractor (called “Principal”), the owner/GC/Prime Contractor (called “Obligee”), and the Surety; wherein the Surety provides a guarantee to the Obligee that the Contractor will perform the contract according to contract terms, conditions, plans, and specifications (the “Performance” bond); and that all laborers, materialmen, and suppliers will be paid accordingly (the “Payment” bond). The guarantee provided the Obligee by the Surety is that if the Contractor fails to fulfill its responsibilities to the Obligee, the Surety will take on the responsibilities of the Contractor, and complete, or cause to be completed, the remainder of the contract.

We at First Insurance Company of Hawaii approach providing contract surety credit as the building of a strong, long-term business relationship. This relationship is between the contractor, the surety professional/agent, and the surety company. The surety professional/agent is experienced and trained in assessing the needs of the contractors they service. They are knowledgeable as to the various surety companies’ capabilities and appetites. Based upon their knowledge and experience they will submit your information to the surety company that will best support your business plan. In turn, your surety company, through common-sense and consistent underwriting, will support your surety needs and partner with you and your surety professional/agent in providing surety credit to enhance your ability to run a profitable construction company.

Our contract surety capacity is $20,000,000 single, $20,000,000 aggregate, with our preference up to $8,000,000 single, $15,000,000 aggregate.

Please contact your surety professional/agent for more information.