Commercial Miscellaneous Bonds are typically defined as any private or public bond that cannot be easily classed under another bond type. They are broad in scope and frequently cover a wide range of risks and duties that are only defined and determined inside the underlying commitment being bonded. These bonds provide financial protection to "obligees" (the party requiring the bond) by ensuring that the "principal" (the person or business purchasing the bond) will fulfill their legal or contractual duties. If the principal fails to meet their obligations, the obligee can make a claim against the bond to recover losses.
Following are several common types of Miscellaneous Bonds.
Waste Hauler Bond
Government agencies or municipalities require a Waste Hauler Bond for businesses or individuals involved in the transportation, collection, and disposal of waste materials. These bonds ensure that waste haulers operate in compliance with local laws, environmental regulations, and waste disposal ordinances. If the hauler fails to meet these obligations, the bond provides financial protection to the obligee (the government or regulatory agency).
Waste Hauler Bonds are typically required for businesses involved in residential or commercial garbage collection, hazardous waste transportation, recycling services, medical or biomedical waste disposal, and industrial or construction debris removal. Common examples include private trash companies, septic tank cleaners, or hazardous material haulers.
Union Wage & Welfare/Fringe Benefits Bond
Labor unions require employers who engage union workers to provide a Union Wage and Welfare/Fringe Benefits Bond. This bond guarantees that the employer will meet their contractual obligations to the union, such as paying agreed-upon wages for union workers as outlined in the collective bargaining agreement; non-wage compensation, such as health insurance, pensions, or vacation pay owed to union workers; and membership fees or other contributions owed to the union. If the employer fails to meet these commitments, the bond guarantees that funds will be available to cover any outstanding wages or benefits.
The bond amount is typically based on the workforce size; total wages, benefits, and dues owed to union members; and the terms of the collective bargaining agreement
Release of Mechanic's Lien Bond
A Release of Mechanic's Lien Bond is a surety bond that enables property owners, contractors, or other parties to remove a mechanic's lien from a property title without having to pay the disputed amount upfront. The bond acts as a financial guarantee, assuring that the lien claimant can still collect payment if the court finds in their favor.
This bond is frequently utilized in construction projects when a contractor, subcontractor, or supplier files a mechanic's lien owing to nonpayment or disagreements over payment for work or supplies rendered.
Janitorial or Dishonesty ("Crime/Theft") Bond
Janitorial Bonds (also known as Dishonesty bonds or Crime/Theft Bonds) are a type of fidelity bond that protects businesses and their clients from financial losses resulting from employee theft, fraud, or dishonesty on the job. These bonds are especially popular in businesses where staff have access to client property, such as janitorial and cleaning services and housekeeping services.
Landfill Dumping Fees Bond
A Landfill Dumping Fees Bond is a surety bond required by towns, counties, or landfill operators to ensure that businesses or people who utilize disposal facilities pay their dumping fees on time and in full. This bond provides a financial guarantee that the landfill operator or regulatory authority will be compensated if the principal (bondholder) fails to pay the requisite fees.
This bond is typically required for waste haulers, construction contractors that generate large volumes of debris requiring landfill disposal, recycling facilities, and industrial waste generators.
If a specific Miscellaneous Bond is not listed, please contact one of our underwriters.