{"id":755,"date":"2019-09-24T20:36:31","date_gmt":"2019-09-24T20:36:31","guid":{"rendered":"https:\/\/www.performancesuretybonds.com\/blog\/?p=755"},"modified":"2022-01-24T16:03:56","modified_gmt":"2022-01-24T16:03:56","slug":"long-surety-bonds-last-infographic","status":"publish","type":"post","link":"https:\/\/www.performancesuretybonds.com\/blog\/long-surety-bonds-last-infographic\/","title":{"rendered":"How Long Do Surety Bonds Last? [Infographic]"},"content":{"rendered":"<p>Some surety bonds expire, whereas others continue on indefinitely until the principal (you) becomes \u201creleased.\u201d If you\u2019re required to have a bond, use this quick guide to help understand your obligations:<\/p>\n<p><!--more--><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter size-full wp-image-756\" src=\"https:\/\/www.performancesuretybonds.com\/blog\/wp-content\/uploads\/2019\/09\/Length-of-Surety-Bonds_R01-1.jpg\" alt=\"How Long Do Surety Bonds Last?\" width=\"700\" height=\"5366\" srcset=\"https:\/\/www.performancesuretybonds.com\/blog\/wp-content\/uploads\/2019\/09\/Length-of-Surety-Bonds_R01-1.jpg 700w, https:\/\/www.performancesuretybonds.com\/blog\/wp-content\/uploads\/2019\/09\/Length-of-Surety-Bonds_R01-1-39x300.jpg 39w\" sizes=\"auto, (max-width: 709px) 85vw, (max-width: 909px) 67vw, (max-width: 984px) 61vw, (max-width: 1362px) 45vw, 600px\" \/><\/p>\n<p><!--more--><\/p>\n<h3>Share this Image On Your Site<\/h3>\n<p><textarea style=\"width: 540px; height: 120px;\">&lt;p&gt;&lt;strong&gt;Please include attribution to www.performancesuretybonds.com with this graphic.&lt;\/strong&gt;&lt;\/p&gt;&lt;br \/&gt;&lt;br \/&gt;&lt;br \/&gt;&lt;br \/&gt;&lt;br \/&gt;<br \/>\n&lt;p&gt;&lt;a href=&#8217;https:\/\/www.performancesuretybonds.com\/blog\/long-surety-bonds-last-infographic\/&#8217;&gt;&lt;img src=&#8217;https:\/\/www.performancesuretybonds.com\/blog\/wp-content\/uploads\/2019\/09\/Length-of-Surety-Bonds_R01-1.jpg&#8217; alt=&#8217;How Long Do Surety Bonds Last?&#8217; 540px border=&#8217;0&#8242; \/&gt;&lt;\/a&gt;&lt;\/p&gt;&lt;br \/&gt;&lt;br \/&gt;&lt;br \/&gt;&lt;br \/&gt;&lt;br \/&gt;<br \/>\n&lt;p&gt;<\/textarea><\/p>\n<p>&nbsp;<\/p>\n<h2>2 Types of Surety Bonds<\/h2>\n<p>Surety bonds are either License Bonds or Contract bonds. License bonds hold professionals accountable for standards of conduct and are typically required before being granted a professional license. Contract bonds hold the parties involved in a contractual relationship accountable, and are typically required before a contract is finalized.<\/p>\n<h2>Length of Licensing Bonds<\/h2>\n<p>Nearly all license bonds last for 12 months, after which they must be renewed. If they are not renewed, the bond becomes inactive and your professional license will generally be cancelled by the State or Federal entity that granted it. Working without a license is illegal and subject to strict penalties, so it\u2019s essential to renew your license bond on schedule.<\/p>\n<h2>Length of Contract Bonds<\/h2>\n<p>Contract bonds run for the entire length of the contract, but they still require annual renewal. Unlike licensing bonds, however, contract bonds don\u2019t expire if they are not renewed. The principal MUST renew the bond until they are released by the obligee (the party requiring the bond).<\/p>\n<h2>Renewing Surety Bonds<\/h2>\n<p>Contract and license bonds have similar renewal processes. With license bonds you may be asked to submit your updated financial information, and an updated credit check may be run so that underwriters can assess your credit risk. Based on that risk, you\u2019re quoted a premium that may be higher or lower than your original premium (depending on how your credit has changed).\u00a0 This is not true for ALL license bonds as some are considered low risk, however it depends on the type of license bond at hand.\u00a0 With Contract Bonds, there is generally no re-evaluation of the principal.\u00a0 Premium or release is required regardless, and if neither is provided the account could end up in collections. In either case, after the bond is renewed it is active for 12 months after renewal date.\u00a0 The process repeats yearly as long as the bond is needed.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Some surety bonds expire, whereas others continue on indefinitely until the principal (you) becomes \u201creleased.\u201d If you\u2019re required to have a bond, use this quick guide to help understand your obligations:<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[10],"tags":[],"class_list":["post-755","post","type-post","status-publish","format-standard","hentry","category-infographic"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.9 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>How Long Do Surety Bonds Last? 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