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Janitorial Services Bond

  • Get bonded in just a few minutes using the online application.
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  • Bonds from A-rated Treasury listed Sureties.

What is a Janitorial Services bond?

A Janitorial Services bond is a type of fidelity dishonesty bond. Generally speaking, dishonesty bonds help protect a party from fraudulent or dishonest acts, such as theft, of the party's employees while on the job. Janitorial services bonds do the same with a slight difference. A standard dishonesty bond protects the employer from losses directly related to theft or damage to the employer's assets due to the actions of an employee. The janitorial services bond protects the employer's client's assets from theft or damage caused by a janitorial services company employee. Simply put, a company that hires a janitorial service provider that is bonded, has the extra protection from employees of that provider that may engage in fraudulent or dishonest acts that could cause the company a loss. This is why companies looking for janitorial services providers check to see if the provider is bonded. A janitorial services company doesn't acquire this coverage because they are required to, they get the coverage to provide a sense of security and build trust with their clients.

How does a Janitorial Services Bond work?

There are several steps in the process of completing a claim on a janitorial services bond. In most cases, the bond is in place simply as a protection and peace of mind for companies hiring the janitorial services provider. In the instance that an employee of the janitorial service provider engages in an act that causes a loss to the company while on the job, a claim could be made on the bond up to the coverage amount.

These bonds are clear on who, within the janitorial services provider, can be considered an employee. The person has to be an actual employee of the company, not a contractor or any other similar type of position. The employee has to work directly under the guidance of the provider and receive a salary or wages for their work. The bond does not cover dishonest/fraudulent acts committed by the owners of the service provider company by default. It is always a prudent practice to completely read any insurance policy or surety bond language to gain a complete understanding of the applicable definitions coverage conditions.

The bond covers losses that are directly related to dishonest/fraudulent actions of the janitorial service employee. The covered losses can include items such as stolen cash or securities as well as damage to property or stolen property. The bond does not cover indirect losses such as lost income due to the loss of the stolen or damaged assets. A covered loss must be considered criminal in the jurisdiction where the loss occurred. Additionally, the employee who caused the loss must be tried and convicted of the crime.

Deductibles are often present on janitorial services bonds. The deductible, when present, are usually a small amount, around $100, and are on a per employee basis. This simply means that if two employees are discovered to have caused a loss, there will be a deductible for each of them.

Once a loss has been discovered, attributed to a qualifying employee and the employee has been tried and convicted of the crime, an amount can be recovered from the bond. The amount to be paid out must be agreed upon by the insurer and the insured, not to exceed the coverage amount of the bond. If the loss is property damage related or property loss, the remedy may be to replace or repair the property rather than just pay out a sum of money.

How much doe a Janitorial Services bond cost?

The cost of a janitorial services bond will vary from applicant to applicant. There are several factors considered when determining the cost. Among those are the number of employees to be covered and whether there have been any losses caused by any of the employees in the recent past. Coverage amounts can be selected when applying online and can be amounts from $500 to $50,000. Larger coverage amounts are also available by contacting one of our agents. The typical range, as a percentage of the coverage amount, is from 1% to 3%. The premiums are annual and must be maintained to keep the policy in force.

How to obtain a Janitorial Services bond:

Getting bonded is a simple process. The quickest path to securing your janitorial services bond is to apply online. The online process is quick and can take as little as a few minutes. You can apply, pay and receive your documents electronically or by mail. The option to read the policy prior to purchasing is available so you know exactly what you are buying.

If the online application is not a fit or you need an amount larger than $50,000, our agents are available to provide you the bond you need. Feel free to call us at 1-888-278-7389 to get started. If you would like us to contact you instead, complete the contact form on the page and one of our agents will contact you.

Viking Bond Service, Inc. has been providing janitorial services bonds as well as other types of surety bonds to our clients across the country for nearly 20 years now. We make the process of getting bonded simple so our clients can focus on what's most important to them.

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