New York Surety Bonds

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Common Surety Bonds in New York

These are the more common bonds in your state. For a list of all of your state’s bonds and federal bonds available click the big blue button for more! If it’s not listed, contact us and we’ll add it.

New York Motor Vehicle Dealer Bond

Ensures dealers are licensed and maintain industry standards

New York, NY Licensed Home Improvement Contractor ($20,000)

Licensing bond to operate a contracting business

New York - Mortgage Loan Originator - Individual Bond

Required of residential mortgage lenders to offer services

New York - Public Adjuster's Bond

Required by the NY Dept of Financial Services to obtain licensing

New York Private Investigator $10,000

Mandated by the NY Dept of State to provide PI services

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New York Instant Surety Bonds

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How to Get a Surety Bond in New York

Does NY require a surety bond? If you are starting a business in New York, then you should know that surety bonds are required for many different types of licenses and permits. You can find surety bond companies online or even in your local area. However, the surety bond company, or surety insurance company, that is going to be best for you might not be located nearby which is why you need a New York surety bond expert to help.   

What is a surety bond? How does a surety bond work?

It’s a type of contract that safeguards another party from financial loss. In the case of surety bonds, there are three parties:

  • -Principal (the person or business which needs to secure their liability)
    -Surety (a third party, often an insurance company, who agrees to assume responsibility for the debt and acts as guarantor)
    -Obligee (the person or business for whom the surety bond is being issued)

To issue a surety bond, both parties agree to the terms and conditions of a contract that carries an obligation to perform. These are usually written into an agreement that ensures compliance with state laws regarding surety bonds in New York. The details covered include:

  • 1) Principal’s ability to perform a service and or repay a debt if necessary
    2) Surety’s obligation should they become financially liable because the Principal fails to meet their obligations under the contract

The important thing about surety bonds is that all Principals and the approved Surety insurance company in New York act as guarantors; however, the Surety will be responsible for payment due to defaults on contractual agreements under the bond. The bond allows the surety company to seek repayment from the Principal if a claim is valid.

What is a surety bond used for?

Whats a surety bond you ask? Well, it guarantees an agreement between three parties by securing the obligation in that it is used to:

  • -To secure performance on contracts;
    -Guarantee compliance with contract specifications and standards;
    -A warranty against defective products;
    -Secure licensed professionals such as notary publics

When do you need a surety bond?

Surety bonds are a form of performance security or financial guarantee issued by an insurance company. They are required for a variety of financial transactions, from government procurements to import and export. In the United States, bonds have been used since 1749 to guarantee that a party will fulfill its obligations under a contract or agreement.

New York bonds work as an integral part of any business’s success in New York City – just ask anyone who has ever missed a deadline! Typically a transaction, contract, or professional licensing requirement will indicate if a performance bond, payment bond, contract bond, license and permit bonds, or another type of bond is needed.

What are the most popular surety bonds in NY?

New York has many industries that require contract surety bonds, license bonds or permit bonds. The most common type of surety bond New York are commercial surety bonds. Commercial business contracts require these kinds of surety bonds to ensure that the client receives their end of a product or service as expected. In addition, some professions such as realtors need this kind of bond before they can practice within New York State. Professionals who work with children regularly may also be required to get licensed from the state board and post a license fee. This is where a school district employee license & permit bond comes into play – it helps protect the public against faulty goods/services while guaranteeing quality and safety.

What are contract bonds?

The largest category of New York bond is called contractor bonds, or bonds specific to the construction industry. NY contractor surety bonds are one of the largest markets on the planet! Contractor surety bonds more commonly are performance bonds, bid bonds, and payment bonds. Construction bonds account for approximately 70% of all bonds written in the USA.

Required by residential and commercial contractors both big and small, general and across specialty trades. New York’s surety bonding requirements vary by municipality and ensures protection of the public and consumers via performance bonds for public projects and various trade bonds such as the New York HVAC Contractor Bond, Plumbing and Sign Contractors bond.

Can I get a surety bond online?

Yes. At Simpli Surety, we have 1000’s of instant issue surety bonds available to our clients on-demand at low surety bond rates. Our surety bond experts are here to help.

 At Simpli Surety, we are your hassle-free, cost-friendly direct surety bond provider in New York. No drawn out quote process, our instant issue platform has surety bonds delivered to your inbox in minutes!

If you are looking for surety bond cost, the good news is that it’s not as expensive as most people think. Across the industry, Surety bond costs can range depending on the type and terms of the bond. The fee is calculated, also called the surety bond premium, as a percent of the total coverage needed or bond amount, usually ranging anywhere from 1% to 3%. For instance, straightforward license and permit bonds tend to fall on the lower end of the spectrum even below 1%. While a more complex performance bond for a large construction project that carries a higher risk and bond amount, therefore, the surety bond cost can range higher between 1.5% to 2.5% on average. 

Surety bond costs could be higher or lower depending on your surety company, the type of work you are doing, and other factors. If you need help determining how much a surety bond will cost for your specific situation, use our search to find the instant issue bonds you need, and often the surety bond cost and bond amount are listed on the application.

At Simpli Surety, we have 1000’s of instant issue surety bonds available to our clients on-demand at a low surety bond rate. The application and approval process is completed quickly, so you can get back to your business. 

On the rare occasion, your bond application requires additional underwriting, our surety bond agents with over 40 years of experience will step in to help.

New York City is the most populous city in the United States…no wonder it can never sleep!

In addition to being a top global tourist destination, New York is the financial hub of the world with Wall Street and home to the most pronounced theater districts as well. Additionally, NYC has earned the nickname ‘Silicon Alley’ for its tech proliferation and is known for its exports, agriculture, media and fashion enterprises.

For companies, both small and large the need for a new york surety bond presents itself as they start doing work for clients, sign contracts, or launch their businesses. It’s just a matter of which bond type! New York will always remain a hub for enterprise and innovation, along with the surety bond products that arise from its progress.

New York’s diverse economy includes manufacturing, technology, transportation, retail, financial services and healthcare. 

What’s also big? Food and beverage. New York City has one of the highest bars per capita. This requires establishments to furnish alcohol bonds or liquor tax bonds. With a large number of residential homes in New York, it’s no surprise real estate moves frequently requiring new york mortgage broker license bonds and banker bonds. 

The best surety company in New York is us! SimpiSurety has all of these bonds and more NY surety bonds available instantly. Search for your bond and apply online in minutes.

Although, whomever you choose, be sure they are a licensed surety bond agency in New York that can help you get bonded for the right bond amount. All surety companies are not the same, so choose wisely when choosing your new york bonding agent.

In NY state, many industries and professions that require licensing or the proprietor to register their business with a state commission or regulatory body require a surety bond, including:

  • New York Used Motor Vehicle Dealer BondsNew Yorkers are no strangers to traffic. Used car, motorcycle and ATV dealers must secure an auto dealer bond as a part of the licensing process to ensure they are capable of and can maintain ethical business standards. Bonded coverage $10,000. Buy Now
  • Alcoholic Beverage Control Bonds – Required by the New York Liquor Authority. If you sell alcoholic beverages at retail, you must post a $1,000 liquor license guarantee bond. You must be bonded in an amount determined by the Authority if you are a wholesaler to sell any alcoholic beverage for resale. Buy Now
  • New York Collection Agency BondsThese agency bonds guarantee that the collection agencies (principals) deliver all of the money they collect to its rightful owners and do not take a bigger cut than is permitted in their contract. It guarantees duties are ethically and lawfully while performed. Bonded coverage $5,000. Buy Now
  • New York Insurance Adjuster Bond  – Prior to being licensed, both public and independent insurance adjusters must acquire a surety bond from the New York Department of Financial Services. The bond ensures customers that the adjuster performs her duties ethically, and without conflict of interest in policy negotiations. Bonded coverage $1,000. Buy Now
  • New York Nail Salon Wage Bond – The New York Wage Payment Bond is a NY Licensing Service Division regulation. Employees in a nail salon would benefit from this bond since it will protect them against dishonest company owners who may not pay them legal salaries. Bonded coverage up to $125,000. Buy Now
  • Public Adjuster BondA surety bond is required of all New York public adjusters by the Department of Banking and Insurance in order to obtain a license. Principals are obligated to follow all terms of their agreements and pay all taxes and fees owed to the state. If a principal breaches the bond contract, the surety will cover all losses up to the face amount of the bond. Bonded coverage to $1,000. Buy Now
  • New York Health Club Bond– If your company provides physical fitness training, you must post a surety bond. The amount of the bond is determined by the length of the service contracts on offer at your club. The health club owner is obliged to indemnify all harmed members if the health club shuts down or fails to deliver a new member a contract for services. Bonded coverage between $50,000-$350,000. Buy Now
  • New York Private Investigator Bond – The Department of State requires private detective bonds to ensure that the principal (private detective) follows all statutory, regulatory, and administrative requirements. If the principal does business in an unlawful manner, he or she will be held liable for compensation to the surety. Bonded coverage $10,000. Buy Now
  • New York Home Improvement Contractor Bond– Required by the NYC Department of Consumer Affairs, it ensures that home renovation contractors in New York possess the professional experience and business knowledge required to operate in the state. Bonded coverage to $20,000.
    Buy Now

For all New York Surety Bonds and Federal Bonds, use the search atop this page or Click for More Bonds below.

  • Freight Broker Bonds – often referred to as BMC-84 bonds, are a Federal as opposed to state mandate made by the Federal Motor Carrier Safety Commission to conduct business as transportation brokers. Coverage to $75,000. Buy Now
  • Durable Medical Equipment Provider Bonds – often referred to as DMEPOS bonds are required of suppliers of prosthetics, orthotics, and durable medical equipment. A federal mandate per the Centers for Medicare and Medicaid Services to mitigate Medicate billing fraud. Min bond requirement of $50,000 per National Provider Identifier needing Medicate billing authorization. Buy Now
  • Performance Bonds – this bond covers general performance obligations related to a contract but most often ensures the satisfactory completion of performance by a contractor. The bond penalty is tied to contract value and can be mandated at federal, state, or municipal levels. Buy Now
  • Bid Bonds – a construction bond that protects the developer or project owner of a construction project during the bidding process. It guarantees them that if the bidder can or will not honor the terms of the bid, the owner will be compensated. Bid bonds are commonly required on projects that also involve performance bids and payment bonds. Buy Now
  • Payment Bonds – these surety bonds are often paired with performance bonds ensuring prompt payment to suppliers and subcontractors on the project. This signals to the owner, supplier, and sub that the contractor will be compliant in working with them to completion and paying on time. Buy Now 
For all Federal and New York Surety Bonds, use the search atop this page or Click for More Bonds below.

What is a surety bond? 

A surety bond is an agreement between 3 parties, the principal applying for the bond, the Obligee who benefits from the bond and the Surety, the provider of the bond. A licensed surety agency like Simpli Surety is required to act on behalf of the 3 parties to facilitate the bond issuance. 

The bond itself ensures the principal will carry out its obligations to the Obligee that acquires their services, in accordance with the conditions of a contract. 

The surety company steps in to financially back the Obligee in the event the principal defaults, violates terms or fails to fulfill its obligation. If the surety pays a claim, it seeks reimbursement from the principal. 

How do I get a bond? 

At Simpli Surety, we’ve taken the sometimes antiquated surety bonding process and made it…well…simple. What takes many brokers and online agencies days, we’ve automated to get your bond fast. From search to submission to getting a bond in your inbox in less time than finishing a cup of coffee. 

  1. 1) Use our Search tool to find your bond. 
  2. 2) Enter the key information and click submit. 
  3. 3) A decision is rendered within minutes. 
  4. If approved, you’ll be sent a payment link and documents to sign electronically. If not approved, our underwriters will alert you of next steps. Sometimes we just need a few more pieces of info to complete the analysis but in most cases, its automated and effortless. 
  5. Your bonds are emailed to your and the Obligee. It’s that fast…and simple. 

Why Simpli Surety? 

Simpli Surety is a licensed surety bond agency. Our bond professionals have been in the industry for over 40 years. Most online surety bond agencies only provide a quote range, then needing to shop various surety carriers for the bond. This makes the surety bonding process longer and tedious. 

Simpli Surety requires basic underwriting information and as soon as you click submit, in most cases we render a decision right away. If approved, simply purchase with a credit card and you’ll have your bond emailed to you and the obligee (beneficiary or regulatory authority) in minutes. 

Our instant issue rates are the most competitive in the business. And for more complex bonding situations, our experts will step in and provide a bespoke solution. 

Click here for our information center to learn more, or link to more FAQs.

Surety Bonds NY

How to Get a New York Surety Bond

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