A surety bond or surety is a promise by a surety or guarantor to pay one party (the obligee) a certain amount if a second party (the principal) fails to meet some obligation, such as fulfilling the terms of a contract. The surety bond protects the obligee against losses resulting from the principal's failure to meet the obligation. The type of surety bond can include Bid Bond, Advance Payment Bond, Performance Bond, Maintenance Bond and Payment Bond. Commonly this type of insurance is required by a two parties having a contract of works. It is also known in marine industry a custom bond which is used as a guarantee to a custom clearance.
Indosurance offers a level of expertist to help dealing with insurance company who has the license to sell surety bond and make sure that they are under association. Also ensure that the insurance company is financially stable to provide guarantee of payment when it comes to default (Wanprestasi).