Payment Bond
Contract surety bond — what it is, what it costs, and how to get one.
Get notified when we openWhat is a payment bond?
A payment bond is a contract surety bond that guarantees a contractor will pay the subcontractors, laborers, and suppliers working on a project. It protects those parties from non-payment and keeps liens off public projects, where filing against government property isn't possible.
Who needs a payment bond?
Prime contractors on public works and many private projects, usually paired with a performance bond.
How much does a payment bond cost?
Often issued together with the performance bond as a percentage of the contract amount.
How to get a payment bond
Complete underwriting, request the bond for your project, and file it with your contract.
Frequently asked questions
Subs can't lien public property, so the payment bond is their security for getting paid.
Yes — they're commonly issued as a pair.
Related bonds
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