866-362-6637 Pay Bill

Delaware Construction Bonds

At Surety Bonds Agent, we offer a full range of surety bonds nationwide through an extended carrier network. Continue below to learn more about Delaware construction bonds. If you have additional questions or want to explore bonding solutions for your business, speak with one of our knowledgeable surety bond experts.

Contact Us for a Free Construction Bond Quote

It’s easy with our simple 3-step process:

  1. Personal Info
  2. Address
  3. Bond Type
who we work with

Our Insurance Company Partners Nationwide

  • img
  • img
  • img
  • img
  • img
  • img
  • img
  • img
  • img
about bond type

What Is a Delaware Construction Bond?

Delaware construction bonds are intended to provide protection for state and local contracting authorities as well as private project owners and the public against financial losses caused by a contractor’s regulatory or contractual violations.

img What Types of Delaware Construction Bonds May Be Needed?

Delaware requires nonresident contractors to provide a contractor license bond in order to operate within the state, which carries a bonding requirement. Some municipalities have their own contractor licensing and bonding requirements.

Delaware’s Little Miller Act is the state’s version of the federal Miller Act. It requires both performance bonds and payment bonds from contractors awarded building or public works contracts of a certain size. Private project owners may also require performance and payment bonds.

When a contract is to be awarded through competitive bidding, bid bonds may be required by both public and private project owners. And both government and private project owners may require contractors to furnish any of the following construction bonds:

  • Maintenance bonds
  • Subdivision/site improvement bonds
  • Supply bonds
  • Solar decommissioning bonds
  • Right of Way bonds
  • Contractor license bond
img How Does a Delaware Construction Bond Work?

The three parties to every Delaware construction bond are the:

  • Obligee—the contracting authority/project owner
  • Principal—the contractor
  • Surety—the bond’s guarantor

The obligee establishes the required bond amount (the bond’s “penal sum”). The obligation to pay valid claims up to that amount belongs solely to the principal. But the surety guarantees payment by paying a claim initially as an extension of credit to the principal. The principal then must repay the debt in accordance with the surety’s credit terms or risk the surety taking legal action to recover the funds.

costs

How Much Does It Cost?

Multiplying the required bond amount by the premium rate yields the annual premium for a Delaware construction bond. The surety sets the premium rate through an assessment of the risk of the surety not being repaid for claims paid on the principal’s behalf. The principal’s personal credit score is used to measure that risk.

A high credit score indicates a low risk to the surety, resulting in a low premium rate. A low score means higher risk, which calls for a higher premium rate.

The premium rate for a principal with good credit usually is in the range of 1% to 3%.

step by step guide

How Do Delaware Construction Bonds Work?

  • Choose Your Bond Type

    Select the bond you need — commercial, contract, or any specialized bond. We help you find exactly what is required in your state.

  • Submit a Quick Application

    Complete a short online form. It only takes a few minutes, with no extra paperwork or long verification steps.

  • Get Approved & Receive Your Bond

    Get fast approval and receive your bond instantly by email. Your document is ready to use right away.

main reasons

Why Work With Us?

Easy Application Process

Simply fill out our convenient online application form to get started.

Extensive Carrier Network

We work with a wide range of carriers to provide many options to our clients.

Competitive Rates

As an independent agency, we can leverage our carrier network to find the most competitive rates for the bonds you need.

Quick Turnarounds

We work to get you bonded as quickly as possible, often in 24 hours or less.

Exceptional Service

Our experienced surety bond agents provide personalized assistance to help you understand your bonding requirements and options.

Call us Today!

And get a free consultation.

866-362-6637
Testimonials

What our customers say about us

Super easy process. I found the bond I needed in minutes and received the approved document the same day. Great experience overall.

Emily R., Business Owner
Contractor

The application was fast, the support team was responsive, and the pricing was clear. Very smooth and professional. Everything was explained clearly, and I appreciated how quickly I received my bond.

Jason M., Contractor
Small Business Owner

Super easy process. I found the bond I needed in minutes and received the approved document the same day. Great experience overall.

Emily R., Business Owner
Oberman & Oberman

The application was fast, the support team was responsive, and the pricing was clear. Very smooth and professional. Everything was explained clearly, and I appreciated how quickly I received my bond.

Jason M., Contractor
Oberman & Oberman

Request a Quote

Request an online quote today! Or speak with one of our knowledgeable surety bond agents about the commercial bonds you are interested in.

Get Quote