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Hawaii 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 Hawaii 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.

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

  1. Personal Info
  2. Address
  3. Bond Type
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about bond type

What Is a Hawaii Construction Bond?

Hawaii construction bonds provide a measure of protection for project owners and the public against the financial harm caused by a contractor’s regulatory or contractual violation. The injured party can be compensated for monetary damages by filing a claim against a construction bond furnished to the project owner by the contractor.

img What Types of Hawaii Construction Bonds May Be Needed?

Hawaii requires most types of construction contractors to be licensed at the state level, which may require the purchase of a contractor license bond. That decision is made on a case-by-case basis. Additionally, some municipalities may have their own licensing and bonding requirements.

Hawaii’s “Little Miller Act” mandates bid bonds, performance bonds, and payment bonds for most state-funded public works projects. Some local jurisdictions and many private project owners have similar bonding requirements. In addition to these, which are the most common Hawaii construction surety bonds, both public and private project owners may require others, such as:

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

Every Hawaii construction bond is a legally binding contract among three parties, known as the:

  • Obligee—the state or local contracting authority or private project owner requiring the bond
  • Principal—the contractor who must purchase the bond
  • Surety—the party guaranteeing the payment of claims

The principal is legally obligated to pay valid claims against a construction bond, but the surety guarantees their payment by extending credit to the principal if necessary. In fact, the surety will pay the claimant directly, creating a debt that the principal must repay according to the surety’s credit terms. Not repaying it can result in legal action by the surety to recover the funds.

costs

How Much Does It Cost?

The annual premium for a Hawaii construction bond is calculated by multiplying the bond amount (established by the obligee) by the premium rate (assigned by the surety on a case-by-case basis). The premium rate takes into account the risk of the surety not being repaid for claims paid on behalf of the principal. The measure of that risk is the principal’s personal credit score.

A high credit score means the risk of nonrepayment is low. A low credit score is a reliable sign of higher risk, which warrants 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 Hawaii 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.

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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

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