Interest in international commercial surety bonds has risen in several regions of the world, creating opportunities and challenges for producers, said Kathleen Mitchell, National Practice Leader for Surety at Wells Fargo Insurance Services USA, Inc
While operating during the COVID-19 pandemic, the Surety & Fidelity Association of America (SFAA) and the National Association of Surety Bond Producers (NASBP), on behalf of the construction industry and surety industry, urge public officials at the federal, state, and local level, to issue guidance (1) accepting electronic execution and delivery of construction surety bonds and commercial surety bonds to the extent this practice is not already officially adopted by federal, state or local officials and (2) waiving notary requirements consistent with this request. Construction bonds have far reaching impacts. They guarantee the performance of and payment to small business contractors on thousands of public construction projects nationally and in the states, thereby providing critical protection of significant state and federal tax revenue and interests. Commercial bonds have an equally important impact and provide financial security for millions of consumers across the country in every state through, for example, license and permit bonds, guardian and conservatorship bonds, appeal bonds, lease bonds, utility bonds, and public official bonds
SFAA-NASBP Request for Emergency Action FEDERAL Memo .pdf
Louisiana State Licensing Laws and Regulations , R.S. §§ 37:24 et seq. and La
Surety bonds on construction contracts provide critical prequalification of a bonded contractor and financial protection for the owner and certain subcontractors and suppliers. Architects who are knowledgeable about bonds are well positioned to advise owners about these premier project risk management tools
Additionally, while some states have licenses that cover all or most kinds of construction work, other states have distinct licensing categories based on whether the project in question is commercial or residential
During the Fall Meeting of the National Association of Insurance Commissioners (NAIC), the Producer Licensing Working Group (PLWG) met to continue its review of limited-line licensing issues. The PLWG focus has been the following: 1) individually review the licensing requirements for each core limited line; 2) review other limited lines and determine what licensing requirements should apply to them; and 3) determine if another “catch all” limited line is needed to address licensing requirements for insurance products not already encompassed within the list of limited line. At this meeting, the PLWG determined that surety should no longer be considered a limited line, but rather that surety bond producers should be required to obtain a casualty insurance license. According to a soon to be released survey by the NAIC, most state insurance departments already require surety bond producers to meet all the requirements for licensure under the major lines of business
The parties to a joint venture should be cognizant of North Carolina's licensing requirements to avoid the regulatory and legal pitfalls that accompany practicing general contracting in the State of North Carolina without a valid license.
The Insurance and Bonds Exhibit Cobleigh described the new Insurance and Bonds Exhibit—intended to accompany owner-contractor agreements—as the “single most significant revision.”
Matson of Sheppard Mullin Published September 29, 2020 Contractors performing work in California are required to be licensed by the California State License Board (“CSLB”).
NASBP_What Are SB_Final.pdf