Oregon Surety Bond Types
Surety bonds protect consumers in Oregon and all across the United States. People like to feel assured when they’re doing business with industries and individuals who have a direct impact on their safety, such as doctors in the healthcare industry. The auto repair industry is another where the handiwork of a professional could substantially influence a person’s life, which is why Oregon’s DMV Business License Unit requires businesses to get a vehicle rebuilder bond before they are issued a business license.
The vehicle rebuilder bond is issued with the intent of holding businesses that repair cars responsible for the work they do. The bond also aims to keep these businesses from participating in fraudulent activities or making other unethical business decisions, such as intentionally overcharging a customer. If a customer can prove that the business has committed fraud, then he or she can file a claim against the business’s bond. The surety is then responsible for reimbursing the customer for damages. The business would be held responsible for paying all reimbursements and other fees.
Your Oregon Surety Bond Company
Although both surety bonds and insurance policies aim to protect people, it is important not to confuse the two.Having a bond means another individual, or company, acts as a surety by guaranteeing the business will fulfill all of its duties. The surety will require a credit check and review of financial statements from the business before issuing a bond. This ensures the business is financially sound enough to pay the bond’s full face value, because if a claim should be made the business would pay the obligee, not the surety company.
Numerous surety bond companies can be found online, which allows you to apply for a bond in a matter of minutes. Before applying make sure you have as much financial information about your business as possible. The rate you will be charged for your bond depends on your credit score and other similar financial factors. Sometimes you can get a quote back from the surety company in a matter of days.
Make sure to check both local and state regulations to determine if your business is required to be bonded. If your business isn’t required to be bonded, don’t worry. You can still take advantage of all the great benefits a surety bond offers. If you’re not sure what type of bond is right for you or your business, browse through our website. There are also many surety bond specialists who can assist you in getting the best bond for your needs.