What Does a Surety Bond Cost?
Many different variables affect your individual surety bond cost. Your surety specialist will calculate your surety bond cost by using a percentage that's based on your specific bond type, the required coverage amount and your financial credentials.
For example, a $100,000 surety bond will obviously cost more than a $10,000 surety bond, regardless of who the applicant is.
Factors Impacting Prices
It’s important to know that there are thousands of different types of surety bonds, each with its own specific cost structure. On average, your particular surety bond cost will range from 0.5% to 10% of the total value of the surety bond.
For example, if you need a $10,000 surety bond and you receive a quote for a 1% rate, your surety bond cost is $100. Higher risk bonds may cost 10% or more of the bond's value. Personal credit score is a contributing factor when surety underwriters determine risk.
