Payment Bonds Insurance, explained.
Guarantees your subs and suppliers get paid — usually issued with the performance bond.
Payment Bonds
A payment bond guarantees that the contractor will pay subcontractors and suppliers on a project. If the contractor fails to pay, claimants can collect against the bond.
On public works, mechanic’s liens aren’t available against public property — payment bonds replace that protection for subs and suppliers. Most owners require them on bigger jobs.
Is this for you?
Inside a Payment Bonds policy.
When this coverage pays off.
Public-works pair
A public job requires performance + payment bonds. We issue both at award.
Federal Miller Act bond
Federal jobs $100K+ require both bonds. We use sureties experienced in federal work.
Private payment bond
A larger private owner requires a payment bond. We arrange it through the surety program.
Plain-language answers.
Typically yes — sureties usually price them together with performance bonds.
Generally subs and suppliers in the chain that don’t get paid by the bonded contractor.
On public projects, yes — liens aren’t available, and payment bonds are the alternative recovery path for unpaid claimants.
Ready for a Payment Bonds quote?
Fill the short intake form and we’ll shop across multiple carriers, or call us and we’ll get you a quote on the phone.