Commercial Surety

Fiduciary bonds comply with probate and bankruptcy needs. They are often handled by lawyers whose clients are required to file security to comply with the courts or the public guardian and trustee. These bonds guarantee compliance with the requirements of law for faithful performance of duties.

These bonds are used to qualify those who wish to obtain a license or a permit to exercise a particular privilege or engage in a particular business. License and permit bonds guarantee compliance with the statute, by law or regulation under which the principal is compelled to act. The laws are meant to protect the public against incompetence, misrepresentation, fraudulent dealings, physical damage, or bodily harm.

Customs and excise bonds are for the benefit of the federal government and guarantee that either taxes or duties or both will be paid by the principal when invoiced by the government. This multi-purpose bond is required for the following activities:

• Customs brokers licensing regulations
• Temporary importation regulations
• Transportation of goods regulations
• Display goods temporary importation regulations
• Customs bonded warehouse regulations
• Customs sufferance warehouse regulations
• Accounting for imported goods and payment of duties
• Duty-free shop regulations
• Other authorities may be accepted

Through our U.S. affiliates, we have the ability and capacity to issue bonds required at the federal, state, county, and municipal levels, and more. This direct relationship with our U.S. affiliated companies enables seamless processing of U.S. bonds. Contact us for more information about obtaining U.S. bonds.

The purpose of the lost instrument bond is to ensure that the corporation, shareholders and transfer agents are protected against any claims that may arise as a result of the instrument being replaced. This bond also serves as a guarantee that if the lost instrument is found at a later point in time, it will be returned to the surety writing the bond for proper disposal so future economic loss from this instrument cannot occur.

Are you dealing with an estate that is not court probated and requires a transfer of a stock certificate, investment and/or mutual fund account, bank account or other valuable instrument? Estate matters can be very stressful for the individual responsible for distributing the deceased's assets. Travelers Canada offers the waiver of probate bond to an estate representative to help in such a situation.

Is your organization sending out securities of significant value that can potentially be lost in transit? Travelers Canada has the answer for how to insure security shipments efficiently and cost-effectively. We offer a program for single trip shipment coverage. This excess mail insurance product is designed to protect the shipment of securities (up to the purchase coverage limit) by an approved courier in the event of a notice of non-receipt made by the intended addressee. Should a non-receipt notice occur on the couriered security shipment, Travelers Canada would be in a position to provide the mandatory lost instrument bond to replace the lost security.

Whenever a standby letter(s) of credit (L/C) is provided by a bank, there may be an opportunity to provide a surety bond in place of the letter of credit:

• Paid loss retro programs
• Performance obligations
• Workers compensation self-insurers' obligations
• Security for appeal of a court decision
• International obligations

Commercial contract bonds are surety bonds that guarantee the obligations of a contract for businesses operating outside the construction industry. These may include bid, performance, payment, supply, maintenance, or warranty bonds, assuring customers that the bonded company will fulfill its contractual commitments. Typical accounts include:

• Service contractors
• Manufacturers
• Suppliers/Installers
• Retailers/Wholesalers