What are erosion control bonds?
Governing authorities sometimes require contractors proposing jobs involving soil disturbance to obtain an erosion control bond. Erosion control bonds ensure compliance with the city, county, or state authority’s rules and regulations governing soil erosion control. In short, the bond protects the natural environment during construction jobs.
The contractor must comply with the bond terms, guaranteeing honest work performance and project completion. You may need this bond before your contractor’s permit for an applicable project is activated.
Get Your Erosion Control Bond:
Quick Takeaways
- As a contractor, you may need an erosion control bond if your project involves soil disturbances.
- An erosion control bond is a three-party contract between a developer or property owner, a licensing organization, and a surety company.
- A surety authorized to conduct business in the appropriate state must write the erosion control bond.
- The required value of the erosion control bond will depend on the cost to stabilize the proposed disturbed area. This is typically determined by an engineer’s estimate.
How do erosion control bonds work?
This surety bond is a three-party contract between a contractor, a licensing organization, and a surety company.
- Principal: The contractor that purchases the bond
- Obligee: The governing authority that requires the bond and issues a license or permit
- Surety: The institution that issues and backs the bond
If the contractor breaks the surety bond terms, they will be responsible for covering any costs that arise as a result.
Once you’ve attained permanent stabilization for all site areas, your bond may be released.
Surety Bond Conditions
A surety authorized to conduct business in the appropriate state must write the erosion control bond. The contractor (principal) must apply for the bond and faithfully comply with its terms. The surety bond will remain in effect until the contractor’s work is accepted by the obligee.
How much does an erosion control bond cost?
The value of your bond can vary based on the cost to stabilize the proposed disturbed area. You will pay a small percentage of the total bond value. The percentage you pay will depend on different factors (including your credit score).
Get an Erosion Control Bond in Your State
Select your state below to apply for an erosion control bond. The application can be simple depending on the bond penalty. If the bond penalty surpasses $50,000, financial information may be needed. After your application is approved and you pay your premium, we’ll instantly issue your bond. Get started today!
If you have any questions, you can connect with one of our team members by calling 888-435-4191 or emailing support@zipbonds.com.
About ZipBonds.com
Founders Ryan Swalve and Zach Mefferd formed the vision for ZipBonds.com when they realized how overly complicated it was to help clients place surety. The frustration of being unable to incorporate the technology they’d used in other insurance-focused projects left them thinking “there has to be a better way.”
Fast forward a couple of years, and that better way is the impetus of everything we do at ZipBonds. We constantly look for innovative ways to improve the bonding process for our clients and agents. Our team comprises individuals who understand all angles of surety – for companies, agencies, and individuals. Incorporating everyone’s point of view to improve the process while simultaneously integrating cutting-edge technology is what sets our business apart.