FLU Tip Oct 2025 – Subcontractor Bonding

“Subcontractor bond risk lives in the details: multi-tier exposure, trade replaceability, and continuity of protection. Require transparency into lower-tier contracting. Underwrite the continuity of payment protection, not just the subcontractor’s balance sheet. Always confirm that downstream obligations are either bonded or contractually secured.”

– Surety Place FRONT LINE UNDERWRITER (FLU) Tip of the Month