After completion of the construction period, construction contracts usually impose a maintenance period, during which the contractor would be responsible for any faults or defects which may occur. During this time, the project owner would insist on a Maintenance Bond as security against the risk that the contractor neglects to make these corrections. If you are a contractor, Nordic Guarantee can satisfy the security requirement by issuing a Maintenance Bond to the project owner on your behalf.
Nordic Guarantee’s Maintenance Bond normally runs over a two or five-year period, depending on the type of contract or installation, but may of course be tailored to your specific requirements. Unlike usual insurance policies, Maintenance Bonds are not subject to payment of a First Loss, Excess payment or a Deductible. Maintenance Bonds relate to specific agreements/ contracts and are invariably only valid for limited periods. Although a Maintenance Bond is an irrevocable document, there is no requirement to return the original document after the Maintenance Bond lapses. This is one example how we strive to make your live a little bit easier.
Nordic Guarantee is the obvious choice when you need a Maintenance Construction Bond
We specialise in providing Bonds- full stop! As a result, we possess the skill-set and specialist expertise to deal with anything relating to Bonds. Furthermore, a Maintenance Bond provided by Nordic Guarantee afford clients the same protection and security as a Bank Guarantee. Our range of Maintenance Bond -products are designed to meet the particular standards set in a range of industries. However, should you have a unique requirement, we are willing and able to propose a customised solution to suit your business. Overall, our Maintenance Bond serves to improve your company’s liquidity without compromising its existing bank credit facilities. Most importantly, we pride ourselves on a straightforward, fast and convenient application process with no hidden setup fees or administration costs.