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Contractors Surety Insurance Company (CSIC) prides itself in being “contractor-friendly”. Our underwriting differs from the traditional criteria, because we place emphasis on capital (mobilization) necessary for job start-up, rather than collateral (credit).
Bonding Frustrations
Access to adequate bonding is absolutely essential to small construction firms. Small minority contractors have long been frustrated by the unavailable bonding from the insurance industry, when it comes to surety bonds on reasonable terms and conditions. The number of traditional surety bond underwriters has been significantly reduced as a result of corporate mergers and consolidations. Those remaining are increasingly uninterested in addressing the small, premium, and high-risk segment of the market. Thus, the under-served contractors find it very difficult to secure adequate surety bonding in spite of the larger demand for their services, particularly for public works projects for which minority “participation goals” are often specified.
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