Suretyship insurance
Bid, advance payment, performance and maintenance suretyship insurance.
Suretyship insurance for business
ERGO surety insurance provides a means to secure contractual obligations. This insurance ensures that if the policyholder fails to fulfil contractual obligations for various reasons (or fulfils them improperly), the insured (beneficiary) will be compensated for the direct losses incurred.
To secure your company’s obligations to the customer, you can choose from a number of our insurance options. Our range of surety insurance types will allow you to cover various types of obligations to the customer, whether under the terms of the customer’s procurement, the terms of a contract between you and the customer or statutory requirements.
Why to choose ERGO insurance?
Market leader
We have many years of experience in suretyship insurance, leading the market
Insurance contracts up to 5 years
We offer long-term insurance coverage as needed
Focus on customer
We offer exclusive customised solutions to meet your needs
Securing non-standard obligations
Our insurance services are available to cover a wide range of the policyholder’s liabilities, including facilities abroad
What is covered by suretyship insurance?
All insured events
Depending on the policyholder’s needs, we can provide the following types of suretyship insurance:
- bid surety insurance;
- performance surety insurance;
- advance payment surety insurance;
- maintenance surety insurance.
Bid surety insurance
With bid surety insurance, we ensure compensation of direct losses to the customer if:
1. the policyholder withdraws his/her tender within the validity period specified in the tender conditions;
2. the policyholder does not sign the contract in accordance with the tender conditions and the instructions to tenderers after the customer has accepted the policyholder’s tender within the validity period specified in the tender conditions;
3. after the acceptance of the policyholder’s tender by the customer during the period of validity specified in the tender conditions, the policyholder fails to provide the customer with a performance security as provided for in the tender conditions;
4. after the acceptance of the policyholder’s tender by the customer during the period of validity specified in the tender conditions, the policyholder fails to agree to an adjustment of the price of the tender as provided for in the tender conditions.
Performance surety insurance
With performance surety insurance, we ensure compensation of direct losses to the customer if the policyholder:
1. fails to carry out the works/supply the goods/services in accordance with the requirements of the signed contract;
2. is in breach of the time limits laid down in the contract;
3. unlawfully refuses to continue to carry out the works/supply the goods/services in accordance with the contract signed with the customer.
Advance payment surety insurance
With advance payment surety insurance, we ensure compensation of direct losses to the customer if the policyholder does not use the advance payment granted to him/her in accordance with the contract signed with the customer for the intended purpose.
Maintenance surety insurance
With maintenance surety insurance, we ensure compensation of direct losses to the customer if the policyholder (contractor) fails to rectify defects in the contract work caused by the policyholder during the warranty period.
What is covered by suretyship insurance?
Depending on the policyholder’s needs, we can provide the following types of suretyship insurance:
- bid surety insurance;
- performance surety insurance;
- advance payment surety insurance;
- maintenance surety insurance.
With bid surety insurance, we ensure compensation of direct losses to the customer if:
1. the policyholder withdraws his/her tender within the validity period specified in the tender conditions;
2. the policyholder does not sign the contract in accordance with the tender conditions and the instructions to tenderers after the customer has accepted the policyholder’s tender within the validity period specified in the tender conditions;
3. after the acceptance of the policyholder’s tender by the customer during the period of validity specified in the tender conditions, the policyholder fails to provide the customer with a performance security as provided for in the tender conditions;
4. after the acceptance of the policyholder’s tender by the customer during the period of validity specified in the tender conditions, the policyholder fails to agree to an adjustment of the price of the tender as provided for in the tender conditions.
With performance surety insurance, we ensure compensation of direct losses to the customer if the policyholder:
1. fails to carry out the works/supply the goods/services in accordance with the requirements of the signed contract;
2. is in breach of the time limits laid down in the contract;
3. unlawfully refuses to continue to carry out the works/supply the goods/services in accordance with the contract signed with the customer.
With advance payment surety insurance, we ensure compensation of direct losses to the customer if the policyholder does not use the advance payment granted to him/her in accordance with the contract signed with the customer for the intended purpose.
With maintenance surety insurance, we ensure compensation of direct losses to the customer if the policyholder (contractor) fails to rectify defects in the contract work caused by the policyholder during the warranty period.
20+
countries across the ERGO Group
1200
team members in the Baltics
640 000+
customers in the Baltics
90+
products
