Department of Defense Hauling Performance Bond
What is a Department of Defense Hauling Performance Bond?
A Department of Defense Hauling Performance Bond is required to be in place by any company that wishes to haul military freight. They are mandated by the Surface Deployment and Distribution Command (SDDC).
How does a Department of Defense Hauling Performance Bond Work?
This type of Performance Bond safeguards routine and guarantees the fulfillment of a haulers duties to transport military freight. It covers any default, missed/delayed shipments or even a bankruptcy of the actual hauler.
The Performance Bond does not cover issues like a hauler’s operational issue, including missed or late deliveries, payment terms extended to middlemen or brokers, extended or missed transportation deadlines, or damage/loss to contents being hauled.
How much does a Department of Defense Hauling Performance Bond Cost?
The cost of a Department of Defense Hauling Bond will vary based on the size of the hauling company and the number of states the hauling company will be operating in. If the company is operating in one (1) state, the amount of the required bond is $25,000. If the hauling company is operating in two to three (2-3) states, the bond amount must be $50,000. If the hauling company is operating in five or more (5+) states, the bond amount must be $100,000.
The cost for this type of bond is typically based off the credit history of the owners of the company. All owners with 10% or more ownership will be taken into consideration. Should an account be considered borderline, we may need to review personal or business financials to secure a quote. At Universal Service Agency we specialize in placing clients in any circumstance that may present itself from “superior credit” to “less than perfect credit” and everything in between.
How do I get a Department of Defense Hauling Performance Bond?
You can get a Department of Defense Hauling Performance Bond by contacting surety bond agents/brokers. Since you’re already here, you can give us a call at 215-646-2400 or Apply Now here.
How to Choose a Bonding Company?
Universal Service Agency offers Surety Service Made Simple. We are the fastest surety only agency in the country, with over 100 years of combined surety experience servicing all 50 states. We exhaust all of our resources to get you the fastest turnaround times and lowest rates. We can help anyone, even clients that may not fit into the standard market. You can get a free quote here or call our bond experts at 215-646-2400.
How long does it take to get a Department of Defense Hauling Performance Bond?
Universal Service Agency can issue bonds the same day as long as the Travel Agent is motivated to complete all of the requirements. The amount of time between application and issuance is affected by a number of factors though, including but not limited to, the size of the obligation, the type of bond, and promptness of the premium payment.
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Universal Service Agency is the fastest “surety only” agency in the country, with over 100 years of combined surety experience servicing all 50 states.