Wage and Welfare Bonds
What is a Wage and Welfare Bond?
A Wage and Welfare bond guarantees payment of wages and/or benefits to union employees by contractors or any company that hires union members. Wage and Welfare bonds also identified as Union bonds and Fringe Benefit bonds.
How does a Wage and Welfare Bond work?
The purpose of a Wage and Welfare bond is to make sure the union dues, wages, and fringe benefits are being paid on time by the employer that has contracted union labor. It is also put in place so the obligations made between the contractor and the union are being met accordingly. In most cases, a bond needs to be put in place prior to starting the hiring process with the union and starting work with other contractors.
How much does a Wage and Welfare Bond Cost?
The cost of this type of bond is based on the bond amount required by the state in which the bond is required. A big factor in pricing is determined by the corporate financials and the personal credit report of all owners and spouses. Someone with good credit may pay a lesser premium than a person with poor credit. However, just because someone has poor credit does not mean we cannot help you. At Universal Service Agency, we strive to find our clients the best rates with the strongest rated carriers to insure you are getting the best bond coverage available.
How do I get a Wage and Welfare Bond?
How to Choose a Bonding Company?
How long does it take to get a Wage and Welfare Bond?
Universal can issue bonds the same day an application is received. 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.