In connection with public works tenders, as security that you as the contractor the work is awarded to will actually sign the contract and will undertake to perform the work as contracted.
Advance payment bonds
As security for the repayment of advance payments or payments made on account.
Supply and service bonds
As security for the obligation you have taken on as contractor to supply goods and services up to the point at which the object is handed over or accepted.
To secure the supply of goods and the performance of services with or without a warranty period. They also trigger the repayment of warranty retention money, thus providing immediate liquidity to you as the contractor.
As security that any defects discovered during the warranty period. They also trigger the repayment of warranty retention money, thus providing immediate liquidity to you as the contractor.
Bonds for joint ventures and consortia
Major construction contracts are often carried out by a consortium (joint venture) – which involves particular risk the companies participating in such a joint venture. Euler Hermes has long-standing experience of joint ventures and offers special joint venture bonds for the construction industry which take account of their needs.
These include arrangements to secure the internal liabilities of the companies towards each other. Euler Hermes provides a system at very favourable prices which avoids charging twice for premium and risk liability.