This two-part seminar presents a wide-ranging examination of bond-related issues connected to the construction industry, beginning with a basic review of how bonds work, how they differ from liability insurance, and the basic terminology of bonding. Included in this class is a general discussion of the Federal Miller Act and general state statutes which require bonds on public works projects. As a prelude to the topic of bid bonds, the public works bidding process is covered.

Bid bonds, performance bonds, and payment bonds each receive separate and extensive treatment in this series. Major clauses within each of these bond forms are discussed using the American Institute of Architects forms as a guide. The distinctions between first and second tier claimants in performance bonds are covered along with an examination of the notice and claim content provisions of each bond.

Contractor default, concentrating mainly on financial failures, is also reviewed in this two-part series. This section’s goal is to move producers from being reactive to proactive in recognizing signs of contractor distress. The function of the general indemnity agreement is presented as part of this discussion.

Participants in this webinar will:

• Understand the competitive bidding process and be able to identify some of the risks inherent in it
• Develop the vocabulary for construction bonds and the parties to the agreements involved
• Increase their knowledge of the terms and conditions of major, industry standard bond forms; and Advance in the skills necessary to counsel insureds about how bonds work on a practical basis.