Payment and Performance Bond
Contract security for Arizona public and private projects
Payment and performance bonds protect Arizona project owners and subcontractors when the contractor defaults on performance or payment obligations.
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Arizona payment and performance bonds are surety instruments that guarantee contract completion and payment of labor and materials up to the penal sum.
The surety bond guarantees that the principal will perform the duties required under Contract documents - A.R.S. public works bonding requirements as applicable up to the penal sum.
A claim may arise if the principal fails to comply with the bonded Arizona obligation or causes covered loss to the obligee or protected parties.
If a claim is valid, the surety may pay up to the bond penalty according to the bond terms; the principal remains liable to reimburse the surety.
Amount, premium, term, and the authority that requires this filing.
Prime contractors awarded Arizona public works and many private projects that require contract bonds need matching payment and performance security.
Provide the contract, penal sum (often 100% of contract value), obligee, and any agency form required before notice to proceed.
Share your license type, court order, or obligee form and the exact penal sum required by Project owner or public agency obligee.
We review credit and filing details, then quote premium options through licensed surety markets.
Once approved, we issue the bond for delivery to Project owner or public agency named in the contract or for your Arizona filing package.
The amount is Usually 100% of the contract amount for payment and for performance on Arizona public and many private projects, as set under Contract documents - A.R.S. public works bonding requirements as applicable and confirmed with Project owner or public agency obligee.
The obligee is typically Project owner or public agency named in the contract. Always match the exact name on the Arizona form.
Many Arizona filings can be underwritten the same day when documents and credit are complete; complex amounts may take longer.
Not always. Premium and collateral options vary by credit and bond size — ask for markets that still write the risk.
Most bonds renew on the term shown (1 Year). Keep continuity so your Arizona license or filing does not lapse.
Next step
We’ll match the requirement and route the application.
Apply for this bond