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LGIC Surety: Quality, Experience, Stability
Contract Surety

Classes of Contractors

Classes of contractors considered:

  • General contractors
  • Speciality contractors
  • Subcontractors

Bonds Excluded

Contract surety bonds excluded:

  • Completion Bonds except Subdivision Bonds less than $1,000,000.00
  • Closure Bonds and Post Closure Bonds
  • Bonds issued through the Small Business Administration and the Surety Bond Guarantee Association Program
  • Dual obligee bonds (but this exclusion shall not apply to any Bond containing a savings or Los Angeles clause)
  • Contracts that are identified and clearly defined in the bid description as hazardous waste in nature, except asbestos abatement or lead abatement work where the contract price is less than $500,000
  • Reclamation bonds
  • Well plugging bonds
  • Design build contracts
  • Software contracts
  • Environmental remediation contracts

Submission Requirements & Forms

Standard Underwriting Information

  • Business Financial Statements: Last three consecutive fiscal year-end financial statements, REVIEW or AUDIT quality, prepared by a CPA on a percentage of completion basis. If the fiscal year-end statement is over 180 days old, a CPA interim statement will be required.
  • Schedule of Aged Receivables, Payables & Retention: Concurrent with the last fiscal year end business statement with notations as to amounts collected since the statement date.
  • Bank Letter: Working capital line of credit: Total amount of line, term, security, and amount currently available. Include copy of bank line covenants.
    LGIC form preferred - download the form (.doc)
  • Schedule of Uncompleted Work In Progress: Concurrent with financial statements and no less than quarterly.
    LGIC Form preferred - download the form (.xls)
  • Personal Financial Statements: For all owners/stockholders. Statements are to be signed and dated.
    LGIC Form preferred - download the form (.doc)
  • Contractor’s Surety Questionnaire: Signed and dated, no older than two years old. Lincoln General Insurance Company (LGIC) will accept a supplement questionnaire, which addresses any changes in the principal organization.
    LGIC Questionnaire preferred - download the form (.doc)
  • Reference Letters: From owners or general contractors of the largest jobs completed in the last three years for new accounts.
  • Resumés: on owners and key employees.
  • Current Insurance Certificate: Naming Lincoln General Insurance Company as certificate holder.
  • Bid Bond request: Include copy of bid specifications and bid bond forms - download the form (.doc).
  • Performance/Payment Bond Request: Include complete copy of contract and bond forms - download the form (.doc).
  • Agent Cover letter: Letter should outline accounts needs, history, prior surety involvement and any other relevant information.

Contract Bond Forms

LGIC Legal Forms

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