Surety
An increasing proportion of public and private contracts today require security, such as a surety bond or guarantee, for contractual obligations. The regular need for these products can reduce the availability of bank credit lines and impact the financial flexibility required to finance investments.
Working with ACE’s expert surety and guarantee team can help companies maintain their financial flexibility, strengthen liquidity and diversify sources of financing. Surety bonds and guarantees issued by ACE can also help satisfy a counterparties’ requirement for security while helping to preserve other credit lines.
Target market
- FTSE 250 companies
- Large, privately held companies generating consolidated revenues exceeding £250 million
- Corporates with a need for surety bonds and guarantees to satisfy legal, customs or fiscal obligations
Types of surety bonds and guarantees issued
- Bonds to appeal adverse tax, civil or competition related judgments (fiscal / court / appeal bond)
- VAT and custom bonds
- Bonds for cross-border shipment of waste within the EU
- Licence and permit bond
- Bid bonds
- Advance payment bonds
- Payment bonds
- Performance bonds
- Warranty or maintenance bonds
Benefits of ACE surety and guarantees
By choosing ACE surety and guarantees:
- You comply with your legal obligations
- You get access to new markets and win new contracts while securing your clients, commercial partners and public authorities
- You strengthen your trustworthiness and reinforce your reliability by providing beneficiaries with a first-class guarantor.
- You optimise your cash management and benefit from reasonable financing costs
By issuing bonds and guarantees through an insurer rather than a bank:
- You diversify your financial partners and maintain your borrowing capacity and credit lines
- You get access to markets where insurers have an exclusive right to issue surety bonds (such as the US or Mexico)