Utah Surety Bonds

Utah Surety Bonds Overview

Surety bonds are required in a number of cases in the state of Utah. If you want to apply for a business license, chances are you will be asked to get bonded prior to being issued a license. If, as a contractor, you wish to perform on state or federal construction projects you are also likely to be required a bond before you can do so.

What is the purpose of the bond?

The function of the surety bond is to guarantee that the bonded party (the bond principal) will comply with the conditions that are stated in the bond agreement. Frequently these conditions include compliance with state laws and regulations, the requirement to conduct business fairly and honestly, and more.

Moreover, the bond also serves to protect various parties (the bond obligees), such as the state or the public, from violations of these bond conditions by the principal. If such violations lead to losses or damages for the obligees, they may file a claim against the bond to receive compensation. The bond company that backs the bond may then compensate them up to the full amount of the bond to resolve the claim.

Learn more about how bonds work and why you may need to get bonded from our great ‘What is a surety bond’ guide!

Ready to start? Find the bond you need in the table below, and follow the link to fill out the application. We’ll get in touch to provide you with your free quote.

If you want to know more about the types of bonds that are available, and how much it costs to get bonded in Utah, see the sections below.

Types of Surety Bonds in Utah

Several different types of bonds are available in Utah.

• A license and permit bond is necessary for business licensing purposes
• A contract bond is required for bidding and performing on construction contracts
• A court bond is necessary if you wish to appeal a court judgments

Learn more about all of these bonds in the expanded sections below.

License & Permit Bonds

A majority of businesses in Utah need to get licensed. This often entails getting bonded as well. By getting bonded, these businesses guarantee to their clients that they will comply with Utah state’s regulations. Bonds also enable customers to take measures against businesses who act in dishonest ways, and to receive financial compensation for the losses they may have suffered.

Among the most common license and permit bonds in the state are the auto dealer bond, the mortgage broker bond, and freight broker bonds. There are many other types of license bonds that are also required in Utah.

Contract Bonds

Licensed and bonded contractors in Utah will often be required to obtain one or more contract bonds. These bonds are requested by project owners when contractors bid or work on a project. Federal, state, and public projects almost always ask contractors for contract bonds.

Contract bonds guarantee that contractors will perform their work according to the project's requirements, and in total compliance with Utah state regulations for contractors. Whenever this is not the case, project owners can file a claim against these bonds and receive compensation.

Court Bonds

Court bonds are typically obtained by applicants who have been requested by a county or state court to do so. They apply to cases when an individual appeals a court case or is appointed as someone’s fiduciary.

Call us at 866.450.3412 to speak to one of our surety experts and find out more about how to get bonded in Utah, or receive assistance with your application.

How Much Does a Surety Bond Cost in Utah?

The cost of your surety bond is determined on the basis of the type of bond you need and its amount. The bonding amount is the maximum coverage that a bond guarantees to its obligees. The cost of the bond, on the other hand, is only a percentage of that full amount. The cost is sometimes also referred to as the bond premium.

How is my bond premium determined?

Whenever someone applies for a bond, sureties consider their application and assess them on the basis of a number of factors, in order to determine a cost for the bond.

Among these factors, personal credit score is the most important one.

Before making a final decision, sureties may also take other factors into account, including:

• An applicant’s business and personal financial statements
• An applicant’s liquidity and asset profile
• An applicant’s industry experience

As a rule, applicants who have high credit scores are offered a premium between 1%-4% of the full amount of the bond.

Those who have a lower or bad credit score are offered higher rates, as there is more risk involved in bonding such applicants. Such applicants are typically offered a rate between 5%-15% of the full bonding amount.

Try our surety bond cost calculator below to get an estimate of your surety bond cost.

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Surety Bond Cost Calculator

Bond Type Select Your Required Bond Auto Dealer BondCollection Agency BondContractor License BondDebt Collector BondFreight Broker BondMedicare/Medicaid BondMortgage Broker BondRetail & Professional Services BondSchool BondSmall Loan Company BondSports Permit BondTax & Utility BondTelemarketing BondTravel Agent BondAll Other License Bonds

State Requiring the Bond Select Your StateAlabamaAlaskaArizonaArkansasCaliforniaColoradoConnecticutDelawareFloridaGeorgiaHawaiiIdahoIllinoisIndianaIowaKansasKentuckyLouisianaMaineMarylandMassachusettsMichiganMinnesotaMississippiMissouriMontanaNebraskaNevadaNew HampshireNew JerseyNew MexicoNew YorkNorth CarolinaNorth DakotaOhioOklahomaOregonPennsylvaniaRhode IslandSouth CarolinaSouth DakotaTennesseeTexasUtahVermontVirginiaWashingtonWashington D.C.West VirginiaWisconsinWyoming

Surety Bond Amount ($)

Select Your Credit Score Please select Above 700 650 - 699 600 - 649 550 - 599 549 and under

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Read more about how sureties settle on a rate and which factors influence bond cost at our Surety Bond Cost page.

How to Get Bonded in Utah

To apply for your bond choose the right bond application and follow the instructions. Applying takes only a few minutes for most bonds.

License bond application

Complete our online bond form to apply for your license and permit bond. We will soon get in touch with you to provide you with a free quote and further details.

Contract Bond Application

Complete the online application if you need a contract bond. Once you submit it, we will contact you with further information about bonding process.

Need help, or want to know more about surety bonds? Call us at 866.450.3412 to speak to one of our bond professionals.

Further Reading

About us:

Bryant Surety Bonds

Bryant Surety Bonds, Inc. is a surety bond agency based in Pennsylvania. Licensed in all 50 states and with access to over 20 T-listed, A-Rated bonding companies, we have the contacts, expertise, and top service to provide you with a hassle-free experience, all while offering competitive rates for your surety bond.