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What is a Surety Bond Company? A Surety Bond Company (also called a surety, surety company or bonding company) is the party of the surety bond that takes on the risk and is responsible for paying the surety bond obligee in the case of a default by the surety bond principal.
What is a Surety Bond? Definition: surâ¢eâ¢ty bond A surety bond is a contract between three partiesâthe principal (you), the surety (us) and the obligee (the entity requiring the bond)âin which the surety financially guarantees to an obligee that the principal will act in accordance with the terms established by the bond.