A bond is a contract issued under seal by an insurer or other organizations such as banks, which commits the issuer to paying a sum of money if the conditions of the bond are broken.
- Performance Bonds
Provide protection when a contractor fails to complete contractual work.
2. Bankers Blanket Bond
It is an insurance that protects a bank against fraudulent acts perpetrated by employees, as well as theft or burglary perpetrated by non-employees.