Performance Bond In Fidic | Performance Bond For Commodities

Tuesday, June 7, 2016

What It Means To Be Bonded, Licensed & Insured

Whenever a company offers its services, it’s generally quick to note that it’s bonded, licensed, and insured (when it applies and if they are) but I was never certain what that actually meant.  Until now, all I knew is that you should only hire someone if they’re bonded, licensed (if applicable) and insured.  Often times someone who isn’t will be cheaper, but you will have to accept all of the responsibility if something bad happens and, as Murphy’s Law clearly states – if something bad can happen, it will.

What Does Bonded Mean?

Being bonded means that a bonding company has secured money that is available to the consumer in the event they file a claim against the company.  The secured money is in the control of the state, a bond, and not under the control of the company.  Let’s say that you hire a cleaning company and they end up stealing your DVD Player.  Well, you would file a claim against the company and, after an investigation, would be paid out by this bond.

Why Is It Important To Have A License?

For certain professions, a license is necessary to show that you’re competent and permitted to conduct business in the city, municipality, or state in which the license was issued.  For example, home improvement contractors will have to be licensed to perform certain types of work and that license number will be printed on every advertisement they print.  You can take that license number and look up their performance history in most states through the Better Business Bureau.

How About Insurance

This is probably the most commonly understood of the three (second to being licensed) and this refers to what happens if someone gets hurt on the job.  Let’s say a company is fixing your roof and a roofer falls off and hurts him or herself.  If the company isn’t insured, then the claim gets filed against your homeowner’s insurance (bad).  If the company is insured, then the claim gets filed against the roofing company’s insurance.

Here Is What You Should Learn From This…

It is extremely important that anyone you work with is fully licensed, bonded, and insured.  There’s no reason why you should have to work with someone who isn’t all three.

FYI – ASAP Transport Solutions is a Car Shipping Company that is Fully Bonded, Licensed and Insured to haul vehicles anywhere in the USA and Canada.  They can also help arrange international transportation if needed as well.  

"Once you ship a car with ASAP once, you'll never use anyone else again."    

Call Us At:  1-800-757-1178 

15621 W. 87th St. Pkwy. Suite #107 
Lenexa, KS 66219

Don't Forget To Visit Our Website:

1 comment:

  1. I agree with your point of view of this article. This is a good article. Very timely given us so much useful information. Thank you!

    Car Ship Germany