Lance Surety Bond Associates, Inc.

Today, most surety bond consultant firms focus their efforts on internet sales and marketing. While the development of the internet has made the sale of certain bonds such as commercial bonds much easier, it has not been a major source of new business for all bond types. For instance, construction performance bonds, which generate some of the highest premiums of all surety bonds, have seen relatively small increases in new business generation via the internet, industry wide. To understand the significant difference in internet-based sales volume between commercial surety bonds and construction performance bonds we can look to three reasons:

1. Geographical location
2. Complex underwriting
3. Difficulty adjusting to new ways of doing business

Geographical location: When dealing with a construction performance bond, some sureties may have difficulty providing significant financial backing to a contractor (principal) and is not geographically close to their bond agent.

Complex underwriting: The paperwork involved in writing a construction performance bond (contract bond) can be much more time-consuming and complex than some of the commercial bonds out there.

Difficulty adjusting to new ways of doing business: We

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In reaction to the significant amount of medical equipment fraud in recent times, the Center for Medicare and Medicaid Services (CMS) just announced that it has taken back billing privileges of over 1,000 suppliers of medical equipment in two states: California and Florida.

Most affected suppliers were operating in Southern Cal and South Florida. CMS has also halted payments to a number of

With insurance, a person is required to pay an insurance premium to their insurance company which essentially transfers most (if not all) risk from the individual purchasing the insurance to the insurance company. The only similarity between insurance and a surety bond is the payment of a premium, because when a person pays a bond premium for a surety bond they (the principal) do not transfer risk to the surety, and instead the payment of claims will fall on the principal