Contract bonds are a broad group of surety bonds designed to guarantee the fulfillment of a contract. These types of bonds are extremely common in the construction industry and are often referred to as construction bonds.

Commercial bonds are typically lower risk bonds that are utilized during commercial transactions. These types of bonds are used to ensure compliance with state licensing and permitting regulations and requirements.

Court bonds are a unique category of surety bonds that are utilized in the legal system. These types of bonds are most often used to limit losses from a ruling or ensure a party will fulfill their responsibility based on the outcome of a specific case.

Banks and financial institutions typically obtain these types of bonds in order to protect themselves and their customers in cases of employee theft, forgery, fraud and other types of dishonest activity.