What is bonding? Ever since you embarked on the search for the best roofing Canton MI contractor, you have come across this term and many other many times. While you appreciate a learning experience, this one is just eating away on your brain as no site seems to be providing you with an explanation sufficient to put your curiosity to sleep. Well, worry no more, after reading this article, you will be well settled and have a complete understanding of what bonding is and when it applies. This knowledge will help you in choosing the best roofing contractor in the business.
Now to get us started, you should know that many states require that a contractor be bonded if they are to obtain licensing. Not the other way around. Bonding is a pre-requisite of being licensed. Ideally, this means that the contractor will have to buy a surety bond in the form of insurance in order to protect its customers in the even they fail to complete their job as is expected of them or fail to make payments to the companies that they subcontracted or other financial obligations.
The requirements to get bonded vary from city to city, state to state. As such, it is in your best research that in your research you get to know of the rules that apply in the state that you reside in. at the state, there is usually a board put in charge of this. Licensing agencies available can also provide you with the information regarding bonding in your state. At the city or county level, there are departments that have been tasked with the job of ensuring all companies meet all the bonding requirements.
You probably are not aware of this, like many other homeowners that a company’s bond can protect you from being burdened with the responsibility of catering to the supply bills that are unpaid as well as the cost of workers that have not been paid and were assisting with the project. In addition, the bond could cover damages that occur as a result of the contractor’s negligence or in some serious situation theft.
The agency that is involved with the bond is for the most part the surety company to whom the contractor pays regular premiums to. These premiums are similar to those paid in insurance plans given that they take into consideration the history of the contractor and the size of bond cover the contractor picks.
In order for you to receive compensation for a shoddy job done, you will have to contact the surety company and provide some form proof that the project was not completed or that the roofer failed to meet all the legal financial obligations that were his responsibility.
However, the bonds are not only favorable to the homeowner, but to the contractor as well as many people will not hire a contractor who does not provide them with the cover of a bond. Many subcontractors and suppliers of roofing products for Michigan will also only work with contractors that are bonded.