Performance Bonds

Provides security to the beneficiary against contractor non-performance or default, and supports contractor obligations during the contract period, and generally, more specifically through the construction phase of the contract.

Bid Bonds

Supports a contractor's bid or tender to ensure that they will enter into a contract if accepted: demonstrates the financial capacity to enter the contract.

Advance Payment bonds

Secures the beneficiary's position on funds advanced to the contractor in recognition of early contract tendering expenses or payment in advance of works being completed; this is common with large government contracts.

Retention Release Bonds

This is another name for performance/maintenance bonds as contracts allow for retentions to be held back from progress payments or for security covering the same value.

Maintenance Bonds

Secures contractor's post-practical completion obligations during the warranty or latent defects period, usually 3-12 months post-practical completion or the final completion date.

Off-Site Material Bonds

Used when goods or materials are held off site and paid for by the beneficiary. The bond responds if the goods or materials are not available when required for use in the contract – the bonds reduce when goods or materials are fixed to the site. The underlying issue/risk falls back to performance or non-performance under the contract.

Petroleum Bonds (Fuel Bonds)

Fuel Bonds are a form of surety known as a supply bond for the payment of the delivery of fuel and provides retail and wholesale petroleum dealers with an alternative form of contractual security to their existing bank guarantees facilities. This product is unconditional and recognised and accepted by all the leading oil companies and will be targeted to our existing and future clients who are the known larger participants in this industry.

People

PETER KOHLMANN, Surety Runoff Consultant

Peter Kohlmann joined the BBC Surety Team in June 2015. Peter has worked in the Australian Surety industry since 1999 when he joined AP Surety as Group General Manager. Following a management buyout Peter became a principal of the business which later formed a joint venture with a major insurer and the business ultimately being acquired by the insurer, in 2011.

Prior to joining the Surety market Peter gained extensive experience in the Australia banking sector. Commencing with the ANZ Bank where he undertook both front and back office roles through to international trade, credit assessment and managerial positions. This continued with Lloyds Bank ANZ, Barclays Bank Group and St George. During the accumulation of 20 years banking sector experience, Peter completed an MBA.