There are three parties involved :
-
The First Party
The first party is called the Surety, this is the insurance company providing financial protection
to the Obligee that the Principal will fulfill their obligations.
-
The Second Party
The second party is called the Principal,
the principal has to fulfill their obligations binded upon an agreement with the Obligee
-
Third Party
The third party is called the Obligee,
this is the company or individual that the Principal has agreed to fulfill a certain task for.
By having a bonding agreement, in the case where the Principal has failed
to fulfill their obligations agreed beforehand with the Obligee,
the surety will provide financial coverage for the Obligee.
The Surety Bond guarantees the following :
- Tender/Bid bond
- Performance Bond
- Advance Payment Bond
- Maintenance Bond
Intra Asia Insurance works together with the Ministry of State Owned Enterprises to handle these agreements proficiently with competence.