SBI General Surety Bond Bima: Inclusions
SBI General Surety Bond Bima provides protection against breach of contractual terms and conditions during the bidding stage or project execution stage.
Available Bond Types
Bid Bond
Provides protection if the successful bidder fails to accept the contract after winning the bid. It may cover earnest money, re-tendering costs, or the difference between the original bidder and the next eligible bidder.
Advance Payment Bond
Protects the beneficiary when advance payments are released to the contractor and the contractor fails to mobilise resources or fulfil contractual obligations.
Performance Bond
Provides financial security if the contractor fails to complete the project or fulfil contractual obligations as agreed.
Retention Money Bond
Acts as an alternative to retention money withheld by the beneficiary and provides assurance during the maintenance or performance period.
SBI General Surety Bond Bima: Exclusions
This Surety Bond Insurance will not apply in the following situations:
- The contract between the Principal and Beneficiary is terminated before the insurance takes effect.
- Contract terms are changed without the knowledge or approval of the Surety insurer.
- Losses arising from gross negligence, illegal acts, criminal acts, fraud, or collusion.
- Losses caused by war, acts of God, or nuclear perils.
- Third-party losses that are not part of the insured contract.
- Losses arising solely due to price fluctuations during project execution.
Note: Please refer to the official policy wording for the complete list of exclusions and conditions.
SBI General Surety Bond Bima: Documents Required
Documents may vary depending on the bond type and claim circumstances. Commonly required documents include:
- Contract agreement
- Tender or bid documents
- Project details
- Financial information of the contractor
- KYC documents
- Bond invocation notice
- Supporting documents related to contractual default
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