Construction Contractors Embrace Direct Model from Direct Surety to Obtain Bid, Performance and Payment Bonds
Trend Toward “Going Direct” Captures Imagination of Public Works Contractors Nationwide
Foster City, CA—May 5, 2015—A rapidly growing number of public works contractors are choosing to “go direct” to the underwriter for their bid, performance and payment bonds instead of working through a broker or middleman. Direct Surety, a California-based company with deep roots in the construction and surety bond business, is championing the new direct model of obtaining surety bonds – and the new model is quickly gaining traction and transforming the construction industry.
“We’re receiving about 1500 inquiries every month from contractors across the country interested in the direct model,” said David Druml, Direct Surety’s founder and CEO. “Contractors tell us they would rather deal directly with the underwriter who makes decisions on their bonding limits and pricing than work through a middleman.”
Direct Surety’s approach matches the unstoppable and universal trend for companies and individuals to move away from a middleman for services and go directly to the source. Just as companies now make travel arrangements without travel agents and consumers buy automobile insurance without going through an insurance agent, contractors can now obtain bonds themselves through a transparent, one-on-one relationship directly with their underwriter.
Tapping into years of experience in the construction, bonding and banking industry, Direct Surety underwriters also work with contractors to identify and manage risks in their businesses that could lead to failure if not addressed. The company’s proprietary Enterprise Risk Management (ERM) solution is available to all Direct Surety customers without charge.
Direct Surety is writing bid, payment and performance bonds for a variety of small- to medium-sized contractors across the nation, with single bond limits as high as $25 million.
“Saying we appreciate Direct Surety doesn’t really convey how much we value the help they provide to our business,” said Ken Crane of Crane Excavating in Seminole, Oklahoma. “They were invaluable in enabling us to successfully bid our next project.”
“Direct Surety’s ERM and business guidance has become a true lighthouse, and as a result we have refocused how we operate our business,” said Ruben Santana of San Francisco-based Rubecon.
“Direct Surety’s underwriting team is very consumer focused,” said Tony Fowler of DC Restoration in Arizona. “Direct Surety should be proud of the direct model they are offering to contractors across the country.”
“The future of construction bonds is here and it’s the direct model,” said Druml. “Our clients are at the forefront of this trend, which we believe will lead to higher credit limits, more jobs and ultimately more profitability for public works contractors.”
About Direct Surety:
Direct Surety is positioned to be the leading U.S. provider of contract surety bonds enabling contractors to go direct to a surety underwriter rather than through a broker network. Direct Surety believes in empowering contractors to grow and prosper by connecting decision makers, promoting transparency, and offering tools to improve their operations and surety credit limits. The company’s primary focus is providing contract surety bonds directly to contractors, eliminating the need for a middleman and promoting a strong relationship directly with a surety underwriter. Direct Surety is led by an outstanding team comprised of experts from the construction industry, technology space and the surety field.
For more information, go to www.directsurety.com or speak directly to a decision maker at 877.989.9150.
Read our blogs about construction risks and management at http://www.directsurety.com/blog/
Michael Kovacs, Senior Vice President of Marketing
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