Janitorial Service Bond
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What is a janitorial bond?
A janitorial bond is a type of fidelity bond (i.e., a business service bond), a three-party contract that protects your customers from financial damages due to employee theft. The three parties involved in the contract are the principal (the janitorial service business), the obligee (the bond beneficiary), and the surety (the company that issues the bond). Various types of cleaning service businesses can purchase a janitorial bond for extra coverage. If one of your employees commits theft while working inside a client’s home or office and the client files a claim against you, the bond will offer coverage for court proceedings. Other names for this bond may include:
- Carpet cleaning bond
- Housecleaning bond
- Custodian bond
- Janitorial services fidelity bond
- Cleaning bond
- Business service bond
Get Your Janitorial Service Bond:
Quick Takeaways
- A janitorial bond is a type of fidelity bond, a three-party contract that protects your customers from financial damages due to employee theft.
- Various types of cleaning service businesses can purchase a janitorial bond for extra coverage.
- If one of your employees acts dishonestly and steals from a client, that client can file a complaint. Then you can file a claim on the janitorial bond on your client’s behalf.
- Janitorial bonds can be very affordable.
How do janitorial service bonds work?
If one of your employees acts dishonestly and steals from a client on the job, that client can file a complaint. Then you – the principal – can file a claim on your client’s behalf on the janitorial bond. Your surety will then provide compensation for clients equal to the value of their stolen property.
Who needs a janitorial service bond?
If you want to run a housekeeping, carpet cleaning, maid service, or related company, consider purchasing a janitorial bond. It will protect your customers against employee theft on their property. Posting this bond will ensure your customers that you’re looking out for their best interests, giving them more peace of mind as they allow your employees into their personal or professional spaces.
How much does a janitorial bond cost?
Janitorial bonds can be very affordable. The cost will depend on various factors, including your credit history, how many employees you have, the type of work, and the type of clients you serve. You can choose the coverage amount you need for your business and then pay a small percentage of that amount to obtain your bond. We often issue these bonds instantly for as little as $100 per year. You can easily renew your bond annually after the first term expires (a year after issuance).
Frequently Asked Questions
Do I need to renew my bond?
If you want your bond to remain active, you must renew it annually before it expires. Renewing your bond is simple and quick.
What other policies should janitorial/cleaning businesses have?
In addition to getting bonded, you should also carry various types of insurance for protection. Here are some insurance options to consider:
- General liability insurance
- Commercial liability insurance
- Professional liability insurance
- Workers’ compensation insurance
- Business owner’s policy (BOP)
- Umbrella insurance
- Commercial auto insurance
How to Apply for Your Janitorial Service Bond
ZipBonds offers the fastest and most secure option for getting the surety bonds you need. Our all-digital platform is intuitive and straightforward. Apply online or call us at (888) 435-4191 to speak with an agent directly. We’ll help you get bonded in a zip!
About ZipBonds.com
Founders Ryan Swalve and Zach Mefferd formed the vision for ZipBonds.com when they realized how overly complicated it was to help clients place surety. The frustration of being unable to incorporate the technology they’d used in other insurance-focused projects left them thinking “there has to be a better way.”
Fast forward a couple of years, and that better way is the impetus of everything we do at ZipBonds. We constantly look for innovative ways to improve the bonding process for our clients and agents. Our team comprises individuals who understand all angles of surety – for companies, agencies, and individuals. Incorporating everyone’s point of view to improve the process while simultaneously integrating cutting-edge technology is what sets our business apart.