A reinstatement notice is an official document issued by a surety company to reinstate a previously canceled bond.
Surety bond reinstatement requests are typically needed for one of the following two reasons.
- A bond was canceled due to renewal premium nonpayment, and the client principal remits payment after cancellation because the obligee still requires the bond.
- A bond was canceled mid-term at the surety company's discretion for any number of reasons, including, but not limited to:
- claim filed against the bond
- premium financing nonpayment
- discovery of fraudulent application information
By issuing a reinstatement notice, the surety company reneges the previously issued cancellation notice and confirms the bond remains in effect with no lapse in coverage.
Before a reinstatement notice can be issued, the surety company will review the request and must always agree to reinstate the bond, again, because they're reneging the previously issued cancellation notice and confirming the bond actually remained in effect during that time.
Reinstatement Request Approval
If the surety company approves a reinstatement request, they will issue formal documentation to be filed with the obligee verifying the original bond has been reinstated and remains active.
Reinstatement Request Denial
If a surety company denies a reinstatement request for a bond obligation that's still required by an obligee, the client principal will need to purchase and file a new bond.
If your bond has been canceled and you'd like to request it be reinstated, call 1 (800) 308-4358 or email email@example.com, and one of our friendly representatives will be happy to help.