Reclamation bonds required by the Bureau of Land Management (BLM) and various state environmental agencies are long term surety obligations. Generally, these surety bonds cannot be canceled, adequate performance can be highly subjective, and bond losses can be large. These and other onerous provisions require the input of underwriters with knowledge and experience in the reclamation field. You may trust 'Surety One' to carefully review your application, provide expert feedback, and offer fair bond terms for these difficult surety needs.
Personal Financial Statement
A personal balance sheet from each owner and spouse is required from all applicants UNLESS the applicant is corporation with a capitalization in excess of $20,000,000.
Business Financial Statement
A business financial statements includes a balance sheet, P&L, statement of cash flows, notes and CPA cover letter. A compilation is sufficient for bond requests under $250,000. Reclamation bonding in excess of this figure will require submission of CPA prepared statements. Depending on the size of the program, we will request a current year-to-date statement and up to four previous fiscal year end statements.
Each submission should be accompanied by the applicant's certificate of liability insurance. We are especially interested in the existence of riders, endorsements, and/other enhancements to cover environmental hazards specific to an operation where reclamation is necessary.
A copy of all correspondence between the operator and the state and/or federal Obligee should be included with each submission. If the applicant operator has ever been reprimanded or received a notice of violation (NOV) sanctioned, fined, or had any regulatory action taken against it, a full explanation and date of final abatement will be required.
*AS THE UNDERWRITING PROCESS MOVES FORWARD, BE PREPARED FOR FURTHER INFORMATION REQUESTS. YOU MAY REDUCE THE POSSIBILITY OF MULTIPLE REQUESTS BY FULLY PROVIDING THE INFORMATION REQUESTED WITHIN YOUR INITIAL SUBMISSION.
Applying for a reclamation bond should be accomplished through a surety underwriter with unique knowledge and experience with this sector. One does not go to a podiatrist for brain surgery so we do not expect you to obtainin reclamation bonds from your personal insurance agent. We are surety bond "specialists". We offer both surety and fidelity bonds needed by local, state and federal government entities in all fifty states, Puerto Rico and the U.S. Virgin Islands. Questions about a reclamation bond? Call us at (800) 373-2804, email us at Underwriting@SuretyOne.com or click here for live chat.
Surety bond application review and quoting are free of charge. There is no obligation to purchase.