Market capitalization is one of the go-to statistics for surety underwriters when evaluating a public corporation’s financial information. The market capitalization (commonly referred to as “market cap” for short) represents the value of the corporation’s outstanding...
Underwriters must consider a principal’s structure of business when determining whether to approve the principal’s bonds. Businesses have different types of ownership, and thus underwriters must determine which owner, owners, or entities need to indemnify the surety....
For litigation bonds, our underwriters may ask to see a principal’s financial statement as part of the application process. This is especially true if the principal is a business, organization, or corporation. Acceptable financial statements prepared by a Certified...
