Contract bonds · Georgia
See your premium before you apply. We bond Georgia contractors on public and private jobs, from a first $100,000 job to a multi-million dollar school build, through A-rated carriers.
Georgia bond law last reviewed November 2026
Opens our secure bond application in a new tab, already searched for contract bonds. Pick the performance and payment application and upload your contract. We complete the bond form for you. The application page shows the name of our parent agency, The East Agency.
What they cover
A performance and payment bond is a three-party promise. The surety guarantees the project owner that you will finish the job and pay the people who work on it. If you can't, the surety steps in.
The surety backs your promise to the owner. You stay responsible for the work and for repaying any valid claim.
Guarantees the work. If you default, the surety can finance you to finish, bring in another contractor, or pay the owner up to the bond amount.
Guarantees the bills. On public jobs, subs and suppliers can't put a lien on government property, so the payment bond is how they get paid if you don't.
Georgia law
Who owns the project decides which law applies. Here is where the thresholds stand today, including the 2025 change that many bond sites still haven't caught.
| Project owner | Bonds required when | Bond amounts | Law |
|---|---|---|---|
| State of Georgia agencies | Over $100,000The state may also require bonds on smaller contracts. | Performance and payment, each at least 100% of the contract | O.C.G.A. §§ 13-10-40, 13-10-60 |
| Cities, counties, boards of education and local authorities | $250,000 and upRaised from $100,000 on July 1, 2025. Owners may still require bonds on smaller jobs. | Performance and payment, each at least 100% of the contract | O.C.G.A. §§ 36-91-70, 36-91-90; threshold in § 36-91-22 as amended by HB 137 (2025) |
| Federal projects in Georgia | Over $150,000Smaller federal jobs may use other payment protections. | Performance and payment, generally 100% of the contract | Miller Act, 40 U.S.C. § 3131; FAR 28.102 |
| Private owners and developers | When the contract says soLenders, developers and general contractors often require them on subcontracts. | Set by the contract, often 100% | Contract terms |
Bidding on public work? Most Georgia public bids over the threshold also need a bid bond of at least 5% of the bid. Once you win, the bid bond is replaced by the performance and payment bonds. We set up both at the same time.
The bid documents always win. A city can require bonds on a $60,000 job, and a private owner can ask for a different amount. Send us the bond section of your bid package and we'll tell you exactly what's required.
Cost
On our standard program, one premium of 3% of the contract covers both the performance bond and the payment bond. You pay it once, and it covers the bond for the life of the contract.
| Contract amount | Bond amounts | Premium at 3% |
|---|---|---|
| $100,000 | $100,000 each | $3,000 |
| $250,000 | $250,000 each | $7,500 |
| $500,000 | $500,000 each | $15,000 |
| $1,000,000 | $1,000,000 each | $30,000 |
| $2,000,000 | $2,000,000 each | $60,000 |
| $3,000,000 | $3,000,000 each | $90,000 |
What moves the price
Getting approved
The bigger the job, the more the surety wants to see. Have these ready and your bond moves faster.
Most first bonds and smaller contracts are approved on the owner's credit and a short application.
As jobs grow, the surety wants to see that the business can carry them.
For big single jobs and high totals across jobs, we build a program with a single-job limit and an aggregate limit.
How it works
Enter your contract amount above and see the premium. Quoting never pulls your credit.
About 60 secondsOne short application, signed online. Many bonds are approved on the spot. Larger contract bonds get a quick underwriting review.
About 5 minutesWe issue both bonds and send them to you or straight to the owner, ready to attach to the contract.
1 to 2 business daysQuestions
On our standard program, a performance and payment bond costs a flat 3% of the contract amount, and that one premium covers both bonds. A $500,000 contract is $15,000. Larger programs with strong financials are often priced lower by the carrier.
On Georgia public projects that meet the legal threshold, yes. State and local law require both, each for at least 100% of the contract amount. On private jobs, the owner or lender decides, and most ask for both.
State agency construction contracts over $100,000 require both bonds under O.C.G.A. 13-10-40 and 13-10-60. Local government projects such as cities, counties and boards of education require them at $250,000 and up, since House Bill 137 raised the local threshold on July 1, 2025. Federal projects over $150,000 require them under the Miller Act. An owner can still require bonds on smaller jobs, so check your bid documents.
Usually one to two business days after we have a complete application and the contract or bid documents. Bigger jobs that need financial statements can take longer, so start before the bid date.
Often, yes. Newer contractors are usually bonded on smaller jobs first and build capacity from there. Credit problems can mean a higher rate, a smaller limit or collateral, but they do not always mean a no.
The surety investigates before it pays anything. If the claim is valid, the surety pays or arranges to finish the work, and you repay the surety under the indemnity agreement you signed. A bond protects the owner and the people downstream, not the contractor.
Yes. Georgia law requires public project bonds to increase as the contract amount increases, so approved change orders that raise the price also raise the bond and add premium on the increase.
Related Georgia bonds
Sources: Official Code of Georgia Annotated §§ 13-10-40, 13-10-60, 36-91-22, 36-91-50, 36-91-70 and 36-91-90; Georgia House Bill 137 (2025), Section 6; Miller Act, 40 U.S.C. § 3131; Federal Acquisition Regulation 28.102. This page is general information about bond requirements, not legal advice.
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