Overview
A business services bond, also called a janitorial or service bond, protects your clients if one of your employees steals from them while on the job. Cleaning companies, home-service providers, and other businesses whose staff work inside customer homes or offices use it to reassure clients and to win contracts that require coverage.
It is a form of fidelity coverage. The bond reimburses the client (the obligee) for a covered theft, usually after a conviction, up to the bond amount. Pricing is driven largely by the number of employees and the bond amount you choose.
The bond protects your clients, not your own business. It is also distinct from general liability insurance, which covers accidental property damage or injury rather than employee theft.
Who needs this bond
Service businesses that send employees into client homes or offices (cleaners, IT contractors, home health, property managers) often as a contract requirement.
Typical amount and term
Bond amount set by the customer or by your own risk profile, commonly 10,000 to 1,000,000 dollars. Premium runs 0.5 to 1 percent of bond amount.
What this bond costs
Your premium is a small percentage of the bond amount, set by underwriting. The biggest drivers:
- The number of employees covered
- The bond amount you select
- The type of work performed and where it is performed
- Any prior claims history
| Scenario | Bond amount | Estimated premium |
|---|---|---|
| Small cleaning crew, up to 5 staff | $10,000 | around $100 per year |
| Mid-size service company | $25,000 | around $150 to $300 per year |
| Larger workforce | $50,000 | scaled by employee count |
Figures are illustrative premium ranges, not quotes or statutory amounts. Your rate depends on the bond amount your obligee requires and your underwriting profile.
What you will need
- Number of employees handling cash or accessing client property
- Owner credit authorization
- Background-screening policy summary
How to apply
- Tell us your employee count and desired bond amount
- Receive a same-day quote
- Bond issued, certificate sent for your customer contracts
How a surety bond differs from insurance
A business services bond is fidelity coverage that reimburses your client for theft by your employee. General liability insurance is different: it pays for accidental property damage or bodily injury you cause. Many service businesses carry both, since one covers dishonesty and the other covers accidents.
Frequently asked questions
What does a business services bond cover?
It reimburses your client for losses from theft committed by your employees while working at the client's property, up to the bond amount.
Who is protected by the bond?
Your clients are the protected party, not your business. The bond is a selling point that reassures customers who let your staff into their homes or offices.
Does a claim require a conviction?
Most business services bonds pay a covered theft loss only after a conviction of the employee. Read the specific bond form for the exact conditions.
What drives the cost?
Mainly the bond amount and the number of employees covered. Larger crews and higher limits raise the premium.
More fidelity bonds
Reviewed by the Cornerstone Surety bond team. Last reviewed 2026-06-17.