Business Service Bond (Janitorial Bond)
A business service bond — often called a janitorial bond — is a form of fidelity coverage that a cleaning or in-home service company buys to protect its clients' property against dishonest acts by its employees. When a client asks "are you bonded?", this is usually what they mean. BuySuretyBonds is a licensed insurance agency; we shop multiple carriers and bring back a quote, and the carrier issues the bond. If you run a cleaning or janitorial business, this page explains what the bond is, what it covers, and who tends to ask for it.
How it works
A business service bond is a type of fidelity coverage. Florida's Insurance Code defines "fidelity insurance" to include insurance covering the fidelity of persons holding positions of public or private trust. In that same code, fidelity insurance is listed within the definition of surety insurance — so for most purposes Florida treats it as part of the surety family.
That distinction matters. In the same Florida section, a classic contract or performance bond is described as backing the execution of a contract. A fidelity bond does something different: it responds to dishonest acts by people in a position of trust.
A business service bond applies that idea to your field staff. It is bought to protect your client's property while your employees work on the client's premises. Some crime policies cover theft from your own business and add client cover by endorsement (see the Washington example below). Exactly what it covers is set by the bond form — read it.
What it covers and what it does not
What a business service bond covers depends on the specific bond form the carrier uses, so read that form. In general terms, this kind of coverage responds to loss caused by dishonest or fraudulent acts of employees.
For example, one crime-and-fidelity policy form hosted by Washington's Department of Enterprise Services for a government customer includes a third-party endorsement that pays for the policyholder's indemnification of its client for loss of client property resulting directly from a dishonest or fraudulent act by an identified employee — but only to the extent the policyholder is legally liable for that indemnification, and not for liability taken on only by contract. That is one carrier's structure; other business service bond forms may differ.
Separately, a state insurance department lists "employee theft" among the common crime coverages a business can buy to protect itself, alongside robbery and forgery and alteration.
What this page cannot tell you is the exact triggers, conditions, and exclusions on your bond. Those live in the form, and forms differ from carrier to carrier. Before you rely on the coverage, read the form the carrier offers — or ask us to walk through it with you.
Who asks for one
Most often it is your clients and the contracts you bid on — not a government — that ask you to be bonded. A property manager, office or homeowner who hands over keys may ask whether you carry one. We found no state law that requires a business service bond itself.
Oregon is worth knowing about for a different reason. Oregon's Bureau of Labor and Industries requires property services (janitorial) labor contractors to hold a license. The bond or deposit tied to that license is a labor-contractor financial-security requirement, not a fidelity or employee-dishonesty bond, and it is conditional: under Oregon's rule, that financial security is not required if the contractor has had no wage-and-hour or civil-rights law violations in the previous two years and can certify general liability insurance of one million dollars or more. Oregon's rule has its own scope and exclusions, so check the BOLI page to see whether it applies to you.
How it differs from an ERISA bond
An ERISA bond is a different product for a different purpose. Under 29 CFR 2580.412-7, an ERISA fidelity bond protects an employee benefit plan against loss by reason of acts of fraud or dishonesty on the part of plan administrators, officers or employees. The insured there is the plan itself — not your cleaning client, and not your own business.
So if your business has an employee benefit plan, that plan's bond is a separate product from the business service bond your clients ask about. See our ERISA bonds page and our explainer on ERISA bond vs. fidelity bond.
Cost
We cannot post a price here, because it is not set until a carrier reviews your request. The premium depends on the bond amount and coverage the client asks for, how many employees are covered, and the carrier's underwriting; we bring back a quote.
When you're ready, request a quote and we'll shop multiple carriers for you. You can also browse our other specialty bonds.
All content is researched from official state and federal sources (.gov). BuySuretyBonds.com works with Treasury-listed surety carriers.
FAQ
What is a business service bond?
It is a form of fidelity coverage a service company — often a cleaning or janitorial business — buys to protect its clients' property against dishonest acts by its employees. "Janitorial bond" is a common name for the same thing. We shop multiple carriers and bring back a quote; the carrier issues the bond.
Is a janitorial bond the same as insurance?
Not exactly. A business service (janitorial) bond is a fidelity product. In Florida's Insurance Code, fidelity insurance is actually listed within the definition of surety insurance, so the line between "bond" and "insurance" can be blurrier than it sounds. What matters for you is what the specific form covers — read it, or ask us to review it with you.
Do I need one to clean commercial buildings?
Usually it is the client or the contract that asks for it, not the law. We found no state law that requires a business service bond itself. Oregon has a separate licensing requirement for janitorial labor contractors — see the Oregon note above.
Does it cover my employees stealing from my own company?
It depends on the form. A business service bond is bought to protect your client's property; whether your own losses are covered too depends on the policy or bond form, so read it.
How do I get one?
Tell us about your business and what your client is asking for, and we shop multiple carriers and bring back a quote. The carrier issues the bond. Request a quote to start.
Sources
- Fla. Stat. 624.6065 — definition of fidelity insurance
- Fla. Stat. 624.606 — definition of surety insurance
- Oregon BOLI — Property Services (Janitorial) Labor Contractors
- Washington DES — crime/fidelity policy form (third-party coverage endorsement)
- Texas Department of Insurance — commercial property / crime coverage guide
- 29 CFR 2580.412-7 — ERISA fidelity bond (eCFR)