Can a bond be cancelled?

Unlike a general insurance product, a bond is a legal obligation that cannot be cancelled for any reason, other than its specified expiry provision having been achieved. This must be proven via the relevant certificate provided by the Beneficiary, or its representative, once the Contractor has fulfilled the contractual obligations. Bonds with a fixed expiry date will expire upon reaching the specified date.

The performance bond will always need to be paid in full before it is issued, and it cannot be cancelled due to non-payment.