What is the meaning of 'Have you ever been bonded'?

Answer:

First, it is beneficial to have an understanding of what a surety bond is. A surety bond is a promise to be responsible for the debt, default, or failure of another. In most instances, bonds are required by federal, state, and local governments to protect the taxpayer dollars that are paying for the project. Surety bonds can also act as an element of prequalification. By being bonded, a company is saying that they have undergone the examination by a surety and has been qualified to do the project. It is designed to prevent any loss on the part of the obligee, and the prequalification process has assessed the financial strength of the principal as well as their expertise. The surety bond company is putting its assets and financial strength behind the contractor. Because of the rigorous prequalification, there is little expectation of loss in the surety bond relationship.

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