How much does a contractor license bond cost in Arizona?
The Arizona Registrar of Contractors determines bond amounts based on the specific license type needed and the annual volume of work completed. If you work within both the residential and commercial sectors, the state might request that you provide a dual license bond to cover both licenses. The bond amount would be calculated by combining the amount required for separate license types.
The actual bond cost is subject to underwriting and is based on the applicant’s credit report. Rates can vary, so the best way to determine your premium is to contact a surety expert to get your free bond quote.
If you’re ready to get your free, no obligation surety bond quote, call us now at 1 (800) 308-4358 or contact us now online. Our team of bonding experts is quick and helpful!
Why do I need this bond?
By posting the contractor license bond, contractors agree to follow all laws and regulations stated within the Arizona Revised Statutes. If any of the following acts are committed, a claim can be made on the bond and the contractor’s license can be revoked or suspended:
- abandoning a contract after submitting a bid
- failing to pay taxes
- acting in a fraudulent way resulting in injury of another
- aiding someone else to evade/violate specific regulations
- failing to abide by all safety and labor laws
- advertising in a false or misleading way
These and other rules and regulations can be found in the Arizona Revised Statutes, Chapter 10. These specific rules are from section 1151.01.
If you’re ready to start the license and bonding process, contact an expert surety specialist now to receive your free, no-obligation quote. We can provide your personalized quote quickly!
Need a surety bond for a construction project?
What’s the fine print?
The contractor’s license classification number(s) and correct bond amount(s) must be accurately listed on the bond form.
Arizona contractor license bonds are continuous until canceled. If the surety cancels this bond, the obligee must be given at least 30 days notice.
As of July 1, 2014, the Arizona Registrar of Contractors revised many of the laws that regulate Arizona contractor licenses and their associated bonds. Browse our “Additional Resources” section below to find more information on the changes.
How to become a contractor in Arizona
The way Arizona differentiates between commercial and residential contractor licenses means the state has previously maintained as many as 238 different license classifications. Changes to regulations in 2014 reduced this number by consolidating many commercial and residential licenses into a dual license.
Once the applicant has been bonded, he or she can apply for a contractor license with the state. The following must be provided when filing the application.
- correct license classification reflecting 2014 changes
- passing score on correct trade exam
- all fees paid in the correct amount
- financial statements
- necessary background checks
If you’re ready to take the first step in the application process, our team of bonding experts is ready to help you! Give us a call today at 1 (800) 308-4358 or contact us now to get your free surety bond quote.