1. Start Your Application
2. Receive Your Free Quote
3. Buy Your Surety Bond
How Much Does an Alabama Contractor License Bond Cost?
The cost of an Alabama contractor license bond starts from $100. There are state, county and city license and bond requirements for different types of contractors.
Residential roofers throughout Alabama are required to have a $10,000 bond and air conditioning and refrigeration contractors require a $15,000 bond. Cities and counties might require additional bonds. For example, Jefferson County requires contractors to have a $5,000 bond.
Rather than pay the full bond amount, license applicants can purchase a bond through an Alabama surety company. The bond premium amount for a contractor license ranges between 1% and 10% of the bond amount.
The premium rate is based on the applicant’s business financials and experience, personal assets and credit scores.
A bond premium rate of 1% to 3% applies to those with a 700 credit score or higher. Bond applicants with a credit score between 600 to 699 will receive a premium rate of 3% to 5%. A 5% to 10% premium rate applies to applicants with a credit score below 599.
Surety Bond Cost Based on Credit Score |
||||
Surety Bond Name |
Surety Bond Amount |
Over 700 |
Between 600 - 699 |
Below 599 |
Alabama Heating and Air Conditioning or Refrigeration Contractor Bond |
$15,000 |
$150 - $450 |
$450 - $750 |
$750 - $1,500 |
Alabama Residential Roofer License Bond |
$10,000 |
$100 - $300 |
$300 - $500 |
$500 - $1,000 |
Jefferson County Contractor Bond |
$5,000 |
$100 - $150 |
$150 - $250 |
$250 - $500 |
How to Get an Alabama Contractor License Bond
1. Determine the Surety Bond You Need
The Alabama Licensing Board for General Contractors can provide details about general contractor licensing. HVAC contractors can contact the Board of Heating, Air Conditioning and Refrigeration Contractors. Residential roofers can reach out to the Home Builders Licensure Board for more information.
For additional information regarding county or city licensing requirements, contact the local authority.
2. Apply for Your Bond
To apply for your contractor bond, complete the online application. Numerous bond programs are available for contractors with a wide range of credit scores, allowing us to provide bonds to more than 99% of applicants.
3. Get a Quote
Most applicants receive an immediate quote from us. If your application is more complicated, you will receive a quote within 48 hours.
Albert recently contacted us to get a contractor bond for licensing in Auburn. After spending a few minutes applying for the bond online, he received a quote immediately. Albert paid the bond premium online and received the contractor license bond in his email without delay.
4. Purchase Your Bond
Pay your premium online, and your bond will be available immediately. We’ll send your bond directly to your email account. Upon request, we can mail your bond to you as well.
If you have any questions or encounter any difficulties, our surety bonds experts are here to help you – contact us or call us at (877) 514-5146.
Contractor License Bond Requirements in Alabama
Statewide, heating, air conditioning and refrigeration contractors are required to have a $15,000 bond. The obligee is the State Board of Heating, Air Conditioning and Refrigeration Contractors.
Residential roofers across the state must have a $10,000 bond. The obligee is the Home Builders Licensure Board.
The obligee, bond amount and term length for county and city-specific licenses vary by location. Contractors should be aware of the bond and licensing requirements for each county and municipality where they do business.
Contractors in Alabama must act to renew their bond before the surety bond’s expiration date. A lapse may result in the suspension of the contractor license. We will notify you prior to the expiration date of your bond with updated premium pricing and instructions for the bond renewal.
Alabama cities and counties that have additional contractor license bond requirements include:
Surety Bond |
Bond Amount |
Premium |
Alabama Heating and Air Conditioning or Refrigeration Contractor Bond |
$15,000 |
From $150 |
$10,000 |
From $100 |
|
$5,000 |
From $100 |
|
$5,000 |
From $100 |
|
$1,000-$5,000 |
From $100 |
|
$5,000 |
From $100 |
|
City of Chickasaw Contractor Bond |
$10,000 |
From $100 |
City of Dothan Commercial Refrigeration Bond |
$5,000 |
From $100 |
City of Dothan Electrical Contractor Bond |
$5,000 |
From $100 |
City of Dothan Fire Sprinkler Installer Bond |
$5,000 |
From $100 |
City of Dothan General Contractor Bond |
$10,000 |
From $100 |
City of Dothan Heating and Cooling Installer Bond |
$5,000 |
From $100 |
City of Dothan Homebuilding Contractor Bond |
$10,000 |
From $100 |
City of Dothan Lawn Sprinkler Installer Bond |
$2,000 |
From $100 |
City of Dothan Plumbing Contractor Bond |
$5,000 |
From $100 |
City of Dothan Subcontractor Bond |
$2,000 |
From $100 |
City of Dothan Tree Cutting or Stump Grinding Contractor Bond |
$1,000 |
From $100 |
City of Fairfield Plumbing and Gasfitter Contractor Bond |
$5,000 |
From $100 |
$5,000 |
From $100 |
|
City of Hueytown Contractor Bond |
$5,000 |
From $100 |
City of Mobile Contractor Bond |
$10,000 |
From $100 |
City of Montgomery Electrical License Bond |
$5,000 |
From $100 |
$10,000 |
From $100 |
|
$10,000 |
From $100 |
|
Mountain Brook Demolition Contractor Bond |
$1,000 |
From $100 |
$5,000 |
From $100 |
|
City of Ozark Tree Cutting/Stump Grinding Contractor Bond |
$10,000 |
From $100 |
City of Prichard General Contractor Bond |
$10,000 |
From $100 |
City of Russellville Contractor Bond |
$2,500 |
From $100 |
City of Saraland Contractor Bond |
$10,000 |
From $100 |
City of Satsuma Contractor Bond |
$5,000 |
From $100 |
City of Tuscaloosa Contractor Bond |
$1,000 |
From $100 |
City of Tuscumbia Electrical Contractor Bond |
$2,500 |
From $100 |
City of Wetumpka Contractor Bond |
$5,000 |
From $100 |
Baldwin County Contractor Bond |
$10,000 |
From $100 |
Cullman County Contractor Bond |
$2,500 |
From $100 |
$5,000 |
From $100 |
|
City of Montgomery Gasfitters and Plumbers Bond |
$5,000 |
From $100 |
$10,000 |
From $100 |
|
$10,000 |
From $100 |
|
$5,000 |
From $100 |
|
City of Dothan Gasfitter Bond |
$5,000 |
From $100 |
City of Dothan Residential Roofing Bond |
$10,000 |
From $100 |
City of Homewood Electrician's Bond |
$10,000 |
From $100 |
City of Bessemer Electrical Bond |
$5,000 |
From $100 |
City of Homewood Clearing, Earthwork and Other Land Disturbing Activity Bond |
$5,000 |
From $100 |
City of Birmingham Building Wrecker Bond |
$2,000 - $30,000 |
From $100 |
How to Get Your Alabama Contractor License
You can get full details about becoming a licensed contractor through this Alabama contractor license guide. There may be additional requirements for city-specific licensing.
At the state level, Alabama offers general contractor license reciprocity with Mississippi, Louisiana and Arkansas. Reciprocity is also offered with the Tennessee General Contractors Board and North Carolina State Board of Electrical Contractors.
To qualify, out-of-state contractors must have had a license for at least one calendar year and be in good standing. Contractors should contact city authorities to learn about their reciprocity rules.
The specific licensure documentation required varies by license type and authority. For a contractor application for a new roofer's license in Alabama, you must submit:
- A signed and notarized application.
- Check, cashier’s check, certified check, or money order in the amount of $250.00 ($150 license fee plus $100 application processing fee) made payable to Home Builders Licensure Board enclosed.
- Surety bond form
- Attach Certificate of Compliance from the Alabama Department of Revenue if a corporation, limited liability company, or limited partnership.
- Attach proof of citizenship
- Designated Qualifying Representative of a corporate application
- Attach Certificate of Existence from the Alabama Secretary of State if a foreign (out-of-state) corporation, limited liability company, or limited partnership.
- Attach current or recent business license as a contractor. The license must list the applicant's name or listed trade name.
Specific trade authorities, municipalities and counties have their own requirements.
Additional information is available by contacting:
Office of the Board
445 Dexter Avenue, Suite 3060
Montgomery, AL 36104
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Quick response times and turn around for issuing bonds. Great customer service and very knowledgeable. We have used Lance Surety multiple times and have never been disappointed. Highly recommend them and Collette!
Long story short, these guys cut through the B.S. and get the job done. Responsiveness, excellent! Communication, excellent! Respect for their industry partners, excellent! John, Collette, Ryan, you're all-stars! Thank you!
We decided for Lance Surety Bond's quote for 2 reasons; Price and Customer Service. Our Representative Ryan was just SUPERB!! [...] I highly recommend Lance Surety Bond for all your Bonding needs! I'll definitely come back for all of mine. :-) Thanks Ryan!
Quick response times and turn around for issuing bonds. Great customer service and very knowledgeable. We have used Lance Surety multiple times and have never been disappointed. Highly recommend them and Collette!
Long story short, these guys cut through the B.S. and get the job done. Responsiveness, excellent! Communication, excellent! Respect for their industry partners, excellent! John, Collette, Ryan, you're all-stars! Thank you!
We decided for Lance Surety Bond's quote for 2 reasons; Price and Customer Service. Our Representative Ryan was just SUPERB!! [...] I highly recommend Lance Surety Bond for all your Bonding needs! I'll definitely come back for all of mine. :-) Thanks Ryan!