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How Much Does a Maine Contractor Bond Cost?
The cost of a Maine contractor bond may range from $100 to more than $12,500. Specific bond requirements vary by municipality and trade. For example, an excavation contractor in South Portland needs a $10,000 surety bond.
While you must meet the bond requirement to lawfully do business, you are not required to pay the full bond amount. Instead, you can buy your bond from a Maine surety company. The premium for a bond is from 1% to 10% of the required amount.
Your premium rate will be determined when you submit an online application. It is based on factors like your business experience, your financial assets and your credit rating. We bond more than 99% of our applications, and we work with clients with most credit scores.
You will receive a premium rate of 1% to 3% if your credit score is 700 or better. Your rate will be 3% to 5% if your score falls between 600 and 699. A lower credit score may qualify for a rate of 5% to 10%.
Surety Bond Cost Based on Credit Score |
||||
Surety Bond Name |
Surety Bond Amount |
Over 700 |
Between 600 - 699 |
Below 599 |
Maine Public Works Contractor Surety Bond |
$125,000 |
$1,250 - $3,750 |
$3,750 - $6,250 |
$6,250 - $12,500 |
City of South Portland Excavation Contractor Bond |
$10,000 |
$100 - $300 |
$300 - $500 |
$500 - $1,000 |
How to Get a Maine Contractor Bond
1. Determine the Surety Bond You Need
In Maine, only electricians and plumbers require state-issued licenses, managed by the Department of Professional and Financial Regulation. For other trades, consult your local municipality for specific bond requirements. Reach out to surety bond providers to secure the necessary bonds and ensure compliance with both state and local regulations.
We recently helped a contractor in South Portland, Maine, obtain their contractor bond. Even though they were experienced in the field, they found the bonding process overwhelming and were worried about its effects on their business. Knowing their dedication to quality work, we walked them through each step of the bond application, making it easy for them to meet South Portland's licensing requirements. This helped them kick off their business smoothly and establish themselves as a trustworthy contractor.
2. Apply for Your Bond
You can quickly get a quote for your bond premium when you fill out the online application. Only essential details are required on the form, including the bond amount, bond type and other essential information.
3. Get a Quote
Most of our valued customers receive an instant, no-obligation quote after applying online. If your situation is more complicated, we will deliver your quote within 48 hours. We have more than a decade of experience meeting Maine’s surety bond needs, and we are available to answer your questions.
4. Buy Your Bond
The final step is to pay your bond premium. We have an online payment portal for your convenience. Once the payment is made, we will prepare the bond and send it to you via email. Upon request, we can also mail the paperwork to you.
If you come across a challenge or have questions, contact us or call us at (877) 514-5146.
Contractors Bond Requirements in Maine
Bond requirements for contractors in Maine vary by trade. Some bonds are regulated by state departments, while others are set by local governments. The obligee is the governing authority overseeing the project.
As specified in Public Works Contractors' Surety Bond Law of 1971, contracts over $125,000 for public works, such as the construction or repair of public buildings and highways, must include the following surety bonds:
A. Performance Bond: Equal to the full contract amount, this bond ensures the contractor meets the contract’s terms and includes the surety company's contact details.
B. Payment Bond: Also equal to the full contract amount, this bond protects those supplying labor or materials and must list the surety company's contact information.
Additionally, some municipalities in Maine with specific bond requirements for contractors include:
Surety Bond |
Bond Amount |
Premium |
$10,000 |
From $100 |
|
$50,000 |
From $500 |
When a contractor is required to hold a bond in Maine, that bond must remain active to continue working in the trade. You will need to renew your bond prior to the expiration date to remain compliant with regulations. We will contact you with renewal instructions when the expiration date approaches.
How to Get Your Maine Contractor License
In Maine, the state issues licenses solely for electricians and plumbers, while licensing for other building trades is managed by individual municipalities.
For an electrician license:
- Complete the relevant application form.
- Provide proof of work experience, including total field hours.
- Submit evidence of passing the electrician exam.
- Pay the required license and application fees.
For a plumbing license:
- Complete the relevant application form.
- Provide documented proof of work experience, detailing hours worked in the plumbing field.
- Submit evidence of passing the plumbing exam.
- Pay the required application and license fees.
Learn how to get a contractor license in Maine using our resources. For complete details on licensing procedures and required documents, contact your local or state authority.
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What Our Clients Have To Say?
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!