Arizona Contractors License Bonds

Any business that contracts and/or offers to contract building, alterations, repairs, additions or deletions, improvements, moving services, demolition services of any building, highway, roads, railroads, excavation or other developments or improvements to structures whether in full or in part, must be a licensed contractor for work performed in the State of Arizona.  The Arizona Registrar of Contractors (AZ ROC) considers the term contractor to include but not be limited to sub, floor covering, hardscape contractors and consultants.  It is recommended you contact the AZ ROC to clarify any licensing questions before applying for a surety bond.

Arizona Contractors License Surety Bond - Commercial General

Commercial General Construction Contractors are required to be licensed and post a Commercial General Contractors License Surety Bond in order to secure their license.  Surety Bond amounts are based on the gross volume of work contemplated by the licensee, within the State of Arizona, for the ensuing fiscal year.  

Arizona Contractors License Surety Bond - Commercial Specialty

Commercial Specialty Construction Contractors are required to be licensed and post a Commercial Specialty Contractors License Surety Bond in order to secure their license.  Surety Bond amounts are based on the gross volume of work contemplated by the licensee, within the State of Arizona, for the ensuing fiscal year.  

Arizona Contractors License Surety Bond - Residential General

Residential General Construction Contractors are required to be licensed and post a Residential General Contractors License Surety Bond in order to secure their license.  Surety Bond amounts are based on the gross volume of work contemplated by the licensee, within the State of Arizona, for the ensuing fiscal year.  

Arizona Contractors License Surety Bond - Residential Specialty

Residential Specialty Construction Contractors are required to be licensed and post a Residential Specialty Contractors License Surety Bond in order to secure their license.  Surety Bond amounts are based on the gross volume of work contemplated by the licensee, within the State of Arizona, for the ensuing fiscal year.  

Arizona Contractors License Bond - Residential and Commercial Dual License

Residential - Commercial Construction Contractors are required to be licensed and post a Dual or Combo Contractors License Surety Bond in order to secure their license.  Surety Bond amounts are based on the gross volume of work contemplated by the licensee, within the State of Arizona, for the ensuing fiscal year.  

What does an Arizona Contractors License bond cost?

As with most commercial surety bonds, the rate you can expect to pay is based upon the owners personal creditworthiness and ability to qualify.  The rates listed below are a sample of available rates and at the time this page was created and are subject to change without notice.  Surety bond rates are typically charged on an annual basis, however we can also offer a discount for multi year bond terms, ask your underwriter for options when getting your quote!

 

License typeCONTEMPLATED GROSS VOLUME (Per License - Per Year)Bond AmountRates starting as low as
Residential General ContractorsLess than $750,000$9,000$360/year
$750,000 or more$15,000$600/year
Residential Specialty ContractorsLess than $375,000$4,250$170/year
$375,000 or more$7,500$300/year
Commercial General Contractors$150,000 or less$5,000$50/year
In excess of $150,000 but not more than $500,000$15,000$75/year
In excess of $500,000 but not more than one million$25,000$125/year
In excess of one million but not more than five million$50,000$250/year
In excess of five million but not more than ten million$75,000$375/year
Over ten million$100,000$500/year
Commercial Specialty Contractors$150,000 or less$2,500$50/year
In excess of $150,000 but not more than $500,000$7,000$50/year
In excess of $500,000 but not more than one million$17,500$88/year
In excess of one million but not more than five million$25,000$125/year
In excess of five million but not more than ten million$37,500$188/year
Over ten million$50,000$250/year

*Dual license bond amounts are calculated by combining the amount required for residential and commercial. 

Additional information about the license classification and bond requirements is available on the AZ Registrar of Contractors website.


Additional bonds required in the state of Arizona for Contractors

Arizona Taxpayer Bond for Contractors  - Required by the Arizona Department of Revenue for out of state contractors transacting business in the state of AZ to guarantee tax payment

Arizona Bond of Prime Contractor - Required by the Arizona Department of Revenue for out of state Prime Contractors transacting business in the state of AZ to guarantee tax payment

Bid Bonds, Payment Bonds & Performance Bonds - Required on projects where the project owner requires certain financial guarantees from the contractor and/or sub-contractor.

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