Increase to surety bond amounts for Alaska contractors in 2015

The Alaska Department of Commerce, Community and Economic Development’s Division of Corporations and Business and Professional Licensing recently updated its licensing requirements for construction contractors. Among these updates are changes to the surety bond requirements for the various classifications of contractors.

Alaska SB 193 was signed into law on July 11, 2014, and the new requirements go into effect on January 1, 2015. The revised legislation includes changes to bond amounts broken out here:

  • Raise the bond amount for general contractors from $10,000 to $25,000
  • Raise the bond amount for general contractors with residential contractor endorsements under AS 08.18.025 who perform exclusively residential work to $20,000
  • Raise the bond amount for mechanical or specialty contractors or home inspectors from $5,000 to $10,000
  • Raise the bond amount for contractors whose work on one project with an aggregate contract price of $10,000 or less (including all labor, materials and other items, when the work is not part of a larger or major operation or otherwise divided into contracts of less than $10,000 to evade a higher bonding requirement) to $5,000

For more information on how to become licensed as a construction contractor in Alaska, view the application packet here. Visit the Department of Commerce, Community and Economic Development’s Corporations, Business and Professional Licensing website for more regulations of construction contractors.

View the guide on contractor bonding in Alaska put together by the SuretyBonds.com experts.

The experts at SuretyBonds.com are familiar with the updates and can help you comply with these new requirements quickly, easily and accurately. Our team is making it a priority to stay up-to-date on these changes to ensure that our clients remain informed about the bonding requirements that pertain to them. To be sure you purchase your bond in the new amount prior to the January 1 deadline, call 1 (800) 308-4358 between 7 a.m. and 7 p.m. CST Monday through Friday. Or, submit an online bond request 24/7 to connect with our team of surety bond specialists.