Home inspectors in Arizona should be aware of changes to their surety bond requirement. Senate Bill 1422 is in effect as of August 1, 2016, and makes some adjustments to the mandated bond.
SB 1422 adds the provision that the bond’s term must be retroactive to the date of the home inspector’s certification. That means that the bond takes effect from a date in the past, in this case the date of certification. It must be obtained within 60 days of certification and before performing any home inspections. SB 1422 did not change the bond’s amount—$25,000 of coverage is required. The bond ensures that inspectors meet Arizona’s home inspector standards.
Home inspectors must become certified through the Arizona State Board of Technical Registration. A home inspector is defined as someone who provides a visual inspection of a home to describe its conditions. Inspectors generally examine the following components of houses:
- Heating and cooling systems
- Plumbing and electrical systems
- Structural components
- Roof covering
- Interior and exterior components
- Site aspects as they affect the building
- Swimming pools and spas
Inspectors provide a written report detailing their inspection and any components of the home that require major repairs. Home inspections are most often done when a home is being sold.
To become certified, home inspectors must provide the following information:
- $100 nonrefundable application fee
- Two fingerprint cards
- $42 fingerprint card processing fee
- Copy of National Home Inspector Examination completion results
- Proof of completion of an approved training program
- Proof of financial assurance (surety bond)
See the complete list of required materials in the state’s instruction packet. Failure to obtain financial assurance within 60 days of certification results in a suspension of the registration, which can be reinstated. If financial assurance is not obtained within 90 days, the certification is automatically revoked and applicants will need to begin the certification process again.
All application forms can be found on the Board’s website—select home inspector from the dropdown menu.
In addition to the changes for home inspectors, SB 1422 deletes the home inspector-in-training title. The title was assigned to home inspector candidates who were in training before becoming certified. It deleted the section that allowed inspectors to file another form of financial assurance in place of the surety bond. Inspectors still have the option to file errors and omissions insurance in place of the bond.