How much does a construction contractor bond cost in Alaska?
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. The following bond amount increases became effective January 1, 2015:
- general contractors must post $25,000 bonds
- general residential contractors must post $20,000 bonds
- mechanical contractors, specialty contractors and home inspectors must post $10,000 bonds
- contractors whose work on one project with an aggregate contract price of $10,000 or less must post $5,000 bonds
These bonds are subject to underwriting, so the amount you’ll pay for your bond depends on your required bond amount as well as on a review of your personal credit report. Bad credit? Don’t worry! Our experts have a history of helping 99% of applicants get approved for the bonds they need quickly and easily.
SuretyBonds.com can help ensure that you remain in compliance with the state’s updated bond requirements. Give us a call at 1 (800) 308-4358 or fill out an online bond request, and our team of experts will help you get the bond you need quickly for the lowest available rate.
|Bond Type||Bond Amount||Cost*|
|$5,000 Contractor License Bond Handyman; Working on projects with aggregate contract price of $10,000 or less||$5,000||Starts at $100||GET A QUOTE|
|$10,000 Contractor License Bond Mechanical contractor or specialty contractor||$10,000||Starts at $150||GET A QUOTE|
|$20,000 Contractor License Bond General contractor performing exclusively residential work||$20,000||Starts at $300||GET A QUOTE|
|$25,000 Contractor License Bond General contractor||$25,000||Starts at $375||GET A QUOTE|
Who needs to be bonded?
Effective January 1, 2015, surety bond requirements increase for the following professionals:
- general contractors
- general contractors with residential contractor endorsements
- mechanical contractors
- specialty contractors
- home inspectors
- contractors whose work on one project with an aggregate contract price of $10,000 or less
Why do I need this bond?
Construction contractor bonds in Alaska are put in place to ensure that principals (contractors) comply with all rules and regulations of AS 08.18, including paying all taxes and contributions due to the state and political subdivisions of the state and paying all persons who provide labor/materials/equipment to the principal.
If a contractor performs negligent or improper work or fails to adhere to the letter of the law and the terms of the surety contract, the bond protects the state from resulting financial losses up to the full amount of the bond.
You’ll receive a free, personalized quote on an Alaska construction contractor bond within 1 business day of applying when you work with the experts at SuretyBonds.com!
Need a surety bond for a construction project?
What’s the fine print?
Alaska construction contractor bonds are continuous until terminated or otherwise revoked by the Department of Commerce, Community, and Economic Development. The surety can cancel the bond by giving written notice of cancellation to the department. Cancellation becomes effective 30 days after the surety sends the notice.
How to become a construction contractor in Alaska
It is illegal to act as a construction contractor in Alaska without being licensed to do so. The following fees and documents must be submitted to the department when applying for licensure:
- completed, signed and notarized application form
- proof of liability insurance
- proof of worker’s compensation policy
- $100 application fee
- $250 license fee
- residential endorsement
- specialty trades list
- business license from the Professional Licensing Services
Take the first step toward becoming licensed in Alaska by purchasing the surety bond you need!