Alabama Surety Bonds

Contractor License & Permit Bonds in Alabama

Find the exact license, permit, right-of-way, or public-works bond your Alabama obligee requires — by city, county, and the state. License and permit bonds issue online.

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How contractor bonding works in Alabama

Alabama’s state general-contractor bond is conditional — but the trade boards require fixed bonds

Alabama licenses general contractors through the Licensing Board for General Contractors, and the state general-contractor bond is not a flat requirement: a contractor’s bid limit is set from the financial statement, and a bond is required only when those financials fall short of the limit requested — sized to the individual shortfall. Because that bond is conditional and varies with the deficit, we carry it as a portal product with the amount confirmed at application. The bonds Alabama requires up front are at the specialty trade boards. A heating, air-conditioning, and refrigeration contractor posts a $20,000 bond; an onsite-wastewater licensee posts a $15,000 basic or $30,000 advanced bond; and a residential roofer posts a $10,000 bond with the Home Builders Licensure Board.

Alabama cities codify their own contractor bonds — the deepest municipal layer we cover

Unlike most states, Alabama cities license contractors directly and set their own bond amounts in the code. The City of Mobile requires a $10,000 license and permit bond of every builder and contractor; Mountain Brook, Leeds, and Vestavia Hills each require a $10,000 bond for their building and excavation trades; Birmingham requires a $10,000 electrical contractor bond; and smaller cities set their own figures — a $2,500 gas-fitter bond in Sheffield, a $2,500 plumbing bond in Fultondale. Cities with a trade-by-trade schedule — Auburn, Dothan, and Opelika — set the amount by trade and project class, which we confirm against the city code. It is the deepest city-by-city contractor coverage in our book.

Right-of-way and statewide general-use products

Work in an Alabama state highway right-of-way takes an ALDOT highway right-of-way bond, sized by the department to the work. For the many Alabama jurisdictions that require a contractor, right-of-way, or land-disturbance bond but publish no fixed figure, we carry statewide general-use products — a commercial contractor license/permit bond, street-opening / right-of-way, and land disturbance — whose amount is set by the obligee and confirmed at issuance.

Alabama bonds we write

Contractor License & Permit Bonds

Statewide

Statewide / General-Use Bonds

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Underwritten bonds in Alabama

Bid, performance, and payment bonds are individually underwritten — request a quote rather than the instant portal:

Alabama surety bond FAQ

Does Alabama require a general contractor license bond?
Only conditionally. Alabama sets a general contractor’s bid limit from their financial statement, and a bond is required just to make up any shortfall toward the limit requested — so the amount depends on the deficit and is confirmed at application. The bonds Alabama requires outright are at the trade boards (HVAC, onsite wastewater, residential roofing) and at the city level.
Which Alabama trades must post a fixed bond?
The state trade boards require fixed bonds: a heating, air-conditioning, and refrigeration contractor posts a $20,000 bond; an onsite-wastewater licensee posts a $15,000 (basic) or $30,000 (advanced) bond; and a residential roofer posts a $10,000 bond with the Home Builders Licensure Board. Many Alabama cities also require their own contractor bonds.
Does my Alabama city require its own contractor bond?
Often, yes — Alabama is unusual in that cities license contractors directly and codify their own bond amounts. Mobile requires a $10,000 contractor bond; Mountain Brook, Leeds, and Vestavia Hills require $10,000 for building and excavation trades; Birmingham requires a $10,000 electrical bond; and cities like Auburn and Dothan set the amount by trade. We confirm the exact city requirement against the code.
What is a statewide general-use bond?
For Alabama jurisdictions that require a contractor, right-of-way, or land-disturbance bond but publish no fixed amount, we carry a statewide general-use product. The obligee sets the exact amount, which we confirm when you start your bond in the portal or by phone.
How fast can I get an Alabama bond?
The state trade-board bonds and the city contractor, permit, and right-of-way bonds issue online through the portal, usually in one sitting. We confirm any obligee-set or schedule amount at issuance.
Who is Wexford Bonds?
Wexford Bonds is the surety bond brand of Wexford Insurance, LLC, licensed in 48 states. We write the Alabama HVAC, onsite-wastewater, and residential-roofer bonds, the many Alabama municipal contractor bonds (Mobile, Mountain Brook, Birmingham, Auburn, Dothan and more), the ALDOT right-of-way bond, and the statewide general-use products.

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