Gulf Shores, Alabama Contractor Bond

Gulf Shores Alabama Contractor Bond

Is the City of Gulf Shores requiring you to get a $5,000 Contractor License Bond? Electrical, general, HVAC, and plumbing contractors may need to get a contractor bond as part of their business licensing requirement in order to protect the public and the City from damages caused and not repaired by the contractor.

APPLY FOR A CONTRACTOR BOND

Like most insurance coverages a contractor needs to purchase in order to work, the surety bond is required to protect their customers from faulty or poor workmanship, not to give the contractor any coverage themselves. 

Typically, the contractor’s warranty is for the benefit of people who are financially injured from work not completed up to code, ordinance, or contract specification. If the contractor doesn’t come back to address the damage or shortcomings that should have been addressed in their warranty, then the surety bond can be tapped into and Jet Insurance Company will help pay for the damages.

What Is the Cost of the Gulf Shores Contractor Bond?

The bond will always cost $100 annually or $10 a month with Jet. You can save some money by purchasing a two- or three-year bond for $175 or $250, respectively.

Bond TermCost
Monthly$10
1 Year$100
2 Years$175
3 Years$250
Gulf Shores, Alabama Contractor Bond Pricing

There are no gimmicks or middlemen to get in the way of the bond purchase which only takes a couple of minutes online.

The Gulf Shores Contractor Bond Process With Jet

Whether applying online or calling us at 855-296-2663, the whole bond process only takes a couple of minutes. We need some basic business information and payment information. You will receive a copy of the bond and receipt immediately.

The bond must get filed to the City of Gulf Shores. Jet can ship the bond to the City for you which is our default method. Should you want to submit the original bond form yourself, just select that option at checkout and we will get the form to you. The bond needs to be submitted to the following address:

City of Gulf Shores
205 Clubhouse Dr Ste B
Gulf Shores, AL 36542

If you choose our monthly payment plan option, the contractor license bond will stay active so long as the automatic payments come through.

For contractors on annual or multi-year terms, Jet will send a notice prior to the bond’s expiration date. All you need to do is pay the renewal premium which can be done over the phone, online, or via mail.

Should the need arise to cancel the bond just email us at [email protected] requesting a cancellation. Jet will notify the City of Gulf Shores and refund back any unearned premium.

How Does a Contractor Avoid Gulf Shore Bonding Issues and Claims?

Builders, general contractors, electricians, plumbers, and HVAC contractors need to execute the contracts entered into and complete them on time. If the client points out faulty, poor, or incomplete work, then the contractor must address the situation appropriately. It is not a matter of if, but when a contractor will be tested and have to make a tough call if a trivial complaint truly warrants a fix.

Being on the safe side includes following the adopted building code of Gulf Shores and the contract entered with the client which is a great place to start to avoid complaints against your business license. Should the customer (or even the City itself) escalate the situation, an inspection will soon follow. If the inspector sides with the customer, a demand will most likely be handed down to the contractor to fix or pay for the repair. Failure at this juncture to correct the issue will end in further disciplinary action which may include a license bond claim.

Jet will defend you in the event of a bond claim and we will need you to submit all evidence you have available. If the claim is valid, Jet will compensate the damaged party directly up to the $5,000 bond limit. The contractor remains responsible for the actions and will need to pay Jet back for any amount paid out. All surety bonds and surety companies operate in this manner, as a guarantor to make payment who will still request indemnification.

Are There Other Bonds That a Contractor in Gulf Shore Needs?

Performance or completion bonds may be needed for specific jobs performed for the City of Gulf Shores. Contact Jet if you are in need of a job specific bond or are bidding on one now.

Gulf Shores Alabama Contractor Bond Form

Notary Bond Application:

X

Business Information:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Employee Dishonesty Bond Application:

Business Information:

Business Description:

Coverage Requirements:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Contract Bond Application:

X

Business Information:

Owner Information:

Job Details:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Worker's Compensation Application:

X

Business Information:

Business Description:

Coverage Requirements

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information: