The City of Mobile, Alabama requires any person who plans to perform excavation work, digging, restoration, or maintenance on streets or sidewalks within a public right of way to obtain a permit and custom Right of Way Permit Bond.
Jet Insurance Company provides the Mobile Right of Way Permit Bond as an assurance to the City that the contractor will follow all regulations of their permit, as well as the associated local ordinances. The surety bond acts as a financial guarantee should the contractor default on their permit obligations and/or fail to comply with industry regulations.
The Right of Way Permit Bond limit is determined by the City’s Engineering Department, and will be based on the estimated cost for restoration of the public right of way.
With Jet, prices are just a small percent of the bond limit and start as low as $100 for one year; and if your bond limit is under $20,000, you will automatically be approved for that rate! Otherwise, limits over that amount will require a soft credit check by one of our underwriters. You can find our lowest preferred tier rates at different bond amounts in the chart below.
We cut out middlemen agents and brokers to offer you direct service with affordable rates.
Applying for your bond: Our bond application is quick! The Right of Way Permit Bond application asks for some general info such as the required bond limit and we may need your social security number for a soft credit check, but remember, this is only for $25,000 and over bond limits. Once you have submitted your application and a rate has been provided, simply complete payment and we will immediately send you a copy of your bond with the receipt.
Filing your bond: The Jet team can file your bond for you. However, if you would prefer to file your bond yourself, this option can be selected at checkout. The original, signed and sealed Right of Way Permit Bond is to be filed with the City’s Engineering Department.
All required documentation should be sent to the mailing address below.
City of Mobile
City Engineering Department
PO Box 1827
Mobile, AL 36633
Your right of way permit type will depend on the size of the job. Each permit application can be found within the City of Mobile forms and applications, and must be sent to the above address for approval as well. This step should be completed before the necessary surety bond is officially filed with the City.
Cancelling your bond: The Mobile Right of Way Permit Bond cannot be cancelled, as it is needed for the entire duration of the permitted excavation work, and for two years following the official acceptance of the completed permit work by the City Engineer to account for guaranteed maintenance of the right of way area. Upon completion of the two-year maintenance period, liability of the bond will be officially released.
Renewing your bond: Your Mobile Right of Way Permit Bond is required to remain active for a two year period following the start date of the excavation work, therefore your bond will need to be renewed once your one year bond term nears its end. Jet will send you a renewal invoice prior to the official expiration date. Simply fulfill the payment obligation and the Jet team will take care of the rest for you.
Contractors performing public street excavation projects are expected to follow industry rules and regulations pursuant to Mobile, Alabama Code of Ordinances Chapter 57, as well as the terms of their permit. Failure to do so may result in large fines, a loss of the permit contract, possible misdemeanor charges, and/or a bond claim.
However, a bond claim typically occurs when a contractor fails to or is unwilling to complete an excavation, digging, restoration, or maintenance job within the permitted right of way, and proceeds to refuse the Engineering Department’s request to fulfill payment in order to complete the job up to permit standards. It is in the best interest of the contractor to resolve any issues immediately before disciplinary action and an expensive bond claim ensues.
Should a bond claim occur, contact Jet immediately with all available claim documentation. A Jet team member will brief you on how our claim process works, and then will begin a review and investigation of the Engineering Department’s bond claim.
Bond claims that are determined to be valid by Jet Insurance Company will be paid out up to the Right of Way Permit Bond limit. You (the contractor) are ultimately held responsible for your actions and must reimburse us for your paid out bond claim. Failure to comply may result in future difficulties obtaining surety bonds in the City of Mobile, Alabama.