New Jersey Contractor License Bonds

February 20, 2021

Contractor license bonds protect the public from financial harm resulting from violations of licensing law committed by the contractor and their employees.

The State of New Jersey requires contractors to obtain specific surety bonds correlating with their license type. We have compiled comprehensive guides on these bonds to assist insurance agents in obtaining New Jersey contractor license bonds for their customers. Below are all of the contractor licensing bonds required by the State of New Jersey:

• Electrical Contractor 

  • Average Cost: $50 for a three year term
  • Bond Amount: $1,000
  • Who Needs It: All individuals and businesses seeking to obtain an electrical contractor license in the State of New Jersey

• HVACR Contractor

  • Average Cost: $50 per year
  • Bond Amount: $3,000
  • Who Needs It: All individuals and businesses seeking to obtain a heating, ventilating, air conditioning and refrigeration contractor license in the State of New Jersey

• Master Plumber

  • Average Cost: $50 per year
  • Bond Amount: $3,000
  • Who Needs It: All individuals and businesses seeking to obtain a master plumber license in the State of New Jersey

• Elevator and Moving Walkway Mechanics License

  • Average Cost: $50 for a two year term
  • Bond Amount: $10,000
  • Who Needs It: All individuals and businesses seeking to obtain an elevator mechanic’s license in the State of New Jersey

How Can an Insurance Agent Obtain a Surety Bond for Their Customer?

BondExchange makes obtaining a surety bond easy. Simply login to your account and use our keyword search to find the “contractor” bond in our database. Don’t have a login? Enroll now and let us help you satisfy your customers’ needs. Our friendly underwriting staff is available by phone (800) 438-1162, email or chat from 7:30 AM to 7:00 PM EST to assist you.

At BondExchange, our 40 years of experience, leading technology, and access to markets ensures that we have the knowledge and resources to provide your clients with fast and friendly service whether obtaining quotes or issuing bonds.

What Other Insurance Products Can Agents Offer Contractors in New Jersey?

New Jersey requires HVACR and electrical contractors to obtain liability insurance. Bonds are our only business at BondExchange, so we do not issue any form of insurance, but our agents often utilize brokers for this specific line of business. A list of brokers in this space can be found here.