Oklahoma Contractor License Bonds - Plumbing, Electrical, Mechanical and Other

Get Your Oklahoma Contractor License Bond

Who Is Required To Purchase an Oklahoma Contractor Contractor Bond

State Level Bonding Requirements

The only state level contractor licenses required to purchase a contractor license bond are:

• Electrical contractors
• Mechanical contractors
• Plumbing contractors

All of these licenses require a $5,000 bond amount.

Out of State Contractors

If you’re an out-of-state contractor, there is a surety bond requirement for any contracted job you take in the state.

This bond requirement applies to all license classifications.

The amount is going to be three times (3X) the estimated tax liability. The estimated tax liability is calculated using form BT-194.

County or Municipal Bonding Requirements

Finally, there’s the possibility of county or municipal level contractor bonds.

Having helped hundreds of Oklahoma contractors purchase their bonds, here are the municipalities we see over and over again:

• City of Enid
• City of Stillwater
• Del City
• Oklahoma City
• Tulsa

Right of Way Bonding Requirements

Finally, all contractors who take on city projects like a street, sidewalk, or sewer project are required to get a right of way surety bond.

A right of way bond is considered a local bonding requirement.

The bond amount ensures you’ll restore the public (city) property to working order after the project is over. The amount is typically equal to the project amount. However, you will be told the required amount by the municipality in charge of the project.

Why is an Oklahoma Contractor License Bond Required?

Oklahoma (like all states) requires individuals and companies, who want to offer professional contracting services, to obtain an occupational license or contractor license.

The licensing process sets forth a set of professional standards that must be met to legally perform work in Oklahoma.

Examples of these licensing standards include:

• A minimum level of experience
• Obtained the necessary level of education
• The proper business records are submitted
• Selected the appropriate license type for the projects they want to bid on

Part of the licensing process is the bonding requirement or potentially multiple bonding requirements.

Being a licensed contractor gives the Oklahoma public confidence that you are a contracting expert who can be trusted.

And remember, the surety bond is your pledge to Oklahoma that you will follow all Oklahoma contractor laws and it’s also your pledge to your customers that you will complete projects according to your agreement.

The bond is for your customer’s projection.

What Does an Oklahoma Contractor License Bond Protect Against?

Despite the licensing standards and requirements, every year there will be a handful of licensed contractors who purposefully commit contractor fraud to increase profits.

Examples of these fraudulent actions include:

• Breaking the terms of a construction project
• Altering contract terms without the customers knowledge
• Taking deposits or down payments and never starting or completing a project
• Replacing agreed upon materials with cheaper alternatives to increase profits
• Failing to pay subcontractors for completed work
• Neglecting building codes and purposefully performing poor quality work

If a customer is victim to one of these actions, they can make a claim against the contractor’s surety bond for financial compensation. However, this compensation only extends to the total amount of the surety bond.

How Much Does an Oklahoma Contractor Bond Cost?

The price to purchase the contractor bond you need is based on a rate quoted by a surety.

A surety is an insurance company that underwrites contractor surety bonds. And every surety will conduct their own assessment of the applicant based on many factors.

The primary factors considered are*:

• The personal credit of the owner or owners
• Contracting experience and industry experience
• Any prior bond claims if you've been licensed in the past

The rate quoted from the surety, multiplied by the bond amount you require is the price you pay.

And if you want to save money, you should use a specialized surety agency like Surety Bonds Direct to purchase your surety bond.

It’s our job to save hundreds of dollars by price shopping for you. In the case of Oklahoma contractor bonds, we have already secured low fix prices with:

• No credit check
• No experience or background check
• No worrying about prior bond claims

Electrical, Mechanical, and Plumbing Contractors

Remember, all of these licenses have a state required bond amount of $5,000.

We can offer the absolute minimum price for these bonds.

Mechanical (HVAC) Contractor Bond

Electrical Contractor Bond

Plumbing Contractor Bond

“Other” Contractor Bonds

You will likely bump into other bonding requirements as you go through your career. We’ve helped other Oklahoma contractors obtain bonds for:

• Insulation projects
• Sign contracting projects

All of these projects tend to have required a $5,000 bond amount and you can purchase your bond for the same low prices.

If your project requires a different bond amount, submit a quote and tell is about it. You can always call 1-800-608-9950 to speak with a bond specialist.

County and Municipal Bonds

Because these bonds have different amounts based on the city and project, we don’t have pricing we can list. However, you can get your pricing immediately.

The pricing for local bonds will be 1% to 1.8% of the bond amount you require.

And pricing starts are $100.

Click here and fill out our quote form. Once you enter your bond amount and purpose, it will give you an immediate price.

Out of State Contractors

The bond amount is going to be based on the project. So to get pricing, you’ll have to request a quote and tell us the bond amount you’ve been told to purchase.

Once we know the bond amount, we can get you pricing.

Click here and request your quote today. You can always call a bond specialist at 1-800-608-9950.

What Happens Once You Purchase Your Bond?

Purchasing your bond requires completing an online order form. There’s nothing fancy about it.

Once you purchase your bond, Surety Bonds Direct's issuing team will prepare your bond with:

• The correct signatures
• Notary seals
• And the required power of attorney

Oklahoma allows us to email the bond to you. This speeds up the process and also allows you to submit a copy with your license packet.

The bonding process is complete until your renewal period.

Renewing Your Contractor Bond

As you’ve seen, you can purchase your contractor bond for a 1, 2, or 3 year bond term.

The bond term is the date when your bond expires and must be renewed.

If you’re an out of state contractor, your bond term is the length of the project. All out of state contractors must renew their bond on December 31st if the project extends past the calendar year.

This is another great reason to work with Surety Bonds Direct. You get assigned a bond specialist to manage your bond for you.

As your expiration date approaches, your bond specialist will reach out to you 30 to 45 days in advance of your renewal date to make paying the renewal premium easy.

Once you pay the renewal premium, your bond remains active.

The Oklahoma Contractor License Bond is Continuous

A continuous bond means the original bond remains active as long as you pay the renewal premium.

Most of the time, you never have to worry about having a new bond issued or submitting the bond to the CSLB.

If we find you lower pricing, we'll get you that bond, file it for you, and of course notify you of the bond change.

Neighboring States Contractor Bond Requirements

We have a lot of contractor clients that get licensed in many neighboring states. Here are the links to learn about these contractor bond requirements.

• Kansas contractor bonds
• Colorado contractor bonds
• South Dakota contractor bonds
• Arkansas contractor bonds
• Missouri contractor bonds

Contractor License Bonds And Getting Your Oklahoma Business License/Registration

Read our post on getting your Oklahoma contractors license. We cover all the main license classifications.

The process is straightforward and here are the important steps.

1. Determine who will hold the license
2. Outline business structure
3. Decide on license classification and specialty
4. Take the necessary exams
5. Purchase your surety bond
6. Purchase the required liability and/or workers compensation insurance
7. Submit your completed application