In Minnesota, the Department of Labor and Industry (DLI) and certain municipalities have requirements for contractors to be licensed and bonded to conduct business. Contractor License Surety Bonds in Minnesota protect the obligee and the general public from any damage caused by the principal’s (contractor) failure to comply with the rules and regulations of the city/state. A claim can be filed if the principal causes harm to either the obligee or the public and, if the claim is valid, the surety may pay out up to the penal sum of the bond. Any monies paid by the surety must be reimbursed by the principal.
Below is a list of the most common bond types and amounts:
- Electrical Contractor: $25,000 Bond
- Elevator Contractor: $25,000 Bond
- High-Pressure Piping Contractor: $15,000 Bond
- Mechanical Contractor: $25,000 Bond
- Plumbing Contractor: $25,000 Bond
- Residential Roofing Contractor: $15,000 Bond
- Satellite System Contractor: $25,000 Bond
- Sign Contractor: $8,000 Bond
- Technology System Contractor: $25,000 Bond
- Water Conditioning Contractor: $3,000 Bond
- Brainerd Contractor Bond: $5,000 Bond
- Paul Sidewalk Contractor: $5,000 Bond
- Minneapolis Sidewalk Contractor: $15,000 Bond
- Minneapolis Specialty Contractor: $10,000 Bond
It is recommended that you contact the state or municipality for specific information regarding the licensing process and the type of bond you will need prior to bonding.
Pacific Surety offers industry low rates and can obtain approvals for almost all credit situations. Once our simple application has been completed, we can have pricing to you within hours. If you have any specific questions, please contact our knowledgeable underwriting staff.