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Iowa Contractor Bonds

Iowa State Contractor Bond Requirements

The state of Iowa and many cities within the state require contractors to post a surety bond prior to completing work. These bonds ensure that principals (contractors) adhere to all applicable legislation and codes whether at a local or state level. Some of these bonds amounts vary based on individual requirements, so check with the bond obligee to ensure you obtain a bond amount in the correct amount.

Many Iowa contractor license bonds require underwriting, meaning the bond premium will depend on a credit check and review of the bond application. Some contractor bonds can be issued instantly online for $100 and can be obtained by just submitting a bond application.

Plumbing and Mechanical Contractor Bonds Requirments

Plumbing and mechanical contractors in Iowa must post a $5,000 contractor bond as Iowa Plumbing and Mechanical Systems Board Office. This bond can be purchased instantly online for a $100 premium.

Out of State Contractor Bond Requirements

Out of state contractors performing work in Iowa are required to post a $25,000 contractor bond to register in the state of Iowa. This bond requires underwriting consideration, meaning the price of an out of state contractor bond depends on a review of the applicant's credit and/or financial information.

Out of state contractors in Iowa may also be required to obtain an out of state contractor blanket bond by the Iowa Division of Labor Contractor Registration. This blanket bond must be obtained in a $50,000 amount and also requires underwriting.