Jackson Contractor License Bond: A Comprehensive Guide

This guide provides information for insurance agents to help their customers obtain a Jackson Contractor License Bond

At a Glance:

• Lowest Cost: $100 per year or $10 per month
• Bond Amount: $10,000
• Who Needs it: All contractors operating in the town of Jackson, Wyoming
• Purpose: To ensure the public will receive compensation for any damages should the contractor violate licensing law
• Who Regulates Contractors in Jackson: The Jackson Building Department

Background

Jackson Municipal Code 15-36.040 requires all contractors operating in the town to obtain a business license. The Jackson town council enacted the licensing requirement to ensure that contractors engage in ethical business practices. To provide financial security for the enforcement of the licensing law, contractors must purchase and maintain a $10,000 surety bond to be eligible for licensure.

What is the Purpose of the Jackson Contractor License Bond?

Jackson requires contractors to purchase a surety bond as part of the application process to obtain a business license. The bond ensures that the public will receive compensation for financial harm if the contractor fails to comply with the regulations set forth in Jackson Municipal Code 15-36.040. Specifically, the bond protects the public in the event the contractor engages in any acts of fraud or fails to provide services that have been paid for. In short, the bond is a type of insurance that protects the public if the contractor breaks licensing law.

How Can an Insurance Agent Obtain a Jackson Contractor License Surety Bond?

BondExchange makes obtaining a Jackson Contractor License 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? Gain access 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.

Is a Credit Check Required for the Jackson Contractor License Bond?

No, a credit check is not required for the Jackson Contractor License bond. Because the bond is considered relatively low risk, the same low rate is offered to all contractors operating in the town, regardless of their credit history.

How Much Does the Jackson Contractor License Bond Cost?

The Jackson Contractor License bond costs just $100 per year or $10 per month.

Who is Required to Purchase a Bond?

Jackson requires contractors to purchase a $10,000 surety bond as a prerequisite to obtaining a business license. To paraphrase Jackson Municipal Code 15-36.040, a contractor is a person that provides construction services as an independent business. Homeowners working on their own property are exempt from the bonding and license requirements.

BondExchange now offers monthly pay-as-you-go subscriptions for surety bonds. Your customers are able to purchase their bonds on a monthly basis and cancel them anytime. Learn more here.

How do Contractors Apply for a License in Jackson?

Contractors in Jackson must navigate several steps to secure a business license. Below are the general guidelines, but applicants should refer to the town’s contractor licensing page for details on the process.

License Period – All Jackson Contractor Licenses expire on December 31 of each year and must be renewed before the expiration date

Step 1 – Determine the License Classification

Jackson requires contractors to obtain a business license corresponding to the type of services provided. Below are the different contractor license classifications for Jackson, Wyoming:

• • Building Contractor – Restricted (Class Br): Performs work on commercial tenet places with a maximum gross floor area of 5,000 square feet. Contractors must have had a Class C license for a minimum of two years before obtaining this license.
  • Building Contractor (Class B): Performs work on residential buildings that do not exceed 3 stories in height
  • Electrical Contractor: Installs, maintains, or repairs electrical systems. Must have a current Wyoming Electrical Contractor License.
  • Fire Sprinkler Contractor: Installs, repairs, or maintains fire sprinkler systems
  • Gas Service Contractor: Installs, repairs, or maintains fuel gas systems
  • General Contractor (Class A): Constructs, alters, or repairs any building or structure without limitations
  • HVAC Contractor: Performs work on heating, ventilation, air conditioning, and refrigeration systems
  • Lawn Sprinkler Installer: Installs water lines for lawn sprinkler systems
  • Low Voltage Electrical Contractor: Performs work on low voltage electrical systems and holds a state license
  • Plumbing Contractor: Installs, alters, or repairs plumbing systems
  • Refrigeration Contractor: Installs, repairs, or maintains refrigeration systems
  • Residential Contractor (Class C): Performs work on one or two-family residences as well as attached buildings
  • Water Conditioning Installer: Installs and repairs potable water softeners and filtering equipment
  • Wood Stove/Gas Installer: Installs, alters, or relocates solid fuel and gas heating appliances

Step 2 – Obtain a Certificate of Qualification (COQ)

Jackson requires contractors to obtain a COQ before applying for a business license. A COQ is issued to a master contractor/tradesperson, and contractors must at all times employ at least one master contractor/tradesperson to maintain their COQ.

To obtain a COQ, master contractors must mail a completed application, including the required fee, to the following address:

Town Of Jackson
PO Box 1687
Jackson, Wyoming 83001

In addition to submitting their COQ application, contractors must pass the required exam or meet the town’s reciprocity standards.

Electrical and low voltage electrical contractors are exempt from this requirement and instead must provide the town with their state-issued electrical cards.

Step 3 – Purchase a Surety Bond

Contractors must purchase and maintain a surety bond

Step 4 – Purchase Insurance

Jackson requires contractors with employees to purchase both workers’ compensation and unemployment insurance. Additionally, contractors must purchase public liability and property insurance with the following limits:

• • $300,000 for low voltage electrical, wood stove/gas stove installer, gas service contractor, lawn sprinkler installer, and water conditioner installer contractors
  • $500,000 for general, building, residential, plumbing, electrical, and HVAC contractors

Contractors must submit proof of insurance with their license application.

Step 5 – Complete the Application

All Jackson Contractor License applications should be mailed to the following address:

Town of Jackson
Contractor License Application
PO Box 1687
Jackson, Wyoming 83001

Contractors must complete the application in its entirety, and submit an application fee of $400. Additionally, contractors organized as corporations or LLCs must show proof of good standing with the Wyoming Secretary of State.

How do Jackson Contractors Renew Their Business Licenses?

Contractors can renew their licenses by mailing a completed renewal application, including a $400 fee, to the following address:

Town of Jackson
Contractor License Application
PO Box 1687
Jackson, Wyoming 83001

All Jackson Contractor Licenses expire on December 31 of each year and must be renewed before the expiration date. Additionally, contractors must renew their COQ every three years and are required to complete 8 hours of continuing education as a prerequisite to renewal.

What are the Insurance Requirements for Contractors in Jackson?

Jackson requires contractors with employees to purchase both workers’ compensation and unemployment insurance. Additionally, contractors must purchase public liability and property insurance with the following limits:

• $300,000 for low voltage electrical, wood stove/gas stove installer, gas service contractor, lawn sprinkler installer, and water conditioner installer contractors
• $500,000 for general, building, residential, plumbing, electrical, and HVAC contractors

Contractors must purchase and maintain a $10,000 surety bond.

How Do Jackson Contractors File Their Bonds?

Contractors should mail their completed bond forms, including the power of attorney, to the following address:

Town of Jackson
Contractor License Application
PO Box 1687
Jackson, Wyoming 83001

The surety bond requires signatures from both the surety company that issues the bond and from the contractor. The surety company should include the following information on the bond form:

• Legal name and license classification of the entity/individual(s) buying the bond
• Surety company’s name
• Date the bond expires
• Date the bond is signed

What Can Jackson Contractors do to Avoid Claims Against Their Bonds?

To avoid claims against their bonds, contractors in Jackson must adhere to all license regulations in the town, including some of the most important issues below that tend to cause claims:

• Do not engage in any acts of fraud
• Do not breach any contracts made with consumers
• Provide all services that have been paid for

What Other Insurance Products Can Agents Offer Contractors in Jackson?

Jackson requires contractors to purchase liability, workers’ compensation, and unemployment insurance as a prerequisite to obtaining a business license. Bonds are our only business at BondExchange, so we do not issue any other types 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.

How Can Insurance Agents Prospect for Jackson Contractor Customers?

Jackson conveniently provides a list of active contractors operating in the town. The list can be found here. Contact BondExchange for additional marketing resources. Agents can also leverage our print-mail relationships for discounted mailing services.