Who needs contractor bonds in Norristown, Pennsylvania?
All contractors in Norristown must register with the borough. Right-of-way contractors must post a surety bond in the following amounts:
- If the estimated project costs less than $5,000: $5,000 bond
- If the estimated project costs more than $5,000: The bond amount must be equal to the estimated project cost
- A permit, filed with the Public Works Director
- Insurance, listing the municipality as an additional insured
- Workers’ compensation (if there is more than one employee)
- Compliance with all municipality tax requirements
Get Your Norristown Contractor Bond:
How do contractor bonds work?
A contractor license bond guarantees that clients receive quality work from hired contractors. By signing the bond agreement, contractors agree to work by the standards and regulations of their obligee (Borough of Norristown). Clients may file a claim if a contractor breaks their surety contract. The surety will initially pay out a claim if approved, but contractors are ultimately responsible for paying the surety back in full for all associated costs. You will pay a premium, or a percentage of the bond amount, to acquire your bond. ZipBonds can often get you bonded immediately, and premiums start as low as $100 a year.
Frequently Asked Questions
How long will my bond cover my work?
Your initial bond will typically last for the calendar year you post it. You must then renew your bond for each consecutive year – for the duration of your project. Keep your bond updated to avoid fines and compliance issues in your location.
What if a claim exceeds my bond amount?
The bond amount is the maximum dollar amount a client can obtain directly from a contractor. If damages exceed that amount, however, clients may seek other methods of compensation. As a contractor, you should avoid claims at all costs by working professionally and efficiently.
Apply for Your Contractor Bond in Norristown, PA
ZipBonds offers the fastest and most secure option for getting bonded. Our all-digital platform is intuitive and straightforward. Apply online, email support@zipbonds.com or call 888.435.4191 to speak with an agent directly.
About ZipBonds.com
Founders Ryan Swalve and Zach Mefferd formed the vision for ZipBonds.com when they realized how overly complicated it was to help clients place surety. The frustration of being unable to incorporate the technology they’d used in other insurance-focused projects left them thinking “there has to be a better way.”
Fast forward a couple of years, and that better way is the impetus of everything we do at ZipBonds. We constantly look for innovative ways to improve the bonding process for our clients and agents. Our team comprises individuals who understand all angles of surety – for companies, agencies, and individuals. Incorporating everyone’s point of view to improve the process while simultaneously integrating cutting-edge technology is what sets our business apart.