Alabama requires every active heating, air-conditioning, and refrigeration contractor to file a fixed $20,000 performance bond with the HACR Board. Ours is $600 flat — 3% of the bond amount — with no credit check. License bonds like this are the fastest thing we issue.
















License bonds are the simplest thing in surety. Here is the entire process:
Business details and an effective date. That is the application — no financials, no credit check section, no follow-up scavenger hunt.
License bonds like this are among the thousands of bond types that issue right after purchase. At most, 1–2 business days.
Your executed $20,000 bond arrives by email, ready to file with your active HACR license application or renewal. Wet-ink original mailed on request.
$20,000 bond × 3% = $600, one-time per term. Fixed amount, fixed price, multi-year if you want it.
Alabama licenses heating, air-conditioning, and refrigeration contractors through the Board of Heating, Air Conditioning and Refrigeration Contractors (HACR Board) under Code of Alabama Title 34, Chapter 31. By Board rule (Alabama Administrative Code 440-X-3-.04), an active-status contractor must file a $20,000 performance bond.
The bond is a code-compliance and consumer-protection guarantee: it conditions you to faithfully observe Alabama's building codes and the ordinances and laws of the state, counties, and municipalities where you work. It is a three-party arrangement — you (the principal), the surety carrier, and the HACR Board (the obligee).
The bond is for active status only. Contractors who hold an inactive certification and do not perform installation, service, or repair are not required to bond. If you switch to active status, the $20,000 bond is part of that switch — and the bond must stay active for the life of your active license.
These are the actual issuing fields — no credit check section, because this bond doesn't have one.
Start the application →If yours isn't here, the bond team can usually answer within the hour.
$600 flat, five-minute application, bond often issued in the same sitting. Free until issued.