The State of Alaska requires all contractors to have a license before they begin working in the state. This is to protect consumers from being victimized by unscrupulous individuals or companies.
If you are ready to become an Alaska contractor, here are the steps you need to take to get your Alaska Contractor’s License.
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How to get an Alaska Contractor License
Step #1: Determine What Kind of Contractor You Are
The State of Alaska has three different types of contractors.
- General contractors: perform new home construction, commercial work, and residential remodel work. They can also oversee and supervise new home construction and residential work.
- Specialty contractors: perform work that requires the use of not more than three trades. Acceptable trades can be found here.
- Mechanical contractors: perform any of the mechanical disciplines that they are licensed for (plumbing, heating, sheet metal, or refrigeration). They must only perform the actual mechanical work, though. Installation requires a separate electrical license.
Step #2: Complete Alaska Contractor License Registration Application
Step #3: Purchase Alaska Contractor License Bond
An Alaska Contractor License Bond protects your customers and ensures satisfaction and completion of projects you contract. The bond amounts are as follows:
- General contractors: $25,000 bond
- General contractors w/ residential endorsement: $20,000 bond
- General contractors for small projects (under 5k): $5,000 bond
- Speciality or mechanical contractors: $10,000 bond
You won’t have to pay the full amount of the bond to get bonded. The best way to find out what you’d pay for your Alaska Contractor Bond is to get a free quote below:
Get free AK Contractor Bond quotes
Step #4: Obtain Liability Insurance
Must be issued by an insurance agency. Your coverage must be not less than $20,000 for property damage, $50,000 for injury or death to one person, or $100,000 for injury or death to more than one person.
Step #5: Show Proof of Worker’s Compensation Insurance
Insurance must be provided by a private insurance carrier registered to do business in the State of Alaska and the policy must be written to pay benefits as provided by Alaska law.
An ‘all states endorsement’ is not acceptable. Your company may be exempt, however, from carrying worker’s compensation insurance if you do not have employees.
Step #6: Pay Licensing Fees
For new applicants, the total fee is $300. ($65 non-refundable application fee plus a $235 license fee).
Step #7: Get Your Business Licensed
Applications for business licenses are processed separately. For more information about business licenses, call 907-425-2550 or visit the Alaska Department of Commerce website.
Step #8: Include Any Other Necessary Paperwork
- General contractor applications require a residential endorsement if you are intending to bid on or performing building or remodeling of privately-owned residential structures of one to four units.
- Specialty contractor applications require a trade destination for their business.
- Mechanical contractor applications require a mechanical administrator’s license.
Step #9: Submit Documents and Application
Contractor Licensing Section
State Office Building, 333 Willoughby Avenue, 9th Floor,
PO Box 110806, Juneau, AK 99811-0806
Alaska Contractor License Applications are processed within 15 days of receipt by the division. You will receive your registration information (or a rejection notification) within 2 to 4 weeks.
All Alaska Contractor’s License Bond Amounts to Increase in 2015