Pool Contractor Bond
Serving Dallas, Fort Worth, Carrollton, Arlington, Austin, El Paso, Houston, San Antonio, Irving, Plano, Grand Prairie and throughout Texas.
In many states, it is necessary for contractors to obtain an additional bond if they are working on constructing new pools. This is due to the additional cost, expense, and regulations associated with pools. This additional requirement has come about in recent years due to environmental concerns and water wastes caused by improperly constructed pools.
How It Works
Pool contractor bonds protect the state and the consumer from any expenses that result due to errors or code violations during the construction of pools. These bonds are designed to increase compliance and distribute risks.
The state mandates the purchase of a surety bond and determines the amount in order for a contractor to work on pools. The bond issuer will put up this full amount in exchange for premiums from the pool contractor.
In the event of a claim against the contractor from the state or homeowner, the bond issuer will pay out the full value of the bond, assuming the contractor is at fault. Thus, the bond issuer must evaluate the risks prior to issuing the bond.
How Prices are Calculated
The bond issuer will also evaluate these risks when determining the premium it will charge to the pool contractor. It will determine this by looking at the pool contractor’s financial status, prior claims, and experience level.
A pool contractor with a good credit score and few claims will likely be charged a lower premium than a contractor with a poor credit score and numerous claims. Typically, premiums are some percentage of the total bond value. The total bond value is determined by state and local authorities.
How to Purchase a Pool Contractor Bond
At TMD Surety Bonds, we work with multiple providers to help you find the best product for your needs. Due to our experience, volume, and relationships, we find the best prices.
We work only with the most reputable surety providers and have simplified the entire process so you can focus on what matters – your business. We are known for our exceptional customer service and quick turnaround time.
and get immediate approval.