Rhode Island Blasting License Bond: A Comprehensive Guide
This guide provides information for insurance agents to help contractors on Rhode Island Blasting License bonds
At a Glance:
- Lowest Cost: $375 per year or $38 per month, based on the contractor’s credit score
- Bond Amount: $50,000
- Who Needs It: All individuals and businesses seeking to obtain a Blasting License in the State of Rhode Island
- Purpose: To ensure the public will receive compensation for any damages should the contractor fail to comply with license law
- Who Regulates Blasting Licenses in Rhode Island: The Rhode Island Executive Department State Fire Marshal
Rhode Island General Law 23-28.28-31 requires all individuals and businesses seeking to conduct blasting operations (contractors) in the state to obtain a license with the State Fire Marshal. The Rhode Island legislature enacted the licensing laws and regulations to ensure that contractors engage in ethical business practices. In order to provide financial security for the enforcement of the licensing law, contractors must purchase and maintain a $50,000 blasting license surety bond to be eligible for licensure.
What is the Purpose of the Rhode Island Blasting License Bond?
Rhode Island requires contractors to purchase the Blasting License Bond as part of the application process to obtain a blasting license. The bond ensures that the public will receive compensation for financial harm if the contractor fails to comply with the licensing regulations. In short, the bond is a type of insurance that protects the public if the contractor breaks licensing laws.
How Can an Insurance Agent Obtain a Rhode Island Blasting License Surety Bond?
BondExchange makes obtaining a Rhode Island Blasting 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.
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Is a Credit Check Required for the Rhode Island Blasting License Bond?
Surety companies will run a credit check on the owners of the contractor company to determine eligibility and pricing for the Rhode Island Blasting License bond. Contractors with excellent credit and work experience can expect to receive the best rates. Contractors with poor credit may be declined by some surety companies or pay higher rates. The credit check is a “soft hit”, meaning that the credit check will not affect the contractor’s credit.
How Much Does the Rhode Island Blasting License Bond Cost?
The Rhode Island Blasting License surety bond can cost anywhere between $375 to $2,500 per year or $38 to $250 per month. Insurance companies determine the rate based on a number of factors including your customer’s credit score and experience. We also offer easy interest-free financing for premiums over $500. The chart below offers a quick reference for the approximate bond cost on the $50,000 bond requirement.
|Credit Score||Bond Cost (1 year)||Bond Cost (1 month)|
|625 – 799||$500||$50|
|600 – 624||$1,250||$125|
|575 – 599||$1,500||$150|
|500 – 574||$2,500||$250|
*The credit score ranges do not include other factors that may result in a change to the annual premium offered to your customers, including but not limited to, years of experience and underlying credit factors contained within the business owner’s credit report.
How Does Rhode Island Define “Blasting”?
The Rhode Island Office of the State Fire Marshal defines “blasting” as the action of blowing up or breaking apart with explosives.
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 Blasting License in Rhode Island?
Contractors in Rhode Island must navigate several steps to secure their blasting license. Below are the general guidelines, but contractors should refer to the licensing statutes for details on the process.
License Period – The Rhode Island Blasting License expires on June 30 each year regardless of the date of issuance
Step 1 – Obtain the Necessary Experience
Applicants for the Rhode Island Blasting License must be either currently licensed in another state or have served as an apprentice for a licensed individual for at least one full year
Step 2 – Obtain a Federal Explosive License
Rhode Island requires contractors seeking to obtain a blasting license to first acquire a Federal Explosive License from the Bureau of Alcohol, Tobacco, Firearms and Explosives
Step 3 – Obtain References
Applicants for the Rhode Island Blasting License must have two individuals with direct knowledge of the applicant’s competency to handle explosives endorse their license application. At least one of these individuals must currently hold a blasting license in Rhode Island.
Step 4 – Complete the Application
All Rhode Island blasting license applications should be completed online here.
Step 5 – Pay the Application Fee
Contractors will need to pay a $50 application fee when submitting their application
Step 6 – Pass the Exam
After the contractor has submitted their application, they will need to pass an examination prior to being issued their license. Contractors can find more information on the exam requirements here. Contractors will need to pay a $10 examination fee that is due on the contractor’s exam day
Step 7 – Purchase a Surety Bond
Contractors seeking to obtain a blasting permit must purchase and maintain a $50,000 Blasting License surety bond. Permits are required for each blasting operation the contractor seeks to perform.
How Does a Rhode Island Blasting Contractor Renew Their License?
Contractors should mail their basting license renewal application to the following address:
Office of the State Fire Marshal
560 Jefferson Boulevard
Warwick, RI 02886
The Rhode Island Blasting License expires on June 30 each year regardless of the date of issuance.
What Are the Insurance Requirements for Licensed Blasting Contractors in Rhode Island?
The State of Rhode Island does not require licensed blasting contractors to obtain any form of liability insurance. Contractors will need to purchase and maintain a $50,000 blasting license surety bond.
How do Licensed Blasting Contractors File Their Bond With the State Fire Marshal?
Contractors should mail the completed bond form, including the power of attorney, to the following address:
Office of the State Fire Marshal
560 Jefferson Boulevard
Warwick, RI 02886
The blasting license surety bond requires signatures from both the surety company that issues the bond and the contractor. The surety company should include the following information on the bond form:
- Legal name of the entity/individual(s) buying the bond
- Surety company’s name
- Date the bond is signed
- Date the bond goes into effect
- Date the bond expires
What Can Contractors Do to Avoid Claims Against the Rhode Island Blasting License Bond?
To avoid claims on the Blasting License Bond, contractors must follow all license regulations in the state, including some of the most important issues below that tend to cause claims:
- Follow all safety protocols and guidelines when conducting blasting operations
- Ensure that all blasting operations do not damage the person or property of other individuals
What Other Insurance Products Can Agents Offer Licensed Blasting Contractors in Rhode Island?
Rhode Island does not require licensed blasting contractors to obtain any form of liability insurance, however most reputable contractors will seek to obtain liability insurance anyway. Bonds are our only business at BondExchange, so we do not issue liability 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 Rhode Island Licensed Blasting Contractor Customers?
Rhode Island unfortunately does not display licensed blasting contractor’s information to the public. We suggest contacting a list service company or the Rhode Island Secretary of State for a list of licensed blasting contractors. Contact BondExchange for additional marketing resources. Agents can also leverage our print-mail relationships for discounted mailing services.
What other Contractor License Bonds are Required in Rhode Island?
Contractors in Rhode Island will need to obtain specific bonds correlating with their license type. Below are all the different contractor licensing bonds required by the State of Rhode Island: