Salisbury Plumbing Bond: A Comprehensive Guide

May 27, 2022

Salisbury Plumbing Bond

This guide provides information for insurance agents to help their customers obtain a Salisbury Plumbing bond

At a Glance:

  • Average Cost: $100
  • Bond Amount: $1,000
  • Who Needs it: Plumbers performing work within a city right-of-way in Salisbury, North Carolina
  • Purpose: To ensure the city will receive compensation for financial harm if the plumber does an improper job or damages the city’s infrastructure
  • Who Requires the Bond: The City of Salisbury

Background

Salisbury Municipal Code 7-41 requires all plumbers working within a city right-of-way to purchase a $1,000 surety bond. The Salisbury City Council enacted the bond requirement to ensure that the city has financial recourse if its infrastructure is damaged as a result of the plumber’s work.

“Right-of-way” refers to the areas in which the public has the legal right to travel across. For example, plumbers performing work on any city streets or sidewalks would need a bond, as they are conducting operations in a public right-of-way.

City Right of Way

What is the Purpose of the Salisbury Plumbing Bond?

Salisbury requires plumbers to purchase a surety bond before performing work in a city right-of-way. The bond ensures that the city will receive compensation for financial harm if the plumber fails to abide by the regulations outlined in Salisbury Municipal Code 7-41. Specifically, the bond protects the city if the plumber does not do a good job and the city’s infrastructure is damaged as a result. In short, the bond is a type of insurance that protects the city if the plumber does not fulfill their duties.

Salisbury Plumbing Bond Form

Salisbury Plumbing Bond Form

How Can an Insurance Agent Obtain a Salisbury Plumbing Surety Bond?

BondExchange makes obtaining a Salisbury Plumbing bond easy. Simply log in to your account and use our keyword search to find the “Salisbury” bond in our database. Don’t have a login? Enroll now and let us help you satisfy your customers’ needs. Our friendly underwriting staff is available by phone at (800) 438-1162, email, or chat from 7:30 AM to 7:00 PM EST to assist you.

At BondExchange, our 40 years of experience, leading technology, and access to markets ensures that we have the knowledge and resources to provide your clients with fast and friendly service whether obtaining quotes or issuing bonds.

Not an agent? Then let us pair you with one!

BX Agent Finder Link

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Is a Credit Check Required for the Salisbury Plumbing Bond?

A credit check is not required for the Salisbury Plumbing bond. Because the bond is considered relatively low risk, the same low rate is offered to all plumbers regardless of their credit history.

How Much Does the Salisbury Plumbing Bond Cost?

The Salisbury Plumbing bond costs just $100 per year.

Who is Required to Purchase the Bond?

Salisbury requires plumbers to purchase a surety bond before beginning work in a city right-of-way. To paraphrase North Carolina Statute 87-21, a plumber is a person that installs or repairs pipes and fixtures that serve to supply water and transfer sewage.

What are the Licensing Requirements for Plumbers in Salisbury?

Plumbers who formed their businesses after 2015 may need to obtain a registration before conducting business in the city. Plumbers should contact the city at (704) 638-5270 to determine whether or not their business must be registered.

Additionally, North Carolina requires all plumbers operating in the state to obtain a license with the State Board of Examiners of Plumbing, Heating and Fire Sprinkler Contractors. To apply for a license, plumbers must:

  • Have at least 4,000 hours of relevant experience
  • Purchase the required books
  • Submit a completed exam application, including all required fees, to the following address:

State Board of Examiners of Plumbing
Heating and Fire Sprinkler Contractors
1109 Dresser Court
Raleigh, NC 27609-7302

All North Carolina Plumbing Licenses must be renewed annually.

What are the Insurance Requirements for Plumbers in Salisbury?

Salisbury does not require plumbers to purchase any form of liability insurance as a prerequisite to conducting business. However, most reputable plumbers will purchase this insurance anyway. Plumbers must purchase a $1,000 surety bond before performing work in a city right-of-way.

How Do Salisbury Plumbers File Their Bonds?

Plumbers should submit their completed bond forms, including the power of attorney, to the city’s Community Planning Services Department at the following address:

132 North Main Street
Salisbury, NC 28144

The surety bond requires signatures, as well as witness signatures, from both the surety company that issues the bond and the plumber. The surety company should include the following information on the bond form:

  • Legal name and permit classification of the entity/individual(s) buying the bond
  • Surety company’s name and state of incorporation
  • Entity requiring the bond
  • Bond amount
  • Date the bond goes into effect
  • Date the bond is signed

What Can Plumbers in Salisbury do to Avoid Claims Against Their Bonds?

To avoid claims against their bonds, plumbers in Salisbury must ensure that they:

  • Properly make all connections regarding the city’s water and sewage lines
  • Do not abandon the job
  • Ensure that the city’s infrastructure is not damaged as a result of the project

What Other Insurance Products Can Agents Offer Plumbers in Salisbury?

Most reputable plumbers will purchase liability insurance. Bonds are our only business at BondExchange, so we do not issue any other types of 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 Salisbury Plumbing Customers?

North Carolina provides a public database of active plumbers in the state. We also suggest contacting Salisbury to obtain a list of active plumbers in the city. Contact BondExchange for additional marketing resources. Agents can also leverage our print-mail relationships for discounted mailing services.

2022-10-21T09:47:36-04:00