Surety Bond Encyclopedia

Contractor License ($10,000) Bond - City of Southport, IN in Indiana

Brief Summary

Southport sits inside Marion County but keeps its own contractor rules, and its code calls for a $10,000 bond naming the City of Southport and/or an unknown third party. Get that obligee wording exactly right, file it with your insurance certificate, and the city can process your general contractor license instead of returning an incomplete application.

Southport City Code 13.04.170 requires general contractors to be listed with the City of Southport, bonded and insured. The bond is $10,000 and must name the City of Southport and/or an unknown third party as obligee. Proof of the bond, general liability coverage and workers' compensation coverage where applicable must be on file before any work is performed in the city.

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How to Apply for a Contractor License ($10,000) Bond:

Complete the City of Southport General Contractor's License Application and mark it New or Renewal.
Have the surety issue a $10,000 bond naming the City of Southport and/or Unknown Third Party as obligee.
Get a certificate of insurance listing the City of Southport as certificate holder, with the city named as additional insured.
Include workers' compensation proof, or sign the no employees statement if you are a sole proprietor or partnership with no employees.
List every employee, partner or officer who will be authorized to secure permits.
Pay the license fee and file everything with the Clerk-Treasurer at 137 Worman St before performing any work.

Detailed Information About the Indiana Contractor License ($10,000) Bond:

Southport is its own jurisdiction

Southport is its own city inside Marion County, and it has its own code. Section 13.04.170 of the Southport City Code states that general contractors must be listed with the City of Southport and must be bonded and have insurance. The bond is a single flat $10,000 with no tiers.

The obligee wording

The code and the city's application both call for a surety bond of $10,000 with the City of Southport and/or an unknown third party named as obligee. A bond naming only the city does not match that language.

Insurance that goes with it

Contractors must provide a certificate of insurance showing at least $100,000 of general liability coverage for each occurrence of property damage and $500,000 for each occurrence of death or bodily injury, with the City of Southport named as additional insured. The application also asks for workers' compensation coverage if applicable, and sole proprietors or partnerships with no employees sign a statement saying so.

Fees and license term

The code lists a General Contractor Listing Fee of $150. The city's application form, revised 8/18, lists a two year Residential license fee of $150 and a two year Commercial license fee of $200. Incomplete applications are returned unprocessed.

Exceptions and reciprocity

Under 13.04.170, all contractors in the trades must be licensed by Southport except plumbers licensed by the state. If a contractor is licensed by the City of Indianapolis, Southport will grant reciprocity, again except for plumbers licensed by the state. Reciprocity speaks to the license, so ask the Clerk-Treasurer whether a separate Southport bond is still needed before relying on it.

Where to file

City of Southport, 137 Worman St, Southport, Indiana 46227, phone (317) 786-3585, email clerktreasurer@southport.in.gov.

Eligibility and Requirements for a Indiana Contractor License ($10,000) Bond:

Bond amount of $10,000.
Obligee worded as City of Southport and/or an unknown third party.
General liability of at least $100,000 per occurrence of property damage and $500,000 per occurrence of death or bodily injury.
City of Southport named as additional insured and as certificate holder.
Two year license, with the application form listing $150 for Residential and $200 for Commercial.
Exact legal business name and all officers listed for corporations, LLCs and partnerships.

Indiana Contractor License ($10,000) Bond FAQs:

I am licensed in Indianapolis. Do I still deal with Southport?

Southport City Code 13.04.170 says the city will grant reciprocity to contractors licensed by the City of Indianapolis, except plumbers licensed by the state. Reciprocity addresses the license. Confirm with the Southport Clerk-Treasurer whether you still need to file the $10,000 bond and insurance certificate before you start work.

What exactly goes in the obligee line?

The City of Southport and/or an unknown third party. That wording comes from both the city code and the city's application, and the bond should match it.

Do plumbers need this license?

Section 13.04.170 requires all contractors in the trades to be licensed by Southport except plumbers licensed by the state. The general contractor listing, bond and insurance rules apply to general contractors.

How long does the license last and what does it cost?

The city's application lists a two year license, $150 for Residential and $200 for Commercial. The city code lists a General Contractor Listing Fee of $150. Confirm the current fee with the Clerk-Treasurer when you file.

What insurance does Southport require with the bond?

A certificate showing at least $100,000 general liability per occurrence of property damage and $500,000 per occurrence of death or bodily injury, with the City of Southport named as additional insured, plus workers' compensation if applicable.

How is the premium set?

The city sets the $10,000 amount, not the price. The surety sets the premium after reviewing the applicant, mainly the owner's personal credit and the business's history.