General Questions
Why do I need a New Jersey Master Plumbers Bond?
All licensed NJ master plumbers are required to hold a NJ Master Plumbers Bond.
- If you have just passed the licensing exam, you must purchase a bond and mail it to the Master Plumbers Board with your license application.
- If you are renewing your license, you must include your bond number and surety company information in your renewal application.
- If you hold additional licenses, you must get a separate bond for each license.
How do I know if I need a NJ Master Plumbers Bond?
New Jersey requires that any individual applying for or renewing a New Jersey Master Plumbing Contractor License be bonded by an approved surety with a Master Plumber Surety Bond.
What should I do in the event of a claim against my New Jersey Master Plumbers Bond?
If you operate fraudulently, break laws, or violate any contracts, the surety will pay damages to the injured party, and then require you to reimburse them for the payments made. It should be your top priority as a surety bond principal to never let an issue reach the point of a claim. Be sure that your employees understand and adhere to all laws and regulations put in place by the state of New Jersey and the New Jersey Board of Master Plumbers, to ensure your business’ reputation, as well as avoid any surety claims. Read more about wrongful claims below.
What if I have a false claim against my bond?
If you feel the claim is false or exaggerated, your surety will complete all due diligence and deny the claim. In this case, you can continue your business as usual. Claims that are found to be invalid against your bond will have no effect on your licensure, bond, or business operations.
How can I avoid claims filed against my Master Plumbers Bond?
It should be a top priority to avoid claims against your master plumbers surety bond at all costs. If a claim is filed, the principal is obligated to reimburse the surety for the entire amount that was paid out. If there is an issue that may result in a claim, it is advised that the bond-holder do whatever they can to resolve the issue before this becomes the case. Your surety bond is a promise to fulfill your obligations and duties, as well as follow the law. A claim against this bond indicates that the bond-holder knowingly and intentionally violated this agreement. If you are operating in compliance with this agreement, the potential claim may stem from a miscommunication with a client. It is very important to clear up this miscommunication before the claim is submitted. The Principal is legally responsible for all valid claims submitted against them. Your surety will give you the chance to resolve the claim. If you fail to resolve the claim, your surety will handle it, and you will be obliged to reimburse the surety for damages.