Arizona electrical license and insurance requirements

Arizona electrical license and insurance requirements

Kim Mercado
By Kim Mercado
Dec 9, 2024
1 min read
LinkedinTwitter

If you’re considering getting your Arizona electrical license, we’ve got you covered. This guide covers all the important steps, from obtaining your license and meeting bond requirements to understanding insurance needs and license renewals. We’ll provide the key information you need to get started and succeed in your electrical career in Arizona.

Jump ahead to read:

Do you need an Arizona electrical license to do electrical work?

Yes, you must be licensed in Arizona to work as an electrician. However, unlike other states, Arizona doesn’t have a state-level journeyman electrician license. Instead, the Arizona Registrar of Contractors (ROC) offers electrical contractor licenses.

There are three types of contractor license classifications:

  • Specialty residential electrical license (R-11): License to install and repair residential electrical systems
  • Specialty commercial electrical license (C-11): License to install, alter, and repair electrical equipment used in generating, transmitting, or utilizing energy less than 600 volts.
  • Specialty dual license (CR-11): Allows the scope of work permitted by the commercial C-11 electrical and residential R-11 electrical licenses.

Working without a license can result in fines and legal consequences, not to mention potential safety risks for your clients.

Insurance requirements for an Arizona electrical license

Protecting your electrical business with business insurance is essential and mandated. The types of coverage you’ll need will vary depending on whether you’re a solopreneur or own a small business with workers. Here are some important policies to consider for your Arizona business:

Workers’ Compensation insurance

Businesses with one or more part-time or full-time employee must carry workers’ compensation insurance in Arizona. This policy helps cover costs related to work-related injuries, illnesses, lost wages and medical expenses.

Learn more about workers’ compensation for contractors.

General Liability insurance

While not a licensing requirement, general liability insurance is critical for helping cover property damage and slip-and-fall events involving non-employees. It also defends against advertising injuries like harm to your reputation and defamation.

Learn more about general liability insurance for contractors.

Commercial Property insurance

Commercial property insurance helps protect your business’s tangible assets, such as the building you own or rent, as well as inventory and equipment.

Business Owner’s Policy

A business owner’s policy, or BOP insurance, provides broad coverage of general liability and commercial property policies combined in a single, cost-efficient bundle. It can help cover damage that you or your employees may accidentally cause to another person’s property and help protect your business equipment in the event of a fire or other covered event.

Tool and Equipment insurance

This coverage helps repair or replace tools and equipment that may be damaged, lost, or stolen on the job site.

Commercial Auto insurance

Commercial auto insurance is required to cover accident-related expenses including repairs and towing should you use a vehicle for business. Many times, personal auto coverage excludes activities connected to employment.

In the state of Arizona, minimum coverage is:

  • $25,000 for one person sustaining bodily injury
  • $50,000 for two or more persons sustaining bodily injury; and
  • $15,000 for damage to others’ property

Arizona electrical license requirements

Getting an electrical license in Arizona involves several key steps to meet the state’s requirements.

1. Meet eligibility requirements

Before you can apply, ensure you meet the basic requirements:

  • Be at least 18 years old.
  • Have a high school diploma or GED.
  • Have four years of experience in electrical work

To gain on-the-job work experience, you can join an apprenticeship program or attend a technical/trade school or vocational college’s training program.

2. Pass the electrical licensing exams

In Arizona, you must pass both the business management and trade tests. Exams are open book.

You must take the Arizona Statutes and Rules Exam (SRE) offered through GMetrix. This contractor exam focuses on the state’s contractor laws and regulations. The test is approximately 80 questions; you must pass with a 70% score.

You’ll also need to pass a PSI exam for electrical contractors. It tests your knowledge of electrical technology, the National Electrical Code (NEC), installation practices, and safety standards. The trade exam is around 110 questions, and you also need to pass with a score of 70%.

Applicants for electrical licenses can participate in the National Association of State Licensing Agency Electrical Examination program instead of taking the AZ ROC trade exam. The fee for these exams is $116, paid directly to PSI Exam Online.

3. Background check

Arizona code authorizes the Registrar of Contractors to check criminal records before issuing or renewing a license. After you complete a criminal background check online through Accusource, the results will automatically be provided to the ROC.

4. Complete the license application

You can submit your application through ROC’s portal or get the application form on their website. Make sure to include:

Pay the application and licensing fees:

  • Specialty commercial: $580 total
  • Specialty residential: $720 total
  • Specialty dual: $850

License renewal requirements

Arizona contractor licenses expire every two years. Maintaining your electrical license is critical to keeping your business in good standing.

The state streamlines the procedure, by ensuring your bond is sufficient to cover your annual volume and asking for proof of workers’ compensation insurance if applicable. There are no continuing education requirements at the state level but check with local jurisdictions.

Renewal costs are:

  • Specialty commercial: $480
  • Specialty residential: $540
  • Specialty dual: $650

You can renew online, by mail or in person at the ROC office in Phoenix. The office is located on Washington Street, near the Arizona Capitol Museum.

Bond requirements for an electrical contractor license

You must get a contractor’s bond to be a licensed contractor, either in the form of a surety or cash bond, or a certificate of deposit from an Arizona bank.

Bond amounts vary depending on your license classification and volume of work.

Specialty commercial contractor

Gross volume per licenseBond amount
$150,000 or less$5,000
In excess of $150,000 but not more than $500,000$15,000
In excess of $500,000 but not more than one million$25,000
In excess of one million but not more than five million$50,000
In excess of five million but not more than ten million$75,000
Over ten million$100,000

Specialty residential contractor

Gross volume per licenseBond amount
Less than $375,000$4,250
$375,000 or more$7,500

 

Dual license bond amounts are calculated by combining the amount required for residential and commercial.

In addition to the bond, a residential contractor must also pay an assessment into the Registrar’s Residential Recovery Fund or post a surety or cash bond in the amount of $200,000.

banner get business insurance in 10

How NEXT supports Arizona electricians

NEXT Insurance is an small business insurance carrier. We can help you get affordable electrician insurance to comply with Arizona’s regulations and safeguard your business.

Because you’re busy, we’re available online, allowing you to apply for coverage and obtain a certificate of insurance in minutes. You can share an unlimited number of digital certificates at no additional cost.

Our U.S.-based insurance professionals can help you with any questions you may have.

Start a free instant quote with NEXT.

Do you want to work as an electrical contractor in another U.S. state? Learn what states require licenses in our guide to electrician license requirements.

This information has been provided as a service. It is correct and up-to-date to the best of our knowledge; however, it is in no way intended to offer legal advice and you must always consult with local authorities before you make any business decisions. Regulations and requirements may change at any time.

Kim Mercado
About the author

Kim Mercado is a content editor at NEXT. She writes and edits content for small business owners, and enjoys helping entrepreneurs solve their business challenges and learn about insurance. Kim has contributed to Salesforce, Samsara and Google.


You can find Kim trying new recipes and cheering the 49ers.

What we cover
Chat with Us

Mon – Fri | 8 a.m. – 5 p.m. CT

FacebookInstagramTiktokTwitterLinkedinYoutube
© 2024 Next Insurance, Inc. 975 California Ave, Palo Alto, CA 94304, United States
Better Business Bureau
Issuance of coverage is subject to underwriting. Not available in all states. Please see the policy for full terms, conditions and exclusions. Coverage examples are for illustrative purposes only. Your policy documents govern, terms and exclusions apply. Coverage is dependent on actual facts and circumstances giving rise to a claim. Next Insurance, Inc. and/or its affiliates is an insurance agency licensed to sell certain insurance products and may receive compensation from insurance companies for such sales. Policy obligations are the sole responsibility of the issuing insurance company. Refer to Legal Notices section for additional information.

** Coverage examples are for illustrative purposes only. Your policy documents govern, terms and exclusions apply. Coverage is dependent on actual facts and circumstances giving rise to a claim.

Any starting prices or premiums represented before an actual customer quote are not guaranteed and are representations of existing premiums of active policies as of December 6, 2023. To the extent permitted by law, applicants are individually underwritten, not all applicants may qualify. Individual rates and savings vary and are subject to change. Discounts and savings are available where state laws and regulations allow, and may vary by state. Certain discounts apply to specific coverages only.