License & Permit
Manufactured Home Dealer and Installer Bond
This bond is required of manufactured (mobile) home manufacturers, retailers, and installers to get a state license.
- Required by
- State manufactured housing agencies (Alabama Manufactured Housing Commission)
- Bond amount
- Set by whoever requires the bond. We confirm it.
What this bond guarantees
The bond protects homeowners when a manufacturer, retailer, or installer goes out of business or fails to meet its legal duties to the buyer. The state manufactured housing agency validates claims and decides who is responsible. Common claims involve faulty installation or unmet sales obligations.
Who needs it
- Manufactured home retailers
- Manufactured home installers
- Manufactured home manufacturers
What the underwriter looks at
- License type and number of locations
- Owner credit
- Complaint history
Requirements vary by state and by who asks for the bond. Send us the request you received and we will confirm exactly what it calls for.
Common questions
How much bond does Alabama require?
Alabama rule 535-X-15-.03 sets $20,000 for installers, $25,000 for retailers with 1 to 3 locations, $50,000 for more than 3, and $25,000 per manufacturing facility with a $100,000 minimum. The Commission may raise or lower these after reviewing claims.
Do I need insurance too?
Yes. Alabama also requires general liability insurance: $100,000 for installers, $500,000 for retailers, and $1 million for manufacturers.