Is the contractor licensed in Arizona for this kind of work?
Start with the license, because everything else depends on it. Ask for the Arizona Registrar of Contractors (ROC) license number and the classification. HVAC work falls under an HVAC classification (the residential one is R-39), and a license in an unrelated trade does not cover your contract.
Arizona's exemptions are narrow. Work over $1,000 generally needs an active ROC license. Most AC replacements involve permits, electrical connections and refrigerant, so they clear that bar easily.
Then look the number up yourself on the ROC contractor search at roc.az.gov. Confirm the license is active and that the class matches your scope. Our guide to the Arizona ROC HVAC license explains the classes, and the step-by-step license check walks through the lookup.
Are they insured and bonded?
A license does not equal full protection.
The ROC requires Arizona contractors to be licensed and bonded, but apart from workers' compensation, it does not require insurance for licensure.[1] So ask for current certificates showing general liability and workers' compensation coverage.
What the bond and recovery fund do
Residential contractors must post a license bond ranging from $4,250 to $100,000. They must also either pay into the Residential Contractors' Recovery Fund or provide an additional $200,000 bond.[2]
The fund is a last resort, not a shortcut.
It protects eligible residential homeowners only in limited circumstances, generally after a final court or administrative order. Recovery is capped at $30,000 per residence.[3] Filing deadlines apply.
Side by side
License bond versus recovery fund
License bond
- Ranges from $4,250 to $100,000
- Posted by the residential contractor
Recovery fund
- Capped at $30,000 per residence
- Generally needs a final court or administrative order
Who pulls the permit, and does my city require one?
Ask who applies for the permit, who schedules the inspection and who pays the fee. The safest answer is that the contractor handles it and lists the cost in writing.
A contractor who asks you to pull the permit yourself is shifting responsibility.
Rules differ across the valley, even for the same job. A like-for-like swap may need paperwork in one city and none in the next. Ask the contractor which jurisdiction's rules apply to your address, then verify with the city. Our guide on AC replacement permits in the Phoenix area covers the differences.
Unpermitted work can complicate insurance claims and a future home sale.
Pro tip
Ask the contractor to write the permit fee and the name of the city into the estimate, so responsibility is clear before work starts.
What should a written HVAC estimate include?
Give every contractor the same scope and require the same checklist. The ROC advises a written contract that includes the license number and start and completion dates. Checks should be payable to the company named in the contract.[1]
A quote you can compare line by line names:
- The exact indoor unit, outdoor unit and thermostat by model number, plus included accessories
- Who handles permits and inspections, and what the fee is
- What is excluded, such as electrical upgrades, pad or stand, duct changes, line sets, disposal and code corrections
- Manufacturer warranty and contractor labor warranty as separate items
A suspiciously low bid often just leaves out the items above, which then show up as extras.
Checklist
Check before you sign
0 of 5 ticked
Tick them off as you go. Nothing is saved or sent.
For scope details, see AC replacement and installation, AC repair and ductwork repair, sealing and replacement.
Can I cancel if I signed at my door?
Sometimes, yes.
In a qualifying home solicitation sale, you may cancel before midnight of the third business day after the transaction.[4] The contract must include a notice explaining that right. The agreement is not effective unless the contract and related documents are written in the language used in the oral sales presentation.[6]
Whether your sale qualifies depends on the statute's definitions and exclusions, which sit in A.R.S. 44-5001 through 44-5008.[5] Do not assume an emergency repair or a visit you requested is covered or excluded.
Keep a dated copy of the contract and the cancellation instructions.
What else is worth asking about sizing, warranty and credentials?
Sizing
Ask whether the company performs a load calculation (Manual J, the method published by the Air Conditioning Contractors of America) or simply matches the old unit's size. "Same as what you have" is not a sizing explanation.
Warranty
Ask who stands behind each warranty, who registers the equipment and whether maintenance is required to keep coverage.
See HVAC maintenance plans and warranties for what is worth paying for.
Credentials and response time
Ask about NATE-certified technicians, EPA Section 608 certification for refrigerant handling, ACCA Quality Assured status and manufacturer dealer programs. Our guide to HVAC credentials explains what each means.
Also ask who will actually do the work and what breakdown response looks like in July. See emergency 24-hour AC repair.
Key takeaways
- Verify the ROC license number and class yourself
- Ask for proof of liability and workers' compensation insurance
- Get permit responsibility and fees in writing
- Compare quotes that list the same scope and model numbers
- Know you may cancel a qualifying door sale before midnight of the third business day
| Question | What a good answer includes | Where to check it |
|---|---|---|
| License and class | Active ROC number with a class that matches your job | ROC contractor search |
| Insurance proof | Current certificates for liability and workers' compensation | The insurer or certificate holder |
| Bond / recovery fund | Clear statement of bond and recovery fund or alternate bond | ROC recovery fund and FAQ pages |
| Permit responsibility | Contractor pulls it, names the city, lists the fee | Your city's permit office |
| Written estimate contents | Model numbers, scope, exclusions, dates, payee | Your contract and the ROC hiring guidance |
| Warranty terms | Parts and labor listed separately, registration explained | Manufacturer warranty page |
| Cancellation notice | Notice form attached, in the language used in the sales pitch | A.R.S. 44-5004 on azleg.gov |
FAQ
What questions should I ask an HVAC contractor before hiring them?
Ask about license class, insurance proof, permit responsibility, exact equipment, exclusions, warranty terms and who does the work. Put every answer in the written estimate.
How do I know if an HVAC contractor is licensed in Arizona?
Get the ROC license number and search it on the ROC contractor search. Confirm it is active and that the class fits your scope. The verification guide shows each step.
Do HVAC contractors in Arizona have to be insured?
The ROC requires a bond, but apart from workers' compensation, it does not require insurance for licensure.[1] Ask for proof of general liability and workers' compensation coverage directly.
Do I need a permit to replace my air conditioner in Phoenix?
It depends on the city and the scope of the job. Confirm with the city permit desk, and read our permit guide first.
Can I cancel an HVAC contract I signed at my home?
If the sale qualifies as a home solicitation sale, you may cancel before midnight of the third business day after the transaction.[4] The contract must include a cancellation notice.
What are the most important skills an HVAC technician should have?
Look for sound diagnostic ability, electrical and refrigerant competence, clean installation habits and clear communication about scope and cost.
What is the 20 rule for air conditioners?
It usually refers to a rule of thumb about the temperature drop across the system. Treat it as a rough check only, and ask a technician to measure airflow and temperatures rather than relying on it. Browse the full list of HVAC services for related work.
- Arizona Registrar of Contractors. "Before You Hire a Contractor." https://roc.az.gov/before-hire. Accessed October 16, 2026.
- Arizona Registrar of Contractors. "Frequently Asked Questions." https://roc.az.gov/faq. Accessed October 16, 2026.
- Arizona Registrar of Contractors. "Recovery Fund." https://roc.az.gov/recovery-fund. Accessed October 16, 2026.
- Arizona Legislature. "44-5004 - Agreement requirements." https://www.azleg.gov/ars/44/05004.htm. Accessed October 16, 2026.
- Arizona Legislature. "Title 44 - Trade and Commerce." https://www.azleg.gov/arsDetail/?title=44. Accessed October 16, 2026.
- Arizona Legislature. "HB2228 - 561R - Senate Fact Sheet." https://www.azleg.gov/legtext/56leg/1R/summary/S.2228COM.DOCX.htm. Accessed October 16, 2026.