Class A vs Class B HVAC License Texas
Understanding the Difference Between Texas HVAC Contractor License Classes
Texas HVAC contractors must choose between Class A and Class B licenses when applying for an Air Conditioning and Refrigeration Contractor license. The difference between the two licenses depends on the size of HVAC systems you are allowed to work on.
Choosing the right license depends on the type of projects you plan to take on. If you are new to the industry, you may first want to review HVAC technician registration before applying for a contractor license.
Class A HVAC License
A Class A HVAC license allows contractors to work on HVAC systems of any size. This license is common for contractors working in:
- Commercial HVAC
- Industrial refrigeration
- Large office buildings
- Hospitals and manufacturing facilities
Class A contractors have no capacity limits on cooling or heating systems.
Class B HVAC License
A Class B HVAC license limits the size of systems a contractor can service. Class B contractors may work on systems up to:
- 25 tons of cooling capacity
- 1.5 million BTU/hour heating capacity
Most residential HVAC companies operate under a Class B license.
Class A vs Class B License Comparison
| Feature | Class A | Class B |
|---|---|---|
| System size limit | No limit | 25 tons cooling |
| Heating limit | No limit | 1.5M BTU |
| Typical work | Commercial / industrial | Residential HVAC |
| Insurance requirement | Higher | Lower |
| License scope | Broadest | Limited |
Which HVAC License Should You Choose?
Choose Class A if you plan to:
- Work on large commercial HVAC systems
- Service industrial refrigeration
- Operate a commercial HVAC company
- Bid on large construction projects
Choose Class B if you plan to:
- Install residential HVAC systems
- Run a home HVAC service company
- Focus on repairs and maintenance
- Work on small commercial systems
Many HVAC contractors start with Class B and upgrade to Class A later.
Can You Upgrade from Class B to Class A?
Yes. Contractors can upgrade by:
- 1
Apply for the Class A endorsement
Submit an upgrade application to TDLR.
- 2
Pass the Class A exam
Schedule and pass the Class A contractor exam administered by PSI.
- 3
Update insurance coverage
Increase your liability insurance to meet Class A minimums.
This allows contractors to expand into larger commercial projects.
Insurance Requirements
Texas requires HVAC contractors to maintain liability insurance. Minimum coverage requirements:
| License | Per Occurrence | Aggregate |
|---|---|---|
| Class A | $300,000 | $600,000 |
| Class B | $100,000 | $200,000 |
Proof of insurance must be submitted before the license is issued.
How PermitSeal Helps
Selecting the correct license class helps ensure your business operates legally and can take on the types of projects you want. PermitSeal can help contractors determine the correct license and assist with the application process.
- 1Determine the right license class for your business
- 2Prepare license applications
- 3Verify insurance documentation
- 4Submit forms correctly to TDLR
- 5Guide Class B to Class A upgrades
Choose the Right HVAC License for Your Business
Not sure whether Class A or Class B is right for you? PermitSeal can help evaluate your situation and guide you through the correct application process.
Get Started