Texas · state guide

Texas ACR classes and endorsements, side by side.

Two classes, two endorsements, and one rule about who has to be in each office. What each lets you do, and the statute so you can check us.

  • Class A, Class B, and both endorsements on one table
  • Scope in plain words, linked to the statute
  • What the class means for your coverage review

Prefer to talk? Call +1 802-GOT-RIZA · Sun to Sat, 8am to 8pm ET

See the classes

How does Texas license HVAC work?

The Department of Licensing and Regulation issues the air conditioning and refrigeration contractor license under Occupations Code chapter 1302, in two classes. Class A entitles the holder to each endorsed type of contracting for equipment of any size or capacity; Class B does the same within the tonnage and heating limits the statute sets. Every license carries one or both endorsements, environmental air conditioning or commercial refrigeration and process cooling or heating, each with its own exam. A contracting company must employ a license holder full time in each permanent office, and a license is assigned to one location. Technicians register or certify separately.

HVAC insurance in Texas

Markets we place through.

Progressive Commercial
Chubb
Travelers
Nationwide
AmTrust
CNA
biBerk
ERGO NEXT
THREE

Classes, endorsements, and the office rule.

Scope in plain words. Chapter 1302 is the authority; this is the map.

KindWhat it covers
Class A contractor licenseKindLicense classWhat it coversEach type of air conditioning and refrigeration contracting endorsed on the license, in relation to a system, a product, or equipment of any size or capacity. Occupations Code §1302.253.
Class B contractor licenseKindLicense classWhat it coversEach type of contracting endorsed on the license, in relation to a system, a product, or equipment of not more than 25 tons cooling capacity or 1.5 million British thermal units per hour output heating capacity. Occupations Code §1302.253.
Environmental air conditioning endorsementKindEndorsementWhat it coversAir conditioning and refrigeration contracting for environmental air conditioning, within the class of license held. One of the two endorsements a license must carry. Occupations Code §1302.254.
Commercial refrigeration and process cooling or heating endorsementKindEndorsementWhat it coversContracting for commercial refrigeration and process cooling or heating, within the class of license held. The other endorsement a license may carry. Occupations Code §1302.254.
Technician registration and technician certificationKindRegistrationWhat it coversA technician assists a licensed contractor in maintenance work. Registration is a one-page filing with no exam; certification has its own experience path and can count toward the contractor license.
One license holder per permanent officeKindRuleWhat it coversA contracting company must employ full time in each permanent office a license holder with an appropriate license assigned to that company, at the time a contract is signed and when the work is performed. Occupations Code §1302.252.

What changes the answer.

Three things the class decides for a coverage review.

01
The size of the equipment you may contract for.

Class A is unlimited; Class B stops at the statutory tonnage and heating limits. That line separates residential and light commercial from the mechanical work.

02
Which endorsement you hold.

Environmental air conditioning is comfort cooling and heating. Commercial refrigeration and process cooling or heating is the walk-in, the rack, and the process load, with its own claims.

03
How many permanent offices you run.

Each one needs its own license holder, and each one is an address the policy should show.

Riza’s read

How we handle it.

Before a quote we confirm the class, the endorsements, and the certificate on file with the department, and we match the offices on the license record to the locations on the policy.

We do not advise you on which class or endorsement to hold or whether a job falls inside your scope. The department does that. We make sure the coverage matches the work the license allows, and the certificate the department needs can be issued from the policy as written.

What to check on your license.

Before a quote, three things we confirm against the department’s record.

The class and both endorsement linesClass A or B, environmental air, commercial refrigeration, or both.
The permanent office the license is assigned toAnd whether every other office has its own license holder.
Whether the insurance certificate is currentBecause evidence of coverage is a condition of issuing the license.

Plain answers before the next job.

What Texas HVAC contractors ask about the license.

Should I hold Class A or Class B?

The department decides what you qualify for, and the statute decides what each allows. Class A entitles the holder to each endorsed type of contracting in relation to a system, product, or equipment of any size or capacity. Class B covers the same work up to the cooling tonnage and heating output limits the statute names, which takes in most residential and light commercial systems. A shop that wants the rooftop units and the mechanical work needs Class A, and the exams are separate by class and by endorsement. For a coverage review the class tells the underwriter the size of the work.

Do I need both endorsements?

Only if you do both kinds of work. The statute says a license must be endorsed with an environmental air conditioning endorsement, a commercial refrigeration and process cooling or heating endorsement, or both, and each endorsement has its own exam within each class. Environmental air is comfort cooling and heating for people; commercial refrigeration and process cooling or heating is the walk-in, the rack, and the process load. A shop that services restaurant refrigeration alongside rooftop units carries both, and the submission should say how the revenue splits, because the claims are different.

What is the difference between a technician registration and a certification?

A technician assists a licensed contractor with maintenance work, and the department offers two paths. Registration is a short online filing with no exam. Certification has its own requirements and can count toward a contractor license: the statute lets an applicant qualify with thirty-six months of practical experience in the preceding forty-eight if they have held a technician certification for the preceding twelve months, instead of the forty-eight months otherwise required. For a coverage review, what matters is who is on your payroll and what they do, which is a workers’ comp class code question.

Does each office need its own license holder?

Yes. The statute says a contracting company must employ full time in each permanent office a license holder who holds an appropriate license assigned to that company, and a company without one at the time a contract is signed and when the work is performed may not collect a fee or otherwise enforce the contract. A license holder may assign the license to only one permanent location. So a second branch means a second license holder, and it also means a second address on the policy, which is why we ask about locations before the quote.

Can I do the gas piping on an install?

Not on your ACR license alone. The statute says a person licensed as a contractor under this chapter may not perform work defined as plumbing under chapter 1301 unless the person holds a plumbing license, and it draws similar lines around engineering and around liquefied petroleum gas work licensed elsewhere. So the gas connection to a furnace is where an HVAC shop either employs a licensed plumber or subcontracts. We do not draw that line for a specific job. We ask who does the gas work, because it changes the underwriting and the certificates we collect from subs.

Do I need a city license too?

Generally no, and that is the useful part. The statute says a license issued by the department is valid throughout the state and that a state license holder is not required to hold a municipal license to contract in any municipality in Texas, though a municipality may require notice that you hold the state license and may adopt consistent standards of its own. A municipal ACR license that meets the statute is valid inside that municipality only. So a shop working across several cities is simpler on the state license, and the department’s certificate is the one every city can verify.

Bring the license. We’ll match the coverage.

Class, endorsements, offices, and the work you actually do.

Prefer to talk? Call +1 802-GOT-RIZA · Sun to Sat, 8am to 8pm ET