Overview of Louisiana Contractor License Bond Requirements

To get a contractor license in the state of Louisiana, you may need to post a contractor license bond during the application process.

  • Applicants for a state residential or commercial contractor license from the LA Licensing Board for Contractors must post a $10,000 bond if they are unable to demonstrate a net worth in the same amount.
  • Applicants in the City of Gonzales for a building, electrical, plumbing or mechanical contractor license must post a $5,000 bond.
  • All contractors in the City of Lake Charles must post a $7,500 bond.

Why do contractors need a bond?

These bonds are a form of guarantee that the contractor will comply with their legal obligations when performing the work they are licensed for.

If a contractor violates their obligations, and thereby causes losses or damages to anyone, the bond is there to also act as a guarantee that compensation is available to cover for these. When a claim is filed against a bond because of such a violation, the surety may step in to resolve the claim and extend compensation. Such compensation can be as high as the full penal sum of the bond.

If you've never gotten bonded before, our detailed ‘What is a surety bond' guide can be a very helpful resource for you to review!

Start your surety bond application today! Why us?
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In the sections below you can learn more about the cost of these bonds, what gives rise to bond claims, and how you can get bonded.

If you have any further questions about the bonding requirements for contractors in the state, call us at (866)-450-3412 anytime!

How Much Does it Cost to Get a Contractor License Bond in Louisiana?

The cost of your bond is equal to a fraction of its full amount. When you apply, your surety will review your financials to establish the rate at which it can issue a bond to you.

Factors that determine your bond premium

The primary factor that sureties consider is your personal credit score. The higher your score is, the cheaper it will be for you to get bonded and vice versa. Credit score is perceived by sureties as a reliable indicator of financial health and stability.

Applicants with a very high to good credit scores can typically expect to be offered a rate between .75% and 5% of their bond amount.

Applicants with low to bad credit scores will typically be offered a rate in the range of 5% to 10%, respectively.

Sureties may also want to review the following additional aspects of your finances to more accurately set your bond rate.

  • Personal and business financial statements
  • Fixed and liquid assets
  • Industry experience

To get a sense of the possible cost of your bond, see the table below.

Louisiana Contractor License Bond Cost Based on Credit Score

License type

Bond Amount

Credit Score
Above 700 650-699 600-649 Below 599
State residential and commercial contractor (only applicable if applicant cannot fulfill license net worth requirements) $10,000 $100-$150 $100-$250 $250-$500 $500-$750
City of Gonzales
Building, electrical, plumbing, and mechanical contractor $5,000 $100 $100-125 $125-$250 $250-$375
City of Lake Charles
All contractors $7,500 $100-$112 $100-$187 $187-$375 $375-$562

What Can Give Rise to a Bond Claim?

Contractors require this bond as part of their license application process to serve as a guarantee for their compliance with all laws and regulations that apply to their work. By obtaining a bond, the contractor agrees to comply.

If the contractor violates the conditions of their surety bond agreement by, for example, not complying with building codes and standards, a claim can be filed against their bond. Claims are filed in order to secure compensation for any losses that are due to such non-compliance.

When a claim is filed, the surety that backs the bond is bound to step in and investigate the claim and the amount of compensation that is being requested. If it determines the claim to be reasonable and legitimate, it will extend compensation to claimants for as much as the full bond amount, if required.

Next, as part of the conditions of the bond agreement, the contractor will need to repay the surety. This is so because sureties never assume liability for the claims filed against a bond, but only provide financial guarantee.

In other words, if a contractor gives rise to a bond claim, they must also ultimately pay for any costs that arise.

Get Your Contractor License Bond Here!

Click on the banner below and complete our bond form to request a free and exact quote on your bond!

Along with your quote, we will also provide you with further details about the bonding process.

Start your surety bond application today! Why us?
  • The lowest possible rates
  • A 100% money-back guarantee
  • Access to specialty programs, not available to small agencies

For any additional questions about the bonds required of applicants for a LA contractors license, call us at (866)-450-3412!

Further Reading


About the author:
Todd Bryant
Todd Bryant is a graduate of Germantown Academy and the University of Pittsburgh College of Business Administration Honors College. He has been President of Bryant Surety Bonds, Inc., an A+ rated Business with the Better Business Bureau, since 2007. Licensed as a producer with the Department of Insurance, he has been published in the National Association of Surety Bond Producers newsletter and on numerous authoritative publications such as The Washington Post, Entrepreneur.com, Azcentral.com and many more.