Overview of Oklahoma Contractor License Bond Requirements

A contractor license bond is required in order to apply for several different types of licenses in Oklahoma.

  • When applying for a state license as a plumbing, electrical, or mechanical contractor at the Oklahoma Construction Industries Board, applicants must post a $5,000 bond.
  • When applying in the City of Oklahoma, applicants must post a $1,000 bond for a fence contractor license, $2,000 for a sidewalk contractor license, and $5,000 for a sign contractor license.
  • When applying in the City of Enid, applicants for a building contractor permit must post a $10,000.

Why do contractors need to get bonded?

The purpose of these bonds is to guarantee that contractors will comply with state and local laws and rules when performing work.

If a licensed and bonded contractor commits a violation and causes damages or losses to an individual or the public, their bond functions as a type of financial guarantee. A claim can be filed against the bond to secure compensation to anyone who has been harmed.

The surety then assesses the claim and extends compensation in an amount sufficient to cover for these losses. The amount of compensation in the case of a claim can be as high as the full penal sum of the bond.

To get an even better picture of how bonds work and why they are required, see our ‘What is a surety bond' guide!

Start your surety bond application today! Why us?
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See the sections below for more information about the cost of getting bonded, what may trigger a bond claim, and how you can get bonded!

For any additional questions, call our bond experts at (866)-450-3412 anytime!

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

A surety bond's cost is equal to a fraction of its full amount. That fraction, or rate, is determined by the surety during the application process, as it reviews your financials.

Financial factors that determine your bond rate

The most important factor that determines your bond cost is your personal credit score. Sureties consider credit score a reliable indicator of the possibility of a claim against a bond occurring. The higher an applicant's score, the lower that possibility is considered, and so the cheaper it is for them to get bonded.

Applicants with excellent to good credit are typically bonded at a rate between .75% and 5% of the bond amount.

Applicants with medium to low scores are offered higher rates that range between 5% and 10%. Bond rates are not fixed and the more you improve your financials, the more this will be reflected as you apply to renew a bond.

To more accurately determine the right bond rate for an applicant, the surety may also want to review their:

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

Want to know how much your bond will cost? See the table below for an estimate of your premium, based on credit score.

Oklahoma Contractor License Bond Cost Based on Credit Score

License type

Bond Amount

Credit Score
Above 700 650-699 600-649 Below 599
State plumbing, electrical, and mechanical contractor $5,000 $100 $100-125 $125-$250 $250-$375
City of Oklahoma
Fence contractor $1,000 $100 $100 $100 $100
Sidewalk contractor $2,000 $100 $100 $100 $100-$150
Sign contractor $5,000 $100 $100-125 $125-$250 $250-$375
City of Enid
Building contractor $10,000 $100-$150 $100-$300 $250-$500 $500-$1,000

How Do Bond Claims Occur?

A contractor license bond is basically an agreement between the licensed contractor, their state or city, and the surety company. This agreement serves to guarantee the contractor's compliance with all laws and regulations that govern their trade.

If, for example, in performing work on a public project in a way that violates such laws and causes losses or damages to the public, a claim can be made against the contractor's bond. The surety that backs the bond must then investigate the claim to determine whether its validity and scope.

The surety may then extend compensation to claimants to cover for damages. Such compensation may be as high as the full amount of the bond. In return, the bonded contractor must then reimburse the surety, because under the agreement the surety does not assume liability for any claims.

If the contractor does not give rise to a claim, then the only associated cost with getting bonded is their initial premium.

Apply For Your Contractor License Bond Here!

To request a free and precise quote on your bond, click on the banner below and complete our simple bond form. We'll get in touch with you shortly to provide you with a quote and further details on how to continue with the bonding process.

Not ready to apply? Then simply get a free no-obligations quote, so you can see our low prices!

If you have any further questions about the bonding requirements for contractors in Oklahoma, 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.