What Is a Contractor License Bond?

Construction contractors are generally required to be registered or licensed with their state or local authorities, and a contractor license bond is often required in the process.

The contractor license bond is a type of surety bond, which, in essence, is an agreement between three parties: the principal (the contractor), the obligee (the entity requiring the bond, usually the state), and the surety (the bond provider).

contractor license bond

A contractors license bond acts as a guarantee that you will comply with all regulations imposed by your local authorities. It is like a line of credit for your business, providing extra protection for your customers that you will fulfill your work fully and diligently.

Watch our video and learn more about what a contractor license bond is, how much it costs, and much more.

Are contractor license bonds the same as contract bonds?

There are other construction-related bonds such as bid, performance and payment bonds, but they are different from a contractor license bond. The license bond concerns general compliance with the statutes of your license, while the other three types of bonds are posted for work on a specific project.

Contract bonds serve as a guarantee that you will follow your contractual obligations under a specific project, such as completing your work, or paying your subcontractors or suppliers as agreed. You can learn more about the difference between contract bonds and contractor license bonds if you take a look at the infographic at the bottom of the page.

In the following sections, you can learn more about how much it costs to get this type of bond, how you can get bonded, and what a bond claim is. For basic information about surety bonds, see our expert "What is a surety bond" guide!

Start your surety bond application today! Why us?
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Contractor Bonding Requirements by State

If you want to find out more about state or local bonding requirements for contractors, you can do so by selecting your state below.

Choose Your State

How Much Does a Contractor Bond Cost?

The cost of your bond is equal to a percentage of the total bond amount. That percentage will depend on your personal and business status:

  • Credit score
  • Financial statements
  • Assets and liquidity
  • Business experience

If your overall condition is good, you’ll have to pay less.

Additionally, each state and local authority has different requirements regarding the bond amount.

What percentage do I need to pay?

If you have a high credit score, around or above 700 FICO, the cost for your contractor license bond, or the bond premium, is usually between 1%-2% of the total amount.

contractor license bond cost

For example, if you’re required to post a $10,000 contractor license bond, you might pay between $100 and $200.

Get an estimate of the cost of your bond from our bond calculator below!

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The ballpark estimate on your premium is: $100 - $167

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How can I decrease my contractor bond cost?

There are a few effective ways that can help you lower your bond cost:

  • Your credit score. The higher it is, the lower you’ll pay.
  • Your overall financial status. Showcase strong financial statements and good liquidity.
  • Your choice of surety bond provider.

Can I get bonded if I have a low score?

For many contractors with a lower credit score or past bankruptcies, tax liens or court cases, getting bonded can seem difficult. But actually, getting bonded with bad credit is not that difficult at all!

The only significant difference for such applicants is that bond premiums for them are a bit higher, in the range of 3%-5%. But by improving their credit score over time such applicants can receive increasingly better rates on their bonds.

Apply For Your Contractor License Bond

To start your bonding process, complete our bond form. We’ll soon get in touch with you to provide you with a free quote on your bond!

You can also call us at 866.450.3412 if you need assistance with your application.

Bond forms vary across states and municipalities; make sure you get the right one from your local authorities. Once you get the completed bond, we recommend that you make a copy for yourself before submitting it to the relevant authorities.

You can also look for your bond in the table below!

Find the Bond You Need

The table below contains a list of only the most popular surety bonds. If you can't find yours, fill out our online application and select "Not in the list".

Alabama General Contractor License Bond State of Alabama Board for General Contractors Apply Now
Alabama City of Birmingham Contractor License Bond City of Birmingham Apply Now
Alabama (City of Dothan, AL) Contractor License Bond City of Dothan Apply Now
Alabama Heating, Air Conditioning, & Refrigeration Contrac Board of Heating, Air Conditioning, & Refrigeratio Apply Now
Alabama Urban Development Department Bond Mobile Urban Development Department Apply Now
Alabama Plumbing and or Gas Fitting Bond State of Alabama Plumbers & Gas Fitters Apply Now
Alaska Construction Contractor Bond Dept of Commerce, Community and Economic Developme Apply Now
Arizona Contractor License The Registrar of Contractors Apply Now
Arizona Right of Way Performance Bond City of Phoenix Apply Now
Arizona Taxpayer Bond for Contractor 42-5006 Arizona Department of Revenue Apply Now
Arkansas (City of Marion, AR) Contractor License Bond City of Marion Apply Now
Arkansas Contractor's Bonds Contractors Licensing Board Apply Now
Arkansas Contractor License Contractors Licensing Board Apply Now
California Public Works Bond (Sonoma County Department) Sonoma Count PRMD Apply Now
California Waste Collector's Performance Bond City of Los Angeles - Environmental Affairs Dept Apply Now
California Contractor's Bond Contractors State License Board Apply Now
California Bond of Qualifying Individual CSLB Apply Now
California Company Registration Structual Pest Control Board Apply Now
California Sewer/Storm Drain Connectin Bond City of Los Angeles Apply Now
California Farm Labor Contractor Bond Dept of Industrial Relations Apply Now
Colorado Permit Compliance Bond (El Paso County, CO) Board of County Commissioners; El Paso County Apply Now
Colorado Contractor License Bond (City of Trinidad, CO) City of Trinidad Apply Now
Colorado Installer of Manufactured Homes Bond Dept of Local Affairs Div of Housing Apply Now
Colorado Right of Way Street Permit for Washo Circle Bond ( El Paso County, CO Public Services Department Apply Now
Connecticut Town of Berlin Bond The Town of Berlin Apply Now
Connecticut Town of South WIndsor Drain Layer's or Excavation Town of South Windsor Apply Now
Connecticut Bureau of Engineering & Highway Operations Permit State of Connecticut, Dept of Transportation Apply Now
Connecticut Town of Farmington Permit Bond Town of Farmington Apply Now
Connecticut (City of Norwalk, CT) Street Opening or Encroachme City of Norwalk, Connecticut Apply Now
Connecticut Nonresident Contractor Verification Bond CT Department of Revenue Services Apply Now
Delaware Statutory Compliance Bond New Castle County, DE Apply Now
Delaware Compliance with City Ordinance Bond (Newark, DE) City of Newark, Code Enforcement Division Apply Now
Delaware (City of Wilmington, DE) Plumbers Bond City of Wilmington Dept of Licenses and Inspection Apply Now
Delaware License and Permit City of New Castle Apply Now
Delaware Plumber's Bond (City of Rehoboth Beach) City of Rehoboth Beach Apply Now
Delaware Non Resident Contractor Department of Labor, Divison of Revenue Apply Now
District of Columbia K Home Improvement Contractor Dept of Consumer & Regulatory Affairs- Buisness an Apply Now
District of Columbia Electrical Contractor Dept of Consumer & Regulatory Affairs- Buisness an Apply Now
Florida Registered Contractor Qualifying Business Florida Department of Business and Prof Reg. Apply Now
Florida Construction License Bond Florida Construction Industry Licensing Board Apply Now
Florida Hernando County Contractor License Bond Hernando County Development Department Apply Now
Florida Hillsborough County Contractor's Code Compliance B Governor of The State of Florida Apply Now
Florida Contractor LIcense Bond City of Kissimmee, FL Apply Now
Florida Contractor License Bond (Palm Beach County, FL) Palm Beach County Construction Industry Lic Board Apply Now
Florida (Anna Maria, FL) Public Works Bond City of Anna Maria -Public Works Dept Apply Now
Florida Financially Responsible Officer Construction Industry Licensing Board Apply Now
Florida Statement of Bonding Limits (Application for Trans Dept of Business and Professional Regulation Apply Now
Florida General Construction License Bond Department of Business and Professional Regulation Apply Now
Florida Certified Contractor Qualifying Business (General) Department of Business and Professional Regulation Apply Now
Florida Construction License Bond Department of Business and Professional Regulation Apply Now
Florida Construction License Bond Florida Dept of Business and Professional Reg Apply Now
Florida Certified Contractor Qualifying Business (Plumbing Department of Business & Professional Regulation Apply Now
Florida Certification of Registered Contractor Bond Dept of Business and Professional Regulation Apply Now
Florida Additional Business Entity Bond Department of Business and Professional Regulation Apply Now
Florida Construction License Bond Department of Business and Professional Regulation Apply Now
Florida Certified Contractor Bond Florida Construction Industry Licensing Board Apply Now
Florida Registered Contractor Qualifying Business Bond Department of Business and Professional Regulation Apply Now
Florida Statement of Bonding Limits (Change of Status of Q Dept of Business and Professional Regulation Apply Now
Florida Certified Contractor as an Individual (Commerical Dept of Business and Professional Regulation Apply Now
Florida Construction License Bond Department of Business and Professional Regulation Apply Now
Florida Contractor License Bond (Registered Contractor as Department of Business and Professional Regulation Apply Now
Florida Certified Contractor Qualifying Business (Building Department of Business and Professional Regulation Apply Now
Florida Construction License Bond (Change of Status - Inac Department of Business and Professional Regulation Apply Now
Florida Construction Industry Licensing Bond(Financially R State of Florida Dept of Business and Professional Apply Now
Georgia Lincoln County Electrician Bond Lincoln County Planning and Zoning Apply Now
Georgia Pesticide Ground Contractor Bond Dept of Agriculture - Pesticide Section Apply Now
Georgia Electrical Contractor Bond (Augusta Richmond Count Augusta Richmond County Apply Now
Georgia Cobb County Code Compliance Bond Cobb County Development & Inspections Apply Now
Georgia Residential & General Contractors State Board for General and Residential Contractor Apply Now
Georgia Water Well Pump Installers Bond GA EPD-Dept of Natural Resources Apply Now
Georgia Performance Bond For Water Well Contractors and Dr GA EPD-DEPT OF NATURAL RESOURCES Apply Now
Georgia Pesticide Ground Contractor Bond Dept of Agriculture - Pesticide Section Apply Now
Georgia DOT Performance Bond STATE OF GEORGIA Apply Now
Hawaii Contractors License Dept of Commerce and Consumer Affairs Apply Now
Hawaii City of Honolulu Trenching Bond City and County of Honolulu Apply Now
Idaho HVAC Contractor's/Specialty Contractor's Certifica State of Idaho Division of Building Safety HVAC Bo Apply Now
Idaho Plumbing Contractor's/Specialty Contractor's Licen Division of Building Safety Apply Now
Illinois Crystal Lake, ILGeneral Contractor License Bond City of Crystal Lake Apply Now
Illinois Contractor License Bond (Lincolnwood, IL) Village of Lincolnwood Apply Now
Illinois General Contractor License Village of Tinley Park Apply Now
Illinois General Contractor License Bond Kankakee County Regional Planning Department Apply Now
Illinois Electrical Contractor Bond Village of Rosemont Apply Now
Illinois General Contracting Bond (Village of Itasca, IL) Village of Itasca, IL Apply Now
Illinois General Contractor Bond (Village of Rosemont, IL) Village of Rosemont Apply Now
Illinois General Contractor License Bond (County of Dupage, County of Dupage Apply Now
Illinois Electrical Contractor Bond (Village of Hinsdale) Village of Hinsdale Apply Now
Illinois General Contractor Bond (Elmhurst, IL) City of Elmhurst Apply Now
Illinois Concrete Work Bond (Elmhurst, IL) City of Elmhurst Apply Now
Illinois General Contractor License Bond (Harwood Heights, Village of Harwood Heights Apply Now
Illinois General Contractor License Bond (Granite City, IL) City of Granite City Apply Now
Illinois Roofing Contractor (Limited) Dept of Financial and Professional Regulation Apply Now
Illinois Roofing Contractor (Unlimited) Dept of Financial and Professional Regulation Apply Now
Illinois Limited Liability Plumbing Contractor Bond Illinois Department of Public Health Plumbing Prog Apply Now
Illinois General Contractor Bond City of Aurora, IL Apply Now
Illinois (Community Unit School District No 300) Sign Contr Community Unit School District No 300 - Purchasing Apply Now
Indiana Timber Buyer IN Dept of Natural Resources Apply Now
Indiana General Contractor License Bond Consolidated City of Indianapolis Apply Now
Indiana Saint Joesph County Health Department General Cont Saint Joseph County Health Dept. Apply Now
Indiana Contractor License Bond Consolidated City of Indianapolis Apply Now
Indiana Building Contractor Bond LaPort County Apply Now
Indiana Marshall County General Contractor License Marshall County Building Apply Now
Indiana Building Contractor Bond City of La Porte Apply Now
Indiana Repair or Removal of Unsafe Building Bond City of Richmond, Indiana Apply Now
Indiana Waterproofing Contractor Bond (Lake County Plan Co Lake County Plan Commission Apply Now
Indiana General Contractor Bond (Lake County, IN) The City of Gary Apply Now
Indiana Excavatin in Streets Bond The City of Mishawaka Indiana Apply Now
Iowa City of Bettendorf Contractor License Bond City of Bettendorf, Building Inspection Services Apply Now
Iowa License and Permit Bond (Davenport, IA) City of Davenport, Iowa Apply Now
Iowa General Contractor Bond (Fort Dodge, IA) City of Fort Dodge, IA; City Treasurer's Office Apply Now
Iowa Right of Way Permit Bond (Fort Dodge, IA) City Treasurer's Office Apply Now
Iowa Division of Labor Out of State Contractor Iowa division of labor contractor registration Apply Now
Iowa Contractor License Performance & Payment (State) B Iowa Division of Labor Apply Now
Iowa Commercial Refrigeration Bond Plumbing & Mechanical Systems Board Apply Now
Kansas Roofing Contractor License Bond City of Colby Apply Now
Local Government License & Permit City of Lockport, IL City of Lockport Apply Now
Local Government Compliance with City Ordinance City of Newark Apply Now
Local Government City of South Euclid 2011 Registration Bond City Of South Euclid Department of Building Apply Now
Local Government Village of Roselle, IL- Low Power Cabling Installe Village of Roselle Apply Now
Local Government Contractor License - South St. Paul, MN City of South St. Paul, MN Apply Now
Local Government Contractor License - Missoula, MT City of Missoula, MT Apply Now
Local Government Contractor License - Provo City, UT Provo City, UT Apply Now
Local Government Contractor License - Lynnfield, MA Town of Lynnfield Apply Now
Local Government Contractor License - Galveston, TX City of Galveston, TX Apply Now
Local Government Contractor License - Missoula, MT City Council Apply Now
Local Government Contractor License - Williams County, VA Department of Public Works Apply Now
Local Government Engineering & Construction Management Blanket Buil City of El Paso Apply Now
Local Government Financially Responsible Officer 0K Dept of Buisness and Professional Regulation Apply Now
Local Government LAND USE and CONSTRUCTION SURETY BOND Mecklenburg County Land Use & Environmental Servic Apply Now
Local Government Contractor Registration City of Lancaster Apply Now
Local Government Misc. License City of Minneapolis, License and Consumer Services Apply Now
Local Government Contractor License City of Joplin Apply Now
Local Government El Paso, TX, Engineering & Construction Management City of El Paso Apply Now
Local Government Contractor License Gallia County Health Department Apply Now
Local Government County Sanitation Contractor License PP County Sanitation Districts of Los Angeles Apply Now
Local Government Residential Specialty Contractor City of Minneapolis Apply Now
Local Government City of Pittsburgh Street Location Work Permit City of Pittsburgh Apply Now
Local Government City of Pittsburgh-Telecommunications Installing a City of Pittsburgh Apply Now
Local Government City of Portsmouth Contractor License Bond City of Portsmouth Apply Now
Local Government Building Contractor License St. Joseph County/City of South Bend Apply Now
Local Government Building Contractor License City of Mishawaka Apply Now
Local Government License and Permit Bond City of Omaha Apply Now
Local Government Drain Layer's Bond The Town of Cromwell Apply Now
Local Government Roofing Contractor License Bond City of Colby Apply Now
Local Government Contractor License Bond City of Calumet City Apply Now
Local Government (City of Port Aransas, TX) General Contractor Bond City of Port Aransas Apply Now
Local Government Home Improvement Suffolk County Dept. of Consumer Affairs Apply Now
Local Government Landscape Contractors Board Landscape Contractor Board Apply Now
Local Government San Francisco Street Excavation Bond Dept of Public Works San Francisco ca Apply Now
Local Government Burlington County, NJ Burlington County Board of Chosen Freeholders Apply Now
Local Government One Location Liability New York City DOT Apply Now
Local Government Guarantee Payment of Taxes in Subdivisions Bond Auditor-Collect/Treas/Tax Coll/Prop Tax Div Apply Now
Louisiana (Parish of Ascension, LA) Billboard Installation B Parish of Ascension Apply Now
Louisiana Contractor/Sub-Contractor Secretary, Dept of Revenue Apply Now
Louisiana Highway Permit Bond LA Dept of Transportation Oversize Apply Now
Maryland Montgomery County Performance Bond Montgomery County Maryland Dept of Permitting Serv Apply Now
Maryland Storm Water Management Bond City of Takoma Park Apply Now
Maryland Home Improvement Contractor Home Improvement Commission Apply Now
Maryland Home Improvement Contractor's Bond State of Maryland Apply Now
Maryland Hauling Performance Bond MD Motor Carrier Division Apply Now
Massachusetts Town of Weston - Street Opening Permit Bond The Town of Weston Apply Now
Massachusetts Contractor Guarrantee Tax Bond MA Department of Revenue, Audit Division Apply Now
Michigan Residential Builder and/or Residential maintenance Michigan Dept. of Licensing and regulatory Affairs Apply Now
Michigan Security Alarm Contractor Bond Dept of Licensing and Regulatory Affairs Apply Now
Michigan Residential Builder and/or Residential Maintenance Dept of Licensing & Regulatory Affairs Lic. Div. Apply Now
Michigan Uniform Bond City of Detroit,County of Wayne, State of Michigan Apply Now
Minnesota Mechanical License Bond Minnesota Department of Labor and Industry Apply Now
Minnesota General Contracting License Bond City of Circle Pines Apply Now
Minnesota Electrical Contractor Bond Dept of Labor and Industry Apply Now
Minnesota Sign Contractor Dept of Labor and Industry Apply Now
Minnesota Mechanical K Dept of Labor and Industry Apply Now
Minnesota Technology System Contractor Bond Minnesota Department of Labor and Industry Apply Now
Minnesota Non-Minnesota Contractor's Bond State of Minnesota Apply Now
Mississippi Planning and Development Contractor's Bond City of Jackson, Building Permits Division Apply Now
Missouri General Contractor License Bond City of Joplin Apply Now
Missouri City of Neosho Electrical Contractor Bond City of Neosho Apply Now
Missouri Contractor License Bond (City of Dexter, MO) City of Dexter Apply Now
Missouri Performance Bond (Construction) Missouri Highways and Transportation Commission Apply Now
Montana (Whitefish, MT) Public Works Contractor License Bo City of Whitefish Public Works Dept. Apply Now
Nevada Residential Pool and Spa License State Contractors Board Apply Now
Nevada Nevada State Contractors Board State Contractors Board Apply Now
New Jersey General Contractor License Bond City of Jersey City Apply Now
New Jersey Electrical Contractor Bond Board of Examiners of Electrical Contractors Apply Now
New Jersey General Contractor License Bond City of Jersey City Apply Now
New Jersey Procuring & Installation of a 1,000 Gallon Grease Hamilton Twsp Apply Now
New Jersey Master Plumber Bond Board of Examiners of Master Plumbers Apply Now
New Jersey Township of Bloomfield Sidewalk Bond TOWNSHIP OF BLOOMFIELD Apply Now
New Jersey Maintenance License Bond City of Elizabeth Apply Now
New Mexico Contractor License Construction Industries Division Apply Now
New Mexico Installer and/or Repairman License NM Manufactured Housing Division Apply Now
New Mexico Contractor License Code Bond Construction Industries Division Apply Now
New Mexico Modular Structure Certification Bond New Mexico Regulation & Licensing Dept Apply Now
New Mexico Service Contract Provider Bond STATE OF NEW MEXICO Apply Now
New Mexico Contractors Taxation Surety State of New Mexico Apply Now
New Mexico Contractors Tax (Single Contract) Bond New Mexico Taxation & Revenue Department Apply Now
New York County of Putnam Electrical Contractor License Bon County of Putnam Apply Now
New York Performance Bond City of Niagara Falls Apply Now
New York More Than ONe Location-Building Operations Permits City of New York Apply Now
New York Two to Fifty Locations Liability Permit Bond City of New York/Commissioner of Transportation Apply Now
New York Oversize and or Overweight Equipment Hauling Permi Department of Transportation, State of New York Apply Now
North Carolina Irrigation Contractor's License NC Irrigation Contractors Licensing Board Apply Now
North Carolina Land Use and Construction Bond Mecklenburg County Land Use & Environmental Servic Apply Now
North Carolina Privilege License Bond City of Greensboro Apply Now
North Carolina Contractor License Performance & Payment (Local) B Obligee info for this request was wrong Apply Now
North Carolina Set-Up Contractor License NC Manufactured Housing Board Apply Now
North Carolina Home Warranty Bond State of North Carolina, County of Wake Apply Now
North Carolina Modular Building Set-Up Contractor License Bond North Carolina Department of Insurance Apply Now
North Carolina Landscape Contractors' Licensing Compliance Bond NC Landscape Contractors Board Apply Now
North Dakota LicenseBond Department of Commerce Apply Now
North Dakota Manufactured Home Installer Bond North Dakota Department of Commerce Apply Now
North Dakota Contractor License Third Party Liability Bond Public Service Commission Apply Now
Ohio City of Reynoldsburg Contractors Registration Bond The City of Reynoldsburg Building Division Apply Now
Ohio Contractor License/Registration Bond Form City of Columbus Apply Now
Ohio City of Cleveland Contractor's Bond City of Cleveland Dept of Building Apply Now
Ohio Contractor's Bond, City of University Heights City of University Heights Building Department Apply Now
Ohio Electrical Contractor's Bond Trumbal County Electrical Department Apply Now
Ohio Dayton & Montgomery County Plumbing Bond Dayton & Montgomery County Public Health Apply Now
Ohio Contractor License Bond (City of North Canton, OH) City of North Canton Apply Now
Ohio Installer of Manufactured Homes Dept of Development, Building services Division Apply Now
Ohio Concrete Contractor Bond (Village of Covington, OH Ohio - Village Of Covington Apply Now
Ohio Sewage Treatment Systems Service Provider Bond ODH Apply Now
Ohio Contractor License Performance & Payment (State) B Ohio Department of Health Apply Now
Oklahoma Building Contractor Bond City of Enid Apply Now
Oklahoma Construction Industries Board License Oklahoma Construction Industries Board Apply Now
Oklahoma Well Operator Bond Oklahoma Corporation Comission Oil and Gas Divisio Apply Now
Oklahoma Nonresident Contractor's Bond Oklahoma Tax Commission Apply Now
Oregon Residential Construction Contractor License Construction Contractors Board Apply Now
Oregon Landscape Contractor License Landscape Contractors Board Apply Now
Oregon Landscape Contractor License Landscape Contractors Board Apply Now
Oregon Landscape Contractor License Landscape Contractors Board Apply Now
Oregon State of Oregon Construction Contractor Board- Com Construction Contractor Board Apply Now
Oregon Water Well Constructor's OR Water Resources Department Apply Now
Oregon Statutory Public Works Construction Contractors Board Apply Now
Oregon Commercial Contractor License Bond Construction Contractors Board Apply Now
Oregon Farm Labor Contractor Bond Bureau of Labor and Industries Apply Now
Other St. Clair County Road Commission St. Clair County Road Commission Apply Now
Pennsylvania Telecommunications Installing and Operating Bond City of Pittsburgh Apply Now
Pennsylvania Road Weight Permit Bond Township of Nottingham Apply Now
Pennsylvania Road Weight Permit Bond Township of Burlington Apply Now
Pennsylvania Peters Township, PA Road Weight Permit Bond Peters Township Apply Now
Pennsylvania Union Township, PA Road Weight Permit Bond Union Township Apply Now
Pennsylvania Surety Bond (Street Permit) PENNDOT - Bureau of Maintenance & Operations Apply Now
Pennsylvania Pine Township Excess Weight Permit Bond Pine Township Apply Now
Pennsylvania City of Pittsburgh, PA Excess Weight Bond City Of Pittsburgh Apply Now
Pennsylvania Weight Restricted Highways Program Performance Bon PENNDOT - Bureau of Maintenance & Operations Apply Now
South Carolina Registered Residential Specialty Contractor Residential Builders Commission Apply Now
South Carolina South Carolina Manufactured Housing SC Dept. of Manufactured Housing Apply Now
South Carolina Contractor License (No P&P Language) Residential Builders Commission Apply Now
South Carolina (HVAC, plumber, electrician) Licensed Residential Residential Builders Commission Apply Now
South Carolina Service Contracts Bond State of South Carolina Apply Now
Tennessee Metropolitan Government of Nashville and Davidson NASHVILLE AND DAVIDSON COUNTY Apply Now
Tennessee City of Hendersonville Permit Bond Hendersonville Department of Building & Codes Apply Now
Tennessee Fire Protection Sprinkler Contractor Board of Licensing Contractors, Dept of Commerce a Apply Now
Tennessee Home Improvement Contractor Dept. of Commerce & Insurance, Contractor License Apply Now
Tennessee Memphis and Shelby County Code Enforcement Bond Memphis & Shelby County Apply Now
Texas Building Contractor's Bond (City of Abilene) City of Abilene Apply Now
Texas City of Galveston, TX -(Local) Payment & Performan City of Galveston Apply Now
Texas General Contractor's City of Olmos Park Apply Now
Texas Pole Attachement AEP Texas Central Company Apply Now
Texas Development Services Blanket Building and Construc City of El Paso Apply Now
Texas General Contractor License Bond City of Galveston Apply Now
Texas Blanket Building & Construction Bond City of El Paso - Development Services Dept Apply Now
Texas City of Sonora Electrical Contractor Bond City of Sonora Apply Now
Texas Blanket Building & Construction Bond County of El Paso Apply Now
Texas Home Improvement Contractor's/Salesman Bond City of Kirby Apply Now
Texas Contractors Bond (City of Midland, TX) City of Midland Apply Now
Texas Building Contractor's Bond (City of Abilene) City of Abilene Apply Now
Texas Blanket Building and Construction Bond (Town of Ho Town of Horizon City Apply Now
Texas Paving Bond (City of Dallas) City of Dallas Apply Now
Texas Development Services Dept Blanket Building & Const City of El Paso Apply Now
Texas Service Contract Provider Surety State of Texas Apply Now
Texas Over Axle and Over Gross Weight Tolerance Permit B Dept. of Motor Vehciles, Motor Carrier Division Apply Now
Utah Appendix Form D: Contractors License Division of Occupational and Professional Licensin Apply Now
Utah Contractor's License Division of Occupational and Professional Licensin Apply Now
Utah Contractor License Bond Div. of Occupational & Professional Licensing Apply Now
Utah Contractor's License Bond Utah Department of Ocupational Professional Licens Apply Now
Virginia Contractor License Performance & Payment (Local) B Prince William County, Dept of Development Svcs, B Apply Now
Washington Continuous Contractor's Surety Dept of Labor and Industries, Contractor’s Registr Apply Now
Washington Electrical/Telecommunications Contractor's State of Washington Dept of L&I Apply Now
Washington Commercial Installer and/or Maintenance Service Pr Island County Health Department Apply Now
Washington Fire Sprinkler System Contractor's License Bond Fire Protection Bureau-Sprinkler Licensing Program Apply Now
Washington Farm labor Contractor Bond Dept of Labor & Industries Employee Standards Sec Apply Now
Washington Side Sewer Contractor Registration City of Seattle, Department of Planning & Developm Apply Now
Washington Side Sewer Contractor Performance and Warranty Bon City of Redman Apply Now
West Virginia Division of Highways Encroachment WV Depratment of Transporation Apply Now
Wisconsin Tree-Brush Trimmer Bond Risk Management Office-City of Green Bay Apply Now
Wisconsin Plumber's Preformance Bond City of Milwaukee Apply Now
Wisconsin Dwelling Contractor-Restricted Certification Bond Wisconsin Department of Safety & Prof Services Apply Now
Wyoming Contractor License Bond City of Gillette Apply Now
Wyoming City of Sheridan, WY Contractor License Bond City of Sheridan - City Hall 1st Floor Apply Now
Wyoming (Town of Jackson, WY) Contractor License Bond Town of Jackson, WY Apply Now
Wyoming (City of Buffalo, WY) Contractor License Bond City of Buffalo Apply Now
Wyoming (City of Torrington, WY) Roofing and Construction City of Torrington Apply Now

Contractor License Bond Claims: What You Need to Know

If you breach the contractor surety bond agreement, this may give rise to a surety bond claim! A claim can be due to non-compliance with state or local regulations, using fraudulent business methods, failure to declare and pay your taxes, etc.

Bond language and forms vary by location, so you need to be well aware of the ones required in your place (or places) of operation.

What happens if a claim is filed?

In the event of a claim, there are several possible courses of action. You can seek an out-of-court settlement, which is usually recommended if you know that you have breached the bond agreement and will lose the claim in court anyway. A settlement will generally be less costly and time-consuming and will not hurt your reputation the way a claim will.

Alternatively, you can try and go to court over the claim. If that is your preferred option, you need to make sure that you have sufficient and well-documented evidence to present. Communication with the claimant should be well-documented too, and at every step of the claim process.

Finally, it is advisable that you notify the company that issued your contractor license bond. After you present your case in front of the surety, they can decide to intervene in your favor and offer legal aid in court.

If you lose your court case, your will have to financially compensate the claimant up to the full penal sum of the bond.

Difference Between Contractor License Bonds and Contract Bonds

These two types of bonds are frequently confused, so we created a short infographic to explain the difference.

contractor license bonds vs contract bonds

External Resources

Bond Basics by the CSLB

Surety Bonds & Credit Ratings by the CSLB

SBA Surety Bonds Program

Bonding: Why and How? by SFAA


About us:
Bryant Surety Bonds, Inc. is a surety bond agency based in Pennsylvania. Licensed in all 50 states and with access to over 20 T-listed, A-Rated bonding companies, we have the contacts, expertise, and top service to provide you with a hassle-free experience, all while offering competitive rates for your surety bond.