California Contractor License Bond Guide
If you are applying for a contractor's license or construction permit in California, you may need a surety bond. Read on to learn all about the bonding process with this complete guide.
Bond Overview
- Purpose: To ensure contractors uphold license regulations and contract terms
- Who Needs It: Contractors performing various types of construction work in California
- Regulating Body: The California Contractors State License Board (CSLB) or municipal licensing authority
- Required Amount: Varies based on the license type and/or location
- Premium Rates: Start at $193 for CSLB contractor license bonds or $100 for local construction license and permit bonds
What Is a CSLB License Bond?
A California Contractors State License Board (CSLB) bond is a financial guarantee that a contractor will comply with state licensing laws while working on a job. Filing a $25,000 CSLB surety bond is a requirement before a contractor business can receive or renew its CSLB license.
SuretyBonds.com also provides the following CSLB license bonds:
How Much Do California Contractor License Bonds Cost?
Individual CSLB or qualifying individual license bond premiums start at $193 per year. Apply now to get your personalized rate based on credit score. Save 25% per year by selecting a multi-year term.
If you need an additional California contractor bond, your price will vary based on the specific bond type, amount and your qualifications. Apply online now to get your free quote.
Who Needs a California CSLB Contractor Bond?
Every individual contractor or contractor qualifying individual working in California needs to file a $25,000 CSLB surety bond to establish or maintain their licensed status.
Contractor companies structured as an LLC need a $100,000 CSLB bond to provide additional protection for employees. If any contractor has their license revoked, they must also file a disciplinary bond to be reinstated with the CSLB.
Other Construction Bonds in California
You may also need a bid bond, payment bond, performance bond, or other type of contract bond for certain projects. These protect construction project owners from contractors who default or fail to uphold their contracts in any way. Search the bond table above to find the California contract bond you need.
If you work outside of California, we also offer contractor license bonds nationwide.
How to Get a California Contractor Bond
You can apply for any California contract bond by submitting an online request form. Simply find the bond you need and enter your information. It only takes two minutes!
If you apply for a California contractor license bond, you’ll need to provide the following information as provided to the CSLB:
- License classification
- Company name
- Company address
- Application fee number (new applicants only)
- License number (renewal applicants only)
Apply now and a SuretyBonds.com representative will contact you within one business day to discuss next steps.
How Fast Can I Get a CSLB Surety Bond?
Every surety company will require underwriting to determine your California contractor license bond premium. But, SuretyBonds.com is the only provider that offers instant CSLB bond quote approval AND instant email bond delivery.
How Do I File My CSLB Contractor Bond?
Your surety provider will file your contractors license bond directly with the CSLB on your behalf. Contractors do not file their own surety bonds with the CSLB.
You will have to file other non-license-related contract bonds with the obligee requiring them. For example, California performance and payment bonds must be filed with the project owner by the contractor.
How Do Claims Work on California Contractor Bonds?
Contractor bonds protect consumers who could be harmed by defective construction or other license noncompliance as well as any unpaid employees, subcontractors, or suppliers.
These surety bonds bind three parties in a legal contract:
- Principal: The individual or company purchasing the contractor bond
- Obligee: The California government entity or project owner requiring the bond
- Surety: The company issuing and backing the bond
If you break the bond terms, the surety company will pay valid claims to harmed parties up to the full bond amount, which you must then reimburse in full.
Who Regulates California Construction Contractor Licensing?
The California Contractors State License Board (CSLB) enforces state-wide license and bond requirements for all California contractors.
- If you have license questions, you can call the 24-hour CSLB licensing line at 1 (800) 321-2752.
- If you have bond questions for the CSLB, you can email [email protected].
How to Apply for a CSLB License
A CSLB license allows individuals and businesses to work in various construction trades or “classifications” in California. The CSLB verifies that all contractors have the proper education, bond coverage and more to perform in their field.
Complete the following steps to apply to become a CSLB-licensed contractor:
- Verify your CSLB contractor licensing classification.
- Complete your Application for Original Contractor License online.
- Pay all application fees.
- Pass the required exams.
Once the CSLB accepts your complete application, they will send you instructions for fingerprinting requirements.
To learn more, review our guide on How to Get a California Contractor License or How to Get a CSLB LLC License.
