Bond cost index
Contractor License Bond Cost
A contractor license bond is the license bond a state or local government requires to issue a contractor license. It guarantees that the contractor will follow the licensing law and the building code, and it is separate from the project performance bonds a contractor posts on individual jobs.
How much does a contractor license bond cost?
Bond amount is set by the licensing authority, commonly 5,000 to 25,000 dollars, with some states higher. Premium runs 1 to 3 percent of the bond amount for well-qualified contractors. Term usually matches the license period. Premium for a contractor license runs about 1% to 15% of the bond amount per year, set by underwriting based on credit and financials.
Data as of 2026-06-17. Methodology v1.
Bond amount is set by the licensing authority, commonly 5,000 to 25,000 dollars, with some states higher. Premium runs 1 to 3 percent of the bond amount for well-qualified contractors. Term usually matches the license period.
The bond amount for this bond is set by the obligee on a case-by-case basis rather than by a statewide statute, so there is no per-state table. These are estimated ranges, not quotes. Final premium is set by underwriting and depends on the bond amount, your credit and financials, the bond class, and the obligee. A firm number takes a short application.