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?
A contractor license bond amount typically ranges from $10,000 to $25,000 depending on the state. Premium runs about 1% to 15% of the bond amount per year, set by underwriting based on credit and financials. Standard credit lands near the low end.
Data as of 2026-06-17. Methodology v1.
Bond amount and premium by state
| State | Bond amount | Premium rate band | Estimated annual premium |
|---|---|---|---|
| Alabama | Not required | 1% to 15% | Not required |
| Alaska | $10,000 | 1% to 15% | $100 to $1,500/yr |
| Arizona | $32 | 1% to 15% | $100 to $100/yr |
| Arkansas | $10,000 | 1% to 15% | $100 to $1,500/yr |
| California | $25,000 | 1% to 15% | $250 to $3,750/yr |
| Colorado | Not required | 1% to 15% | Not required |
| Connecticut | Not required | 1% to 15% | Not required |
| Delaware | $30 | 1% to 15% | $100 to $100/yr |
| District of Columbia | $47 | 1% to 15% | $100 to $100/yr |
| Florida | $61 | 1% to 15% | $100 to $100/yr |
| Georgia | Not required | 1% to 15% | Not required |
| Hawaii | Varies by license class | 1% to 15% | Varies |
| Idaho | Not required | 1% to 15% | Not required |
| Illinois | Not required | 1% to 15% | Not required |
| Indiana | Not required | 1% to 15% | Not required |
| Iowa | $91 | 1% to 15% | $100 to $100/yr |
| Kansas | $79 | 1% to 15% | $100 to $100/yr |
| Kentucky | Not required | 1% to 15% | Not required |
| Louisiana | Not required | 1% to 15% | Not required |
| Maine | Not required | 1% to 15% | Not required |
| Maryland | Not required | 1% to 15% | Not required |
| Massachusetts | Not required | 1% to 15% | Not required |
| Michigan | Not required | 1% to 15% | Not required |
| Minnesota | $326 | 1% to 15% | $100 to $100/yr |
| Mississippi | Not required | 1% to 15% | Not required |
| Missouri | Not required | 1% to 15% | Not required |
| Montana | Not required | 1% to 15% | Not required |
| Nebraska | Not required | 1% to 15% | Not required |
| Nevada | $624 | 1% to 15% | $100 to $100/yr |
| New Hampshire | Not required | 1% to 15% | Not required |
| New Jersey | Not required | 1% to 15% | Not required |
| New Mexico | Not required | 1% to 15% | Not required |
| New York | Not required | 1% to 15% | Not required |
| North Carolina | Not required | 1% to 15% | Not required |
| North Dakota | Not required | 1% to 15% | Not required |
| Ohio | Not required | 1% to 15% | Not required |
| Oklahoma | Varies by license class | 1% to 15% | Varies |
| Oregon | $701 | 1% to 15% | $100 to $105/yr |
| Pennsylvania | Not required | 1% to 15% | Not required |
| Rhode Island | Not required | 1% to 15% | Not required |
| South Carolina | $40 | 1% to 15% | $100 to $100/yr |
| South Dakota | Not required | 1% to 15% | Not required |
| Tennessee | Not required | 1% to 15% | Not required |
| Texas | Not required | 1% to 15% | Not required |
| Utah | $156 | 1% to 15% | $100 to $100/yr |
| Vermont | Not required | 1% to 15% | Not required |
| Virginia | Not required | 1% to 15% | Not required |
| Washington | $15,000 | 1% to 15% | $150 to $2,250/yr |
| West Virginia | $21 | 1% to 15% | $100 to $100/yr |
| Wisconsin | $25,000 | 1% to 15% | $250 to $3,750/yr |
| Wyoming | Not required | 1% to 15% | Not required |
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.