Washington Contractor's License Bond

Bond Penalty: $12,000 General Contractor Bond, $6,000 Specialty Contractor Bond

A Washington contractor's license bond is required from both general and specialty contractor license classes in addition to insurance coverage obligations. The Washington Department of Labor and Industries (L&I) is the regulatory authority that permits and supervises contracting activity within the state. Per L&I's web portal, "Washington State requires all construction contractors to register with L&I. State law also requires construction contractors to provide surety bonds and insurance policies to protect the public." An applicant may register under the following types of work and bond options:

  • General contractors accomplish most types of construction work. GCs may hire subcontractors in multiple specialties. Those contractors working with plumbing, electrical, elevators, mobile home installation, boilers, and asbestos have additional education, examination, and licensing requirements. The Washington general contractor license bond is twelve thousand dollars ($12,000).
  • Specialty contractors may only engage in work in the specialty for which they are registered and may not hire subcontractors. The Washington specialty contractor license bond is six thousand dollars ($6,000).

Per the L&I, there are sixty three specialties that each require contractor registration, which include roofing, painting, HVAC, tree removal, mobile home set-up, etc. We recommend that you review your class of work for the appropriate license class here. All registered contractor classes must carry a general liability insurance policy in the amount of $200,000 in public liability and $50,000 property damage, or $250,000 combined single limit.

The Washington contractor's license bond is a continuous obligation which guarantees more that simple statutory compliance. The obligation is also a financial guarantee. The surety bond insures the fiscal duties due under 18.27 RCW, i.e, payment of wages and benefits to persons furnishing labor to the registrant, amounts that may be adjudged against the contractor by reason of breach of contract, to persons who furnish labor and materials or rent or supply equipment to the contractor and any/all taxes and contributions due to the State of Washington. Peculiar to this instrument, the applicant must present the Washington contractor's license bond to the L&I within thirty days of issue.

The L&I advises that completed, signed, and notarized applications for contractor registration (F625-001-000) must be delivered with the continuous contractor surety bond, certificate of general liability insurance and license fee to:

Contractor Registration
P.O. BOX 44450
Olympia, WA 98504-4450

Washington surety bond leader, Surety One, Inc. is a specialist in providing for the bonding needs of general and specialty contractors. We offer this class of surety bond and performance bonds to all applicants in EVERY state where contractors must be bonded. Although personal credit is a factor in surety bond underwriting, we have programs to fit every credit condition. Call (800) 373-2804, email Underwriting@SuretyOne.com or click here for a live chat regarding a Washington contractor's license bond application or to discuss your particular needs.

Surety bond application review and quoting are free of charge. There is no obligation to purchase.

WHEN A "CONTRACTOR'S BOND" IS NOT A LICENSE OR PERMIT BOND, WHAT IS IT?
A “contractor’s bond” is one of the most common surety bond needs in the North American market but what does that term mean? MANY different parties may require a contractor to provide a "bond". Private and public project owners, state licensing boards and local municipalities all routinely require contractors to file a bond of one type or another to guarantee very specific things. Generally the need will fall in to one of these categories:

  • License & Permit Bonds (L&P) - required by states and municipalities to issue a contractor license. These may be simply “obey the code” obligations, or can include onerous wage guarantees.
  • Third Party Fidelity Bonds - also known as dishonesty bonds, insure dishonesty losses resulting from the contractor and his or her employees’ actions while providing services on a client’s premises (this is what a party refers to when he says, "We are bonded.").
  • Contract performance bonds: bid bonds, payment and performance bonds for particular projects.

OTHER CONTRACTOR LICENSE BONDS IN THE STATE OF WASHINGTON

What We Need From You

Additional Attachments

  • Business Financial Statement (If bond over $25,000)