Washington State Contractor License Bond: What You Need to Know


If you’re planning to work as a contractor in the state of Washington, obtaining your contractor license bond is a crucial aspect of operating a safe and legal business. Contractor license bond requirements vary from state to state, and the Washington State Department of Labor and Industries requires that contractors hold a Washington Contractor License Surety Bond.

These bonds protect customers in the instance of damages incurred during construction due to the contractor failing to follow state regulations. Certain types of contractors performing work on a property in the state of Washington are required to hold a contractor license bond, and the details vary depending on the project.

What Is a Contractor License Bond, and Who in Washington Needs One?

Washington requires that contractors post Contractor License Bonds as a way to ensure they follow legal business practices — if they fail to comply with state law, customers can hold contractors financially accountable. There are many types of contractor bonds available in Washington, depending on the contractors’ license.

The Washington State Department of Labor & Industries (L&I) requires surety bonds in varying amounts from general contractors, specialty contractors, electrical and telecommunications contractors, and farm labor contractors. The Washington State Patrol also requires specific bonds for fire sprinkler system contractors, and additional bonds may be required for contractors on a city and county level in some parts of Washington.

The Cost of a Washington Contractor License Bond

The cost of a Washington Contractor License Bond varies depending on the type of bond. The amount is based on the overall cost of the bond, which is derived from the license held by the individual contractor. Contractors are required to pay a small percentage of the bond upfront — the exact amount is determined based on the individual’s credit history.

Contractors with a stronger personal credit score will have a lower premium. Other aspects of your financial history, like your assets and your business experience, may also be taken into account. However, bonds are still available to contractors with poor credit; the premium will just be higher as a result.

Costs for the bond range depending on the license type, and can vary over time. Reach out to Go Bonds to begin the process of getting a quote for your Washington state Contractor License Bonds.

How to Get a Washington State Contractor License Bond

Washington state has a few extra steps compared to most states when it comes to obtaining a license, such as registering your business with the Washington Secretary of State. Local licenses also have specific bond requirements depending on the project.

Luckily, Go Bonds can help you navigate the license application process, and apply for bonds based on your contractor specialty. By working with top-rated carriers to provide affordable bonds, you can focus on growing your business. Plus, Go Bonds uses a soft credit check for all license bond applications, which doesn’t affect your credit score or show up on any credit reports.