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License Bond

Contractor License Bond

Contractors applying for a new, renewal, or reinstated license who do not meet the financial responsibility standards (e.g., net worth, credit history, or history of bankruptcy/judgments). Required when: Failure to demonstrate financial responsibility during license application, renewal, or reinstatement. Exemptions: …

Overview

What it is.

Contractors applying for a new, renewal, or reinstated license who do not meet the financial responsibility standards (e.g., net worth, credit history, or history of bankruptcy/judgments). Required when: Failure to demonstrate financial responsibility during license application, renewal, or reinstatement. Exemptions: …

Who usually needs it

Contractors applying for a new, renewal, or reinstated license who do not meet the financial responsibility standards (e.g., net worth, credit history, or history of bankruptcy/judgments).

Pricing & timing

What to expect.

Generic pricing

License bonds are required by state and local governments to ensure compliance with industry regulations. Typical Pricing:. • Small bonds (under $25,000): Typically $100–$250 per year (flat fee). • Larger license bonds: Commonly around 1–5% of the bond amount annually. • Credit impact: Good credit: starting around 1–2% · Average credit: typically 2–4% · Credit challenges: often 4–5% or higher. Same-day approval is typical for many common license bonds. Some license bonds may price higher de…

Typical timeframe

Issuance timeframe varies by bond type and underwriting

Application

What to do next.

  1. Tell us the bond name, state, and amount on your form.
  2. Share business and applicant info so the team can quote it.
  3. Sign and pay; we issue the bond and send you the documents.
  4. Keep your effective date and renewal date on file with us.
Start the application.

You are on the exact bond page. The next step is to start the quick application.

Details

Bond details.

StateUT
Bond amountThe bond amount is determined by the license classification: $50,000 for Genera…
Term lengthContinuous
ObligeeUtah Division of Professional Licensing
RenewalThe bond is continuous and remains in effect until cancelled. The licensee must maintain the bond as a condition of licensure and pay annual premiums to the surety.
Bond classLicense Bond
CategoryFinancial Services
BondContractor License Bond
Statutory referenceUtah Code 58-55-306; Utah Administrative Code R156-55a-602
JurisdictionState
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Next step

Ready to move forward?

Pin down whether this is your bond, then start the application. Ava can confirm the right state and license type if you are not sure.