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Nevada Contractor License Bond

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What Is a Nevada Contractor License Bond?

Any contractor working in Nevada must comply with the Nevada State Contractors Board and obtain a valid license to do business. Part of the licensing process is posting a Nevada contractor license bond, which functions as a form of security for customers.

If a contractor misuses funds, does not keep financial records, or violates state or local building codes, a claim can be made against a Nevada contractor license bond.

How Does a Nevada Contractor License Bond Work?

Like other surety bonds, a Nevada contractor license bond is an agreement between three parties.

The Obligee

The obligee is the state authority responsible for overseeing licensing requirements. In this case, the Nevada State Contractors Board is the obligee.

The Principal

The principal is the contractor who is required to obtain the bond.

The Surety

The surety company provides the bond to the principal and pays any claims made against the bond; however, the principal is ultimately required to repay the claim over time.

Nevada Contractor License Bond Obligee Details

Under Nevada law, all contractors working in the state must have a valid license in order to conduct business legally. Part of the licensing requirements include the need to secure a Nevada contractor license bond.

The State Contractors Board is the obligee of the bond because it enforces licensing laws and regulations. The obligee contact information is as follows:

Nevada State Contractors Board

Southern Nevada Office:

2310 Corporate Circle, Suite 200

Henderson, Nevada 89074

Phone: 702-486-1100

Northern Nevada Office:

5390 Kietzke Lane, Suite 102

Reno, Nevada 89511

Phone: 775-688-1141

Who Needs to Get a Nevada Contractor License Bond?

In Nevada, anyone who performs residential or commercial construction work must have a license to do business. A Nevada contractor license bond is also required as part of the licensing process. Contractors required to secure a surety bond may include:

  • General contractors
  • Residential contractors
  • Commercial contractors
  • Electrical or mechanical contractors
  • Plumbers
  • Roofers
  • Pool and spa contractors

How Do I Get a Nevada Contractor License Bond?

Obtaining the Nevada contractor license bond you need begins with submitting an application and request for a bond quote. You can complete this process online quickly, and receive the exact pricing of your bond after the surety company reviews your application details.

What Does a Nevada Contractor License Bond Cost?

Several factors determine how much a Nevada contractor license bond will cost, including the type of contractor license you hold and the financial stability of your business.

The bond amount you need also plays a role, and this can range significantly depending on your business. Nevada contractors may be required to post a bond from $1,000 up to $500,000, but this is not the price you pay to get bonded.

A Nevada contractor license bond costs only a fraction of the total bond put in place. You are charged a percentage of the bond, known as the bond premium, that ranges from 1 to 10 percent.

Can I Get a Nevada Contractor License Bond with Bad Credit?

The surety company providing your Nevada contractor license bond reviews your personal credit score, experience in the industry, and business financials to determine the rate you pay.

You can still get a contractor license bond with bad credit, but it will result in a higher bond premium because you may be a greater risk to the surety company when it comes to future claims.

Bond Expiration Date and Renewal Terms for Contractors in Nevada

Nevada contractor licenses issued by the state expire two years from the date of issue. Contractor license bonds have the same expiration date and term of the license.

When it comes time to renew a Nevada contractor license bond, the surety company provides information on how to complete the renewal process before the expiration date so your license remains valid.

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Frequent Questions

How much does a bond cost?

Pricing is a percentage of the contractor license bond amount that’s required of you, which is based on your personal credit. Use our bond pricing tool to to get a quick ballpark estimate.

Can I get bonded with bad credit?

Yes. You can apply and get bonded with bad credit. Our agency is the largest writer of bonds in the county, which allows us to approve contractors for bonds when other agencies cannot.

Are these the same as contract bonds?

No. Contractor license bonds ensure you will abide by the laws of your state, city or municipality when performing contracting work. Contract bonds guarantee public projects will be completed properly and are a separate bond type. You can learn more about contract surety bonds by visiting the contractor bond center.

Do I need a state or local bond?

It depends on who is requiring the bond of you, the local municipality, county or state. Depending on your location, it is possible you may need both a local and state bond, as contractor license bond requirements can vary drastically. You can select your state to see a full list of contractor license bond requirements.

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Our company has been with JW Surety for several years now so when we needed to obtain a bond for a new company, we immediately went to them for help. Our rep, Melissa, was extremely helpful and prompt which made the process extremely easy for me.
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Trying to get a local Surety Bond was like driving a car on three tires. I searched Surety Bonds and found JW Surety Bonds. I got online and filled out the information and with in 30 minutes received a response from Melissa. She was informative, friendly and helpful. One more super satisfied customer.

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We are a family owned and operated agency established in 2003. We started with just two people, and grew to become the largest volume bond producer in the nation with 50+ employees. Since day one, our team focus has been on providing real-time online quotes, an easy process, and the best in claims defense. Learn more about our company.