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Oregon Contractor License Bond

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What is an Oregon Contractor License Bond?

Contractors working in Oregon on commercial or residential projects must hold a valid license. Getting an Oregon contractor license bond is one of the licensing requirements.

This type of surety bond ensures that licensed contractors abide by state laws. The bond also protects customers, employees, and the state licensing authority from fraudulent business practices.

How Does an Oregon Contractor License Bond Work?

An Oregon contractor license bond is a three-party contract involving an obligee, a principal, and a surety.

The Obligee

The obligee is the licensing authority responsible for construction contractors that work in the state.

The Principal

The principal is the licensed contractor required to obtain the bond from the surety.

The Surety

The surety is the company that provides the bond to the licensed contractor. Should there be a claim against a bond, the surety initially compensates the customer or employee for financial losses. However, the licensed contractor is responsible for repaying the claim amount.

Oregon Contractor License Bond Obligee Details

Under Oregon state law, the Construction Contractors Board (CCB) is granted the authority to oversee and enforce licensing requirements for contractors operating in the state. The CCB is the obligee of Oregon contractor license bonds, and any bond must be submitted to the CCB in order to be valid.

Licensed Oregon contractors may contact the CCB at the following address and phone number:

Oregon Construction Contractors Board

201 High Street SE

Suite 600

Salem, Oregon 97309

Phone: 503-378-4621

Do I Need an Oregon Contractor License Bond?

Several types of contractors may operate in the state of Oregon, and nearly all must meet specific licensing requirements to comply with current laws and regulations. Contractors who require licensing must also secure a surety bond if they work in the following fields:

  • Handyman work
  • Home inspections
  • Roofing
  • Siding
  • Painting
  • Heating or air conditioning
  • Electrical or plumbing work
  • Tree servicing
  • Construction work

Contractors in Oregon who provide gutting cleaning, power washing, or debris cleanup are not required to post an Oregon contractor license bond.

How Do I Get an Oregon Contractor License Bond?

Securing your Oregon contractor license bond is a simple process. You can submit a fast and easy online application to get a quote for your bond based on your business and personal financial standing.

What Does an Oregon Contractor License Bond Cost?

Similar to other surety bonds, an Oregon contractor license bond is priced as a small fraction of the total bond requirement. If a $10,000 bond is necessary, you pay a percentage between one and 10 percent as the bond premium.

Depending on the type of work you perform as a contractor, the bond amount required for your license may be as low as $10,000 and as high as $75,000.

Can I Get an Oregon Contractor License Bond with Bad Credit?

An Oregon contractor license bond premium is based on your personal credit score and your business financials. Having excellent credit means you will pay a lower percentage, while bad credit may lead to a higher bond price.

You can still get a bond with bad credit, but the surety company will charge more for your Oregon contractor license bond until your credit improves.

Oregon Contractor License Bond Term and Expiration Date

An Oregon contractor license has no set expiration date, but renewal is necessary every two years from the date an initial license was issued. Oregon contractor license bond terms are the same as the contractor license.

How Do I Renew My Oregon Contractor License Bond?

A surety bond renewal is required at the same time a license renewal takes place. Your surety company provides renewal details prior to the expiration date of your Oregon contractor license bond.

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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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