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California Contractor LLC Employee/Worker Surety Bond


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California's 2010 Senate Bill 392 allows the California State Licensing Board to issue contractor licenses to those with limited liability companies (LLCs).

Contractors in California whose businesses are registered as an LLC must apply for licensing through the Board. A part of licensing includes obtaining a $100,000 surety bond.

Surety Bond Requirement

The $100,000 surety bond for contractors registered as an LLC is in addition to the required $15,000 Contractor's License Bond. The bond is for the benefit of employees or workers who are financially damaged by the LLC failing to pay wages, interest on wages, fringe benefits, and other contributions. The bond must be in place before the issuance, reissuance, reinstatement, reactivation, renewal, or continued valid use of an LLC license.

What Will This Bond Cost?

The premium you pay for a California LLC Employee/Worker Bond depends on your credit, experience in the business, and licensing history. Our rates start at 3% of the bond amount with good credit. Contact our Surety Bond Specialists for a free quote that fits your specific situation.

Did You Know?

Prior to Senate Bill 392, contractors with "S" or "C" corporations could obtain a license to operate, but LLC registrations were not allowed.

Related Links:

California Department of Consumer Affairs: Contractors State License Board

More Surety Bond Questions?

Check out our FAQ page or What’s a Surety Bond? page. Should you need or choose to buy a surety bond, buy from us. SuretyGroup.com has been underwriting surety bonds throughout the U.S. for more than 35 years. When you work with us, you enjoy the unique benefit of dealing with a team of highly experienced surety agents with in-house underwriting authority. This allows you to receive competitive, low rates, quick approvals, and immediate bond delivery. In most cases, your bond will be delivered within 24 hours after you apply for it.


For a downloadable application