Bond and insurance by trade in California
How much is the contractor bond in California?
$25,000 contractor bond (or $25,000 cashier's check); +$25,000 bond of qualifying individual if RME/RMO owns under 10%; LLC: +$100,000 worker/wage bond (even if inactive). Not required for inactive licenses (except LLC worker bond).1
What general liability insurance does California require?
LLC licensees must carry liability insurance with an aggregate limit of at least $1,000,000 for five or fewer people on the personnel of record, plus $100,000 for each additional person, up to $5,000,000 (B&P Code 7071.19). The section sets no general liability minimum for sole owners, partnerships or corporations.2
Can a California contractor be exempt from workers' comp?
Must file valid WC certificate or self-insurance certificate, or a signed exemption (no employees). Exemption not available if qualifier is an RME, if you have employees, or for active C-8, C-20, C-22, C-39, C-61/D-49. After hiring, proof of coverage due within 90 days. Lapse: suspension.3
48.7% of active California licenses with a recorded status (113,780 of 233,628) carry an exemption instead of a policy1.
What do California contractors carry, by trade?
Active licenses in the state file, 2026-10-261.
| Trade | Active | WC exempt | Median bond |
|---|---|---|---|
| Electricians | 28,129 | 50.1% | $25,000 |
| General Contractors | 113,512 | 55.3% | $25,000 |
| HVAC Technicians | 12,609 | 3.7% | $25,000 |
| Plumbers | 17,608 | 50.8% | $25,000 |
| Roofers | 5,550 | 0.0% | $25,000 |
What is a certificate of insurance?
It's the one-page summary (usually an ACORD 25 form) a contractor's agent issues to show the policies, limits and dates in force. How to read and check one
Sources
- Contractors State License Board (CSLB): bond (cslb.ca.gov, 2026-10-27)
- Contractors State License Board (CSLB): insurance (leginfo.legislature.ca.gov, 2026-10-27)
- Contractors State License Board (CSLB): workers' comp (cslb.ca.gov, 2026-10-27)