Skip to content
State files updated Oct 27, 2026
Look up a contractor
MenuClose

Home / Insurance / Tennessee

Tennessee contractor license bondInsurance and workers' comp

No bond is required to obtain a contractor license.1 General liability by monetary limit: up to $500,000 limit needs $100,000 coverage.2

Bond and insurance by trade in Tennessee

TradeBondInsuranceWorkers' comp
All tradesNo bond is required to obtain a contractor license.1General liability by monetary limit: up to $500,000 limit needs $100,000 coverage.2Workers' compensation required unless the applicant has no employees and has an exemption or Construction Services…2

How much is the contractor bond in Tennessee?

No bond is required to obtain a contractor license. Since July 1, 2026 an applicant can post a Contractors' Surety Bond of at least 50% of the requested monetary limit instead of a CPA-reviewed or audited financial statement; a guaranty bond of $500,000 ($1,000,000 for unlimited) can replace a guaranty agreement when the financial statement is deficient.1

What general liability insurance does Tennessee require?

General liability by monetary limit: up to $500,000 limit needs $100,000 coverage; $501,001 to $1,500,000 needs $500,000; above $1,500,000 to unlimited needs $1,000,000. The Board is certificate holder.2

Can a Tennessee contractor be exempt from workers' comp?

Workers' compensation required unless the applicant has no employees and has an exemption or Construction Services Provider registration with the Secretary of State.2

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

  1. TN Board for Licensing Contractors (Commerce & Insurance): bond (tn.gov, 2026-10-27)
  2. TN Board for Licensing Contractors (Commerce & Insurance): insurance (tn.gov, 2026-10-27)