Contractor License Bond

tape-measure-1726546_1920Instantly apply & issue your California Contractor License Bond today! If you are a licensed contractor and need a Contractor License Bond, we are going to make this easy for you! No paperwork and the bond will be electronically filed with the California Contractors State License Board (CSLB)! Check out our webpage link below and then click on the green “GetMyCLB.comInstantQuote” button and get your contractor license bond today:

 https://www.ranchocalinsurance.com/insurance-center/products/business-insurance/california-contractor-bond/

What is a Contractor License Bond?

Contractor license bonds are legally enforceable contracts binding together three separate parties.

  1. The construction professional buying the contractor license bond acts as the principal.
  2. The entity requiring the contractor to be bonded acts as the obligee.
  3. The company issuing the bond and guaranteeing the contractor’s obligation acts as the surety.

If a contractor fails to fulfill the bond’s terms, then the obligee can make a claim on the contractor bond as a way to gain compensation for any damages. However, the surety will not simply absorb the loss. Whereas underwriters of traditional insurance policies assume there will be a loss, surety underwriters consider the policies they write to have no risk. In the event a claim is made against the bond, the contractor is expected to reimburse the surety for any money it pays when settling the claim.

Contractors in California must post $15,000 surety bonds. By posting a contractor’s bond, principals (contractors) pledge to comply with the provisions of Division 3, Chapter 9 of the Business and Professions Code. The bond protects harmed parties from financial loss up to the full amount of the bond if the principal fails to comply with the letter of the law and the terms of the surety bond agreement. The principal must reimburse the surety for all damages paid out. These bonds remain in full force and effect until canceled. The surety can cancel the bond in accordance with the provisions of Sections 996.310 of the Code of Civil Procedure. The applicant’s license or application number and classification(s) are required for underwriting.

Rancho Cal Insurance Services has been helping contractors in Temecula, Murrieta, and all over California with their California Contractor License Bond for many years, and we can help you too. If you are not able to use the quick quote and issue button on our website, that’s okay, just give us a call and we will help you get your California Contractor License Bond. We can also help with your General Liability insurance, Workers Compensation, and Business Auto insurance. We’ll make this easy for you!