Chicago Contractor License Bond

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Who needs a contractor license bond in Chicago?

The City of Chicago Procurement Services Department handles contractor licensing and requires bonds for several types of contracting work:

  • Bridge permit bond: $1,000-$10,000
  • Heights contractor bond: $10,000
  • Plumbing contractor bond: $20,000
  • Electric sign bond: $25,000
  • Drain layer bond: $50,000
  • Wrecker bond (cleanup of building demolition): $500
  • Wrecker bond (demolition of buildings under three stories): $20,000
  • Wrecker bond (demolition of building three or more stories): $40,000

If you have questions about your bonding requirements in Chicago, you can contact the Procurement Services Department or ZipBonds for more information. These bonds are in addition to the Illinois state requirement: licensed plumbing and roofing contractors must post an Illinois contractor license bond.

Get Your Chicago Contractor License Bond:

How does a contractor license bond work?

A contractor license bond protects clients from damages resulting from faulty work by the contractor. The bond guarantees that the contractor meets applicable regulations and codes of the obligee (The City of Chicago). If the contractor neglects any stipulations in the bond agreement, clients can file a claim on the bond to receive compensation for damages. 

To obtain a contractor bond in Illinois, you will pay a premium, a small percentage of the bond amount. ZipBonds can issue contractor license bonds quickly – typically for $100.

Frequently Asked Questions

If you have poor credit, you may still be able to get the bond you need. You may have to pay a higher premium because of the increased bonding risk. While most of these bonds do not require a credit pull, the drain layer and large wrecker bond do require credit pulls. The underwriting for these bonds is simple and fast, and we often approve and issue them instantly.

If you’re a plumbing or roofing contractor, you may have to fulfill state and local bonding requirements. For other contractors, Illinois generally leaves bonding requirements up to local municipalities. If you meet the bond requirements in Chicago, you will likely also meet the statewide requirements. Be sure to verify this with the Chicago Procurement Services department.

Apply for Your Contractor Bond in Chicago, IL

ZipBonds offers the fastest and most secure option for getting bonded. Our all-digital platform is intuitive and straightforward. Apply online, email or call 888.435.4191 to speak with an agent directly.



Founders Ryan Swalve and Zach Mefferd formed the vision for when they realized how overly complicated it was to help clients place surety. The frustration of being unable to incorporate the technology they’d used in other insurance-focused projects left them thinking “there has to be a better way.”

Fast forward a couple of years, and that better way is the impetus of everything we do at ZipBonds. We constantly look for innovative ways to improve the bonding process for our clients and agents. Our team comprises individuals who understand all angles of surety – for companies, agencies, and individuals. Incorporating everyone’s point of view to improve the process while simultaneously integrating cutting-edge technology is what sets our business apart.