North Dakota Contractor License Bond

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What is a North Dakota contractor license bond?

North Dakota requires specialty contractors to post a contractor license bond as part of the state licensing process. Several cities in North Dakota may also require a surety bond. For example, contractors in Jamestown and Grand Forks must get bonded to receive their building, plumbing, or excavating licenses. 

General contractors in North Dakota aren’t required to obtain a license bond. But those seeking a license in one of the following categories may need to post a $5,000 surety bond:

  • Master plumber
  • Mechanical contractor
  • Electrical contractor
  • Excavator
  • Sign hanger

Water well contractors in the state must post a $15,000 license bond to operate. These bonds are mandated by the North Dakota State Board of Water Well Contractors.

Get Your North Dakota Contractor License Bond:

How do contractor bonds work in ND?

Contractor license bonds ensure that contractors perform work according to local and state regulations and building codes. If a contractor violates the bond’s terms, a client may seek compensation from the bonding company. Ultimately, however, the contractor must reimburse the surety for covering the claim. 

Learn more about how contractor license bonds work in our complete guide.

How much do contractor license bonds cost?

The amount a contractor pays to obtain a bond is called the premium. This is typically 1%-10% of the bond amount, depending on the applicant’s personal credit and the business’s financial strength. Those with poor credit scores may pay more for their premium, given the increased financial risk. You may pay as little as 1% if you have excellent credit.

Get Your Contractor License Bond in North Dakota

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.