What is a Virginia contractor license bond?
In Virginia, individuals and businesses that want to obtain a Class A or B contractor license must post a contractor license bond. The bond amount is $50,000 and is regulated by the Virginia Department of Professional and Occupational Regulation (DPOR).
This bond ensures that you, as the contractor, faithfully comply with state and local regulations. If you’re bonded and don’t fulfill your obligations, someone may file a claim against your bond. The bond amount represents the maximum liability, meaning you can’t be held liable for more than $50,000.
Learn more about how contractor license bonds work in our complete guide.
Get Your Virginia Contractor License Bond:
Virginia Contractor License Bond Costs
To obtain a contractor license bond, applicants will pay a small percentage of the bond amount annually. This is known as the bond premium. The premium is primarily determined by the applicant’s personal credit score in Virginia. Your underwriter may also consider your business finances, liquid and fixed assets, and industry experience.
With excellent credit, you could pay as little as 0.5%-1.25% of the bond amount for your premium. Your rate may be higher if your credit score is poor. However, you may still obtain the bond you need in many cases, even with a lower credit score.
Frequently Asked Questions
According to Virginia Statute 54.1-1100, a contractor is “any person, that for a fixed price, commission, fee, or percentage undertakes to bid upon, or accepts, or offers to accept, orders or contracts for performing, managing, or superintending in whole or in part, the construction, removal, repair or improvement of any building or structure.”
Get Your Contractor License Bond in Virginia
ZipBonds offers the fastest and most secure option for getting bonded. Our all-digital platform is intuitive and straightforward. Apply online, email firstname.lastname@example.org or call 888.435.4191 to speak with an agent directly.
Founders Ryan Swalve and Zach Mefferd formed the vision for ZipBonds.com 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.