Missouri Contractor License Bonds

What you need to know about Missouri Contractor License Bonds

Missouri Contractor License Bonds

How much does a contractor bond cost in Missouri?

Various cities, counties, and local authorities throughout the State of Missouri require contractors to post surety bonds. Below are the set bond amounts for popular contractor bonds:

  • St. Louis County Master Contractor Bond: $25,000
  • St. Louis County Plumber Bond: Varies
  • St. Louis Registered Mechanical Contractor Bond: $10,000
  • St. Louis Drain Layer Bond: $1,000

The surety company issuing the bond determines your premium rate, which is the percentage of the total bond amount you pay as the premium. During the application process, the surety company evaluates your personal credit, financial statements, industry experience, and licensing history. 

EZ Surety can issue premiums for Missouri contractor license bonds for as low as 1% of the total bond amount for applicants with standard credit. If your credit is below average, we can still offer a competitive rate for your contractors license bond.

Why are contractor bonds important in Missouri?

Contractor license bonds hold licensed contractors accountable for the quality of their work and protect the public from damages they’ve incurred due to the contractor’s violation of licensing laws.

When the surety company issues the bond, they provide a financial guarantee to the local municipality that the contractor will comply with the regulations set forth in the contractor license. If the contractor violates these regulations, causing a loss to the consumer, the consumer can file a claim against the bond.

If the claim is valid, the surety company will cover the costs to repair the damage up to the amount of the bond. The contractor is then liable to reimburse the surety company for all damages paid.

How do I get my general contractor’s license in Missouri?

Because general contractor licenses are not issued at the state level, you’ll need to check with your local municipality for any licensing requirements. Here are some resources you can use to learn more about the specific requirements in your jurisdiction.