Wisconsin Contractor License Bonds

What you need to know about Wisconsin Contractor License Bonds

Wisconsin Contractor License Bonds

How much does a contractor bond cost in Wisconsin?

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

  • Wisconsin Dwelling Contractor Bond: Varies
  • Milwaukee Concrete Contractor Bond: $5,000
  • Madison Contractor Bond: $5,000
  • Superior General Contractor Bond: $25,000
  • Superior Electrical Contractor Bond: $25,000
  • LaCrosse Natural Gas Contractor Bond: $10,000

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 Wisconsin 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 Wisconsin?

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 Wisconsin?

The State of Wisconsin Department of Safety and Professional Services only requires HVAC contractors, electricians, plumbers, asbestos contractors, and well drillers to be licensed at the state level. Each of these certifications requires the contractor to also receive a dwelling contractor certification. You can receive the certification by taking the following steps:

  • Complete the license application form
  • Pass the training course
  • Provide proof of general liability insurance and workers’ compensation insurance
  • Pay the $15 application fee and $30 credential fee
  • Post the surety bond

You’ll need to check with your local municipality for any additional licensing requirements for general contractors.