Contract Bonds for Contractors

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Contractor Bonds

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Contractor License Bond

Required by your state or city to get licensed as a contractor.

Bid Bond

Guarantees your bid on a project. Pays the difference if you withdraw.

Payment Bond

Guarantees you'll pay subcontractors and suppliers on the job.

Performance Bond

Guarantees you'll complete the project per the contract.

Maintenance Bond

Covers defects in materials or workmanship after project completion.

Miller Act Bond

Required for federal construction contracts over $150,000.

Supply Bond

Guarantees suppliers deliver materials per the purchase order.

RUS Contractor Bond

Required for rural utilities service projects of $250,000 or more.

Public ROW Bonds

Right of Way Bond

Guarantees work on public rights of way meets permit terms.

Encroachment Bond

Holds contractors responsible for damage to public property.

Development Bonds

Site Improvement Bond

Guarantees completion of property improvements per plan.

Subdivision Bond

Guarantees public infrastructure built within subdivisions per local specs.

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Contractor bonds FAQ

What are contractor bonds?

Contractor bonds are surety bonds required for licensing, bidding, public work, or project guarantees. They help protect the public, project owners, and obligees if a contractor fails to meet required obligations.

Which contractor bond do I need?

License bonds are usually required by a state, city, or board before you can work. Bid, payment, performance, maintenance, and development bonds are usually tied to a specific project or contract.

Can I get a contractor license bond online?

Yes. Many contractor license bonds can be quoted and bound online the same day. Project bonds usually require additional underwriting.

Why do project bonds require underwriting?

Project bonds guarantee contract performance or payment obligations, so underwriters review the project, contract size, financials, and contractor experience before approving the bond.

Do contractor bonds protect my business?

A surety bond protects the obligee or public. If a valid claim is paid, the contractor is generally responsible for reimbursing the surety.

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TurboBonds.com is operated by Insurance Services by Shield, a California and Texas licensed insurance agency (CA License #6018195, TX License #3446536). Insurance Services by Shield is not an insurance carrier and does not underwrite bonds or insurance policies. Bond and coverage availability, pricing, and issuance are subject to carrier underwriting approval, eligibility, applicable state requirements, and policy or bond terms. Availability varies by state.

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