What is an Ohio contractor license bond?
The state of Ohio requires several contractor types to obtain contractor license bonds. These bonds ensure contractors comply with state and local regulations. They also guarantee that clients are compensated in cases of contractor negligence, fraud, or breaking of the contract. Here are the types of contractors in Ohio that must be bonded:
Private water system contractor
- $20,000 bond amount for contractors registered for three years or less
- $10,000 bond amount for contractors registered for over three years
Sewage treatment system installer
- $25,000 bond amount for contractors installing one sewage treatment system per year
- $40,000 for contractors installing more than one sewage treatment system per year
Sewage treatment system septage hauler
- $25,000 bond amount
Sewage treatment system service provider
- $25,000 for service providers
- $15,000 for contractors registered as service providers and installers
Get Your Ohio Contractor License Bond:
County and City Bonding Requirements
Several cities and counties also have bonding requirements of their own. Contractors should check with their local jurisdiction for complete requirements. The following locations require contractor license bonds: Aurora, Bedford Heights, Brecksville, Canton, Chillicothe, Cleveland, Cleveland Heights, Columbus, Eastlake, Euclid, Findlay, Gahanna, Garfield Heights, Grove City, Hartville, Highland Hills, Hocking County, Huron County, Lancaster, Lyndhurst, Macedonia, Mahoning County, Mansfield, Maple Heights, Massillon, Maumee, Medina County, Mentor, Middleburg Heights, Middletown, Moreland Hills, Morrow County, Niles, North Canton, North Ridgeville, North Royalton, Northfield, Oakwood Village, Olmsted Township, Painesville, Perrysburg, Pickerington, Portage County, Portsmouth, Ravenna, Reminderville, Reynoldsburg, Rocky River, Rossford, Sandusky, Seven Hills, Sidney-Shelby County, Solon, South Bloomfield, South Euclid, South Russel, Springfield, St. Mary’s, Streetsboro, Strongsville, Summit County, Tiffin, Toledo, Trotwood, Trumball County, Turnpike Commission, Twinsburg, University Heights, Upper Arlington, Walton Hills, Warren, Warren County, Warrensville Heights, Wellington, Westlake, Whitehall, Wickliffe, Willoughby, Willowick, Youngstown, and Zanesville. Learn more about how contractor license bonds work in our complete guide.
Ohio Contractor License Bond Costs
Contractor license bonds in Ohio may range from $5,000 to $25,000. In some locations, amounts aren’t fixed but determined on a case-by-case basis. Contractors will pay a percentage of the bond amount as their annual premium. Your premium may range from 1%-10% of the bond amount, depending primarily on your personal credit score. If you have excellent credit, expect to pay around 1%-3% of the bond amount. With poorer credit, you may pay up to 10%. These factors may also be considered in determining your bond premium:
- Relevant business experience in your industry
- Age of your business
- Personal and business financial strength
Get Your Contractor License Bond in Ohio
ZipBonds offers the fastest and most secure option for getting bonded. Our all-digital platform is intuitive and straightforward. Apply online, email support@zipbonds.com or call 888.435.4191 to speak with an agent directly.
About ZipBonds.com
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.