California Contractor Disciplinary Bond

The California contractor disciplinary bond is a bond mandated by the California contractor state licensing board (CSLB) for contractors who have previous had their license suspended due to disciplinary action. The bond amount required ranges from $25,000 to $150,000, at the discretion of the CSLB. The average cost of this bond ranges from 3%-8% of the bond amount.

Please note this page is for car dealer licensing. If you're trying to register a vehicle with a missing title, a separate Lost Title Bond is required.

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CA Disciplinary Bond

Required By: California Contractor State Licensing Board (CSLB)

Bond Amount: Minimum $25,000, up to $150,000

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State Acceptance Guarantee
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Refund within 30 days
1 Year Bond Starts At
*Based on credit and experience
of total bond amount required

How much does a California disciplinary bond cost

The cost of a disciplinary bond is based on the bond amount required and also the financial background of the applicant. Generally speaking, premium rate is 1% - 5% of the bond amount, and the better the credit score, the lower the rate. So for a $1,000,000 bond, at a 3% premium rate, one can expect to pay $30,000 to acquire the performance bond.

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Other FAQs

Who needs a California Contractor Disciplinary Bond?

A CA disciplinary bond is required for any CSLB licensed contractors who has had their license suspended or revoked. Contractors who have had previous infractions are at a higher risk of violating contractor rules, hence why this bond is in place to safeguard against future infractions. Getting a disciplinary bond is often the first step towards getting a suspended license reinstated.

How is the bond amount determined?

The minimum bond amount used to be $15,000 for CA disciplinary bonds; however, since Jan 1st, 2023 the new minimum bond amount for a CA disciplinary bond is $25,000. It can go up to $150,000. The bond amount varies and is determined by the CSLB on a case by case basis. CSLB determines the bond amount based on the severity of a contractor's infraction. For repeat offenders, the bond amount can be the full $150,000.