Insurance & LiensQuestion 1575 of 1605
The '$25,000' figure most commonly associated with California contractor licensing refers to the:
a.Maximum mechanics lien allowed
b.Minimum project size requiring a payment bond
c.Contractor's license bond amount required by the CSLB
d.Required builder's risk limit
Explanation
The current contractor's license bond amount required by the CSLB is $25,000 (Business & Professions Code §7071.6). It is a suretyship protecting the public from license-law violations, not project insurance or a lien cap.
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Last reviewed: · editorial process
Sen Lin, PrepPass Founder · Verified against California CSLB Contractor License Law & Business Exam · How we review
Reviewed by Abraham Chen — Licensed California General Contractor (CSLB License #1101856 — verify)