The West Coast’s largest producer of contractor bonds & contractor’s license bonds, Construction Services Insurance Agency (CSIA). In business since 1979, over 50,000 contractors have made CSIA the leader in the industry. Instant Bonds are available for California contractors. CSIA offers other services in addition to contractor bonds, including contract bonds (bid, performance, and payment bonds) and construction bonds.
If you have any Contractors Bond questions, or if we can be of any assistance, please do not hesitate to call us toll free at 1-800-675-2000. Our hours are 7:00 AM to 7:00 PM (PST) Monday through Thursday, 7:00 AM to 5:00 PM (PST) on Fridays.
Construction Services Insurance Agency (CSIA) was founded in 1979 by Theron Skyles. At the time Mr. Skyles ran a license preparatory school, License Information Service (LIS). CSIA was started so that the bonding (and later insurance) needs of the LIS graduates could be met.
From the start, CSIA wrote the bulk of its bonding business through Surety Company of the Pacific (SCP), California’s largest and most experienced writer of contractor’s license bonds. Surety Company of the Pacific eventually merged with American Contracotrs Indemnity Company to become the West Coast’s largest and most experienced writer to contractors license bonds. Through hard work and dedication to customer service, CSIA has grown over the years and currently has over 50,000 satisfied bond clients, by far the highest number of any agency on the West Coast.
Today CSIA offers other services in addition to contractor’s license bonds, including contract bonds (performance, bid and payment bonds) and general liability, workman’s compensation and commercial automobile insurance through Skyles Insurance Agency.
In California, the amount of the required bond is $12,500 for all classifications of contractors B&P Code Section 7071.6 (a)
The bond amounts are not per job-they are the amount available for all the jobs a contractor takes on during the life of the bond. In addition, the CSLB may require a separate bond for contractors who have been disciplined, and the amounts of these bonds vary.
Who benefits from a surety bond?
In California, persons who can make a claim against the bond are listed in the CSLL (B&P Code Section 7071.5), and include:
- Any homeowner contracting for home improvement work on the homeowner’s personal family residence damaged as a result of a violation of the CSLL by the licensee.
- Any person damaged as a result of a willful and deliberate violation of the CSLL by the licensee, or by the fraud of the licensee in the execution or performance of a construction contract.
- Any employee of the licensee damaged by the licensee’s failure to pay wages.
- Any express trust fund damaged as a result of the licensee’s failure to pay fringe benefits for eligible employees.
What can a contractor do to avoid a claim against a bond?
In order to prevent a claim against a bond, a contractor should always put the terms of a construction contract, and any amendments, in writing. A contractor should maintain accurate records of payments made and received, and confirm in writing any agreements reached if the project is terminated. A contractor should communicate frequently and effectively with project owners and prime or subcontractors regarding any potential or actual problems.