To get and keep a West Virginia contractor license, you generally need to show workers compensation coverage and, for commercial work with employees, post a wage bond, and you will almost always carry general liability insurance because the licensing board, localities, and your clients expect it. West Virginia requires a contractor license to bid or perform construction work valued at 2,500 dollars or more, and the licensing board treats proof of workers comp as a condition of the license, separate from the general duty every employer already has to carry it. So for most contractors, insurance is not just smart, it is part of getting licensed.
Who this is for: West Virginia contractors and tradespeople applying for or renewing a state contractor license, from solo operators to crews doing commercial work.
The short version
- A West Virginia contractor license is required for construction work valued at 2,500 dollars or more.
- You must show workers comp coverage to get the license, on top of the general duty to carry it.
- General liability is commonly required by the licensing board, localities, and clients, and the license application asks for proof of insurance.
- Commercial work with employees requires a wage bond filed with the Division of Labor.
- The wage bond is about four weeks of gross payroll at full capacity plus 15 percent for benefits.
What the license actually requires
West Virginia bundles a few insurance and bonding items into contractor licensing. Proof of workers comp is required as a condition of the license if you have employees, which is on top of the Chapter 23 duty every employer already has. The Contractor Licensing Board's application also asks for proof of insurance, and general liability is commonly required by the Board, by localities and permit offices, and by the clients you work for. You must also show unemployment coverage. If you do commercial work with employees, you post a wage bond with the Division of Labor to guarantee wages. An owner whose total assets are large enough can be exempt from posting the bond itself, but still has to file the paperwork stating that status.
| Requirement | Who it applies to | Notes |
|---|---|---|
| Contractor license | Work valued at 2,500 dollars or more | Required to bid or perform; the application fee is 90 dollars |
| Workers compensation | Any contractor with employees | Proof required for the license, and required anyway under Chapter 23 |
| General liability insurance | Licensed contractors | Commonly required by the Board, localities, and clients; application asks for proof of insurance |
| Wage bond | Commercial work with employees | About four weeks of gross payroll at full capacity plus 15 percent for benefits |
| Wage-bond exemption | Owners with assets over 100,000 dollars | May skip posting the bond but must still file the status affidavit |
Why workers comp sits at the center
For a contractor, workers comp does double duty. It satisfies the licensing board, and it satisfies the general contractors and project owners who will not let you on site without proof of coverage. It also protects you from a rule that catches many contractors off guard: if you hire a subcontractor who has no coverage and one of their workers is hurt, you can be made to pay that claim. Collecting proof of coverage, a certificate, from every sub is treated as clearing you of responsibility, so the same document that gets you licensed also shields you up and down the job.
If you work solo
A solo contractor with no employees is not required by Chapter 23 to carry a policy, but licensing and contracts often push you to anyway. Many solo contractors buy a small policy built around their own pay, sometimes called a ghost policy, so they can produce the certificate a general contractor or the licensing process wants. Because West Virginia includes the owner on the policy by default, that small policy also covers the contractor's own on-the-job injuries, which a health plan may not.
A Clarksburg example
Illustrative, not a quote. A Clarksburg general contractor applies for a state license to take on a commercial remodel with a three-person crew. To get licensed and win the job, the contractor shows workers comp for the crew, carries general liability, and posts a wage bond with the Division of Labor sized to about four weeks of full-capacity payroll plus 15 percent. Before the crew starts, the contractor also collects certificates from each subcontractor so an uninsured sub cannot become the contractor's liability. See our workers comp for general contractors page.
Real questions West Virginia owners ask
What insurance do I need for a West Virginia contractor license?
You generally need to show workers comp coverage if you have employees and carry general liability insurance. Commercial work with employees also requires a wage bond filed with the Division of Labor.
When do I need a contractor license in West Virginia?
You need a state contractor license to bid or perform construction work valued at 2,500 dollars or more, counting labor and materials together. The license application fee is 90 dollars.
Do I need workers comp to get the license?
If you have employees, yes. West Virginia treats proof of workers comp as a condition of the contractor license, and you owe the coverage anyway under Chapter 23 as an employer.
What is the wage bond?
It is a bond you file with the Division of Labor for commercial work with employees, to guarantee wages. It is sized at about four weeks of gross payroll at full capacity plus 15 percent for benefits.
Can I avoid posting the wage bond?
Sometimes. An owner whose total assets are large enough, over 100,000 dollars, can be exempt from posting the bond itself, but still has to file the affidavit stating that status.
I am a solo contractor. Do I need workers comp for the license?
Not required by Chapter 23 if you have no employees, but licensing and general contractors often want proof of coverage, so many solo contractors buy a small owner policy to produce the certificate.
Am I responsible for my subcontractors' coverage?
You can be. If a subcontractor has no coverage and a worker is hurt, you can be made to pay the claim. Collect a certificate from every sub, which is treated as clearing you of responsibility.
Why West Virginia owners choose Morrow
- We shop the right market for you. West Virginia stopped running a state monopoly in 2008, so more than 350 private insurers now compete for your business. We shop your rate across them, and if none will take you, a guaranteed-issue backstop pool is always there as a fallback for hard-to-place work.
- We catch pricing mistakes. Your price depends heavily on the category your work falls into for pricing (the class code). Put people in the wrong category and you overpay for years. We review your payroll and classifications before you buy.
- Proof of coverage, fast. Need a certificate (proof of coverage) for a general contractor or a landlord before Monday? We turn those around the same business day for most carriers.
- We help lower the score that drives your price. Insurers give you a score based on your past claims that raises or lowers your cost (the experience modification rate). We review it each year, flag errors, and connect you with return-to-work and safety resources that bring it down.
- Real people when a claim happens. When someone gets hurt, we stay involved through the life of the claim, not just at renewal.
Related West Virginia guides
Every West Virginia business is set up a little differently. These companion guides answer the same question for other situations, plus the national explainers behind the terms used here.
- Business insurance in West Virginia (start here)
- Workers comp: the owner's overview
- I own an LLC: do I need workers comp?
- I'm a sole proprietor: do I need workers comp?
- I own a corporation (C-corp or S-corp): do I need it?
- We're a partnership: do we need workers comp?
- We're a nonprofit: do we need workers comp?
- My workers are 1099: do I still need it?
- Only part-time or seasonal staff: do I need it?
- I only employ family: do I need workers comp?
- Remote or out-of-state staff: do I need coverage?
- What happens if I don't carry workers comp?
- How much does workers comp cost?
- How do I get workers comp (even if turned down)?
- Workers compensation insurance, explained
- What workers comp costs (national guide)
- What is a ghost workers comp policy?
- Do I need workers comp for 1099 contractors?
- West Virginia contractor workers comp
This guide is general information, not legal advice. West Virginia rules and penalty amounts can change, so verify current requirements with the West Virginia Offices of the Insurance Commissioner or a licensed advisor before you rely on them. Last updated: July 2026.