General Contractors License in Nebraska: Contractor Licensing Requirements

Contractors in Nebraska need to adhere to licensing and registration requirements in order to legally conduct business. This guide offers detailed information on the necessary steps to acquire a contractor’s license, as well as insurance and bonding requirements. Additionally, we provide essential contact information for the Nebraska Department of Labor and other relevant authorities.

Why Contractor Licensing is Required in Nebraska

Licensing contractors in Nebraska is important so all contractors meet certain standards and qualifications to do the work safely and correctly. The licensing process is a consumer protection so consumers are protected from unqualified or unethical contractors who may not have the skills or experience to do the job right. By requiring contractor licensing Nebraska prevents accidents, injuries and property damage that can come from substandard work.

Plus licensing contractors promotes fair competition among contractors by having everyone follow the same standards and requirements. This levels the playing field so unlicensed contractors can’t undercut licensed contractors on price and keeps the market fair.

Nebraska Contractor Registration Act

All contractors and subcontractors conducting business in Nebraska are required to register with the Nebraska Secretary of State and the Nebraska Department of Labor, under the Nebraska Contractor Registration Act. It’s important to note that while this registration is mandatory, it does not ensure the quality of work or protect consumers from fraud.

• Who Must Register: All contractors and subcontractors, especially those with one or more employees, must register.
• Workers’ Compensation Certificate: Contractors with employees must provide a Workers’ Compensation Certificate of Insurance (ACORD 25), listing the Nebraska Department of Labor as the certificate holder. If the contractor’s insurance coverage expires and no updated certificate is submitted, they will be removed from the registered contractor list until a valid certificate is received.
• Where to Submit: The ACORD 25 certificate can be submitted via:

• Fax: (402) 471-5039
• Email: [email protected]
• Mail: Nebraska Department of Labor, Labor Standards / Contractor Registration, 550 S. 16th Street, Lincoln, NE 68508

Types of Contractor Licenses in Nebraska

In Nebraska, contractor licensing requirements vary depending on the type of work being performed. While general contractors are not required to pass an exam, specialty contractors—such as electricians, plumbers, HVAC technicians, and roofers—may need to meet additional licensing standards set by the state or local authorities.

General Contractor License

• Application: Register with the Nebraska Department of Labor and local jurisdictions.
• Local Requirements: Some areas may require an additional exam (e.g., ICC National Standard Building Contractor ‘B’ Exam).
• Insurance: General liability insurance and a surety bond may be necessary.

Electrical Contractor License

Licensing through the Nebraska State Electrical Division is mandatory for contractors involved in electrical work. The available licenses include:

• Electrical Contractor License: Required for bidding, planning, installing, and supervising electrical projects. Requires experience as a licensed journeyman electrician.
• Journeyman License: For hands-on installation and supervision of electrical work.
• Residential Journeyman License: Specific to residential wiring and equipment installation.
• Fire Alarm Installer License: For installing fire alarm systems (50 volts or less).
• Apprentice Electrician License: For supervised electrical work under a licensed electrician.

Plumbing Contractor License

Licensing through the Nebraska State Electrical Division is mandatory for contractors involved in electrical work. The available licenses include:

• Application: Submit through the Nebraska Department of Health and Human Services (DHHS). Master plumbers must register with the local Department of Building and Safety.
• Exams: Must pass the Nebraska Plumbing Exam.
• Insurance: Contractors must provide proof of liability insurance and workers’ compensation if they have employees.

HVAC Contractor License

For contractors working with heating, ventilation, and air conditioning systems, an HVAC license is required. Contractors must:

• Provide documentation of experience.
• Obtain the necessary insurance, including general liability.

Roofing Contractor License

Nebraska does not have a statewide roofing license. Contractors must verify local jurisdiction requirements.

• Local Licensing: Class E contractors are authorized to install roofs, siding, windows, and decks.
• Experience: Provide proof of roofing experience.
• Insurance: Roofers must carry general liability insurance

Specialty Contractor License

For contractors specializing in tasks like roofing, siding, and insulation, local jurisdictions may require specific licensing or registration. Each type of contractor license ensures that contractors possess the necessary skills and qualifications to perform their work legally, safely, and effectively in Nebraska.

Insurance and Bonding Requirements

General Liability Insurance: Contractors must carry liability insurance to protect against property damage, bodily injury, and personal injury claims. Class D contractors, who are permitted to remodel residential structures, must carry different levels of general liability insurance and bonding. Depending on the project size, typical coverage ranges from $500,000 to $1 million.

Workers’ Compensation Insurance: Mandatory for contractors with employees. It covers medical expenses and lost wages for job-related injuries.

Contractor License Bond Requirements in Nebraska

For contracts exceeding $2,500 in Nebraska, a contractor license bond is required:

• $1,000 bond for contracts between $2,500 and $10,000.
• 10% bond of the first $100,000 for contracts over $10,000, plus 5% of any amount exceeding $100,000.

Check local regulations for additional requirements in cities like Blair, Lincoln, Scottsbluff, and Omaha.

For more guidance and help navigating the contractor licensing process or finding the right insurance coverage, visit Contractors Liability. Our experts are ready to assist you with your licensing and insurance needs.

By following this guide and ensuring you comply with all licensing and registration requirements in Nebraska, you can confidently operate your contracting business within the state.