What is the difference between an active and an inactive license?
The holder of an active license is entitled to contract for work in the classifications, which appear on the license. While the license is active, the licensee must maintain a current Contractor’s Bond, a Bond of Qualifying Individual (if required), and Workers’ Compensation Insurance coverage. If a license is inactive, that is, currently renewed but on inactive status, the holder may not bid or contract for work. Neither the Contractor’s Bond nor the Bond of Qualifying Individual is required for an inactive license. Also, a licensee does not need to have either the proof or exemption for workers’ compensation insurance coverage on file with the California Contractors Division while the license is inactive.
The holder of an active license is entitled to contract for work in the classifications which appear on the license. While the license is active, the licensee must maintain a current Contractor’s Bond, a Bond of Qualifying Individual (if required), and Workers’ Compensation Insurance coverage. If a license is inactive, that is, currently renewed but on inactive status, the holder may not bid or contract for work. Neither the Contractor’s Bond nor the Bond of Qualifying Individual is required for an inactive license. Also, a licensee does not need to have either the proof or exemption for workers’ compensation insurance coverage on file with the CSLB while the license is inactive (see Question 62).
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