Indiana has a cost of living that is more than 15% lower than the national average. This provides a comfortable style of living for general contractors (GCs) who make an average of $84,100+ in the state.
To become a general contractor in Indiana, you’ll need to be licensed or registered in the city you’re working in. The same goes for specialty contractors, except for plumbing contractors who are licensed by the state. Most licenses will require you to have general liability insurance, Worker’s Compensation coverage, and a bond.
To give you an idea of the process, this article will break down how to become a general contractor in Indianapolis, Fort Wayne, and Evansville.
Do You Need a Contractor’s License in Indiana?
Contractors (except plumbing contractors) are regulated at the municipality level in Indiana. Most cities and municipalities require contractors to be licensed or registered in that area before performing any contracting work.
If your city is not discussed below, you can look up your local contractor laws by searching for “contractor licenses in your city here” and clicking on sites that end in “.gov.”
Indiana State Contractor Licenses
The only state-issued contractor license in Indiana is for plumbing contractors. They are overseen by the Indiana Professional Licensing Agency (IPLA). All other contractors fall under the jurisdiction of their municipality or city.
ID Plumbing Contractors
Indiana Plumbing Contractors can apply for their license through an Indiana Plumbing Commission Approved Apprenticeship School, through a Plumbing Business, or with an out-of-state plumbing license.
Applicants must be 18 years or older, pay a $50 application fee, and show 4 years of verifiable work experience in the plumbing trade.
Once your application is approved, you will schedule, pay for, and take an official plumbing contractor exam. Upon passing the exam and paying any additional fees, you will receive your license.
For more detailed instructions, see the official plumbing contractor page of the IPLA.
General Contractor License Requirements
Even though there are no state-wide GC regulations, most municipalities share a common licensing procedure.
First, you’ll need to register your official contracting business with the state.
Second, you’ll apply for a contractor’s license within your municipality. If applying for a trade license (electric, HVAC, etc.), you will likely have to meet certain job experience requirements OR hold a master’s license in that trade.
After their application is paid for, reviewed, and approved, applicants can pay for, schedule, and take the official contractor’s exam. Most exams are open-book.
After passing the exam, applicants must show that they have the proper general liability insurance, Worker’s Comp coverage, and bond. Some will need to pay additional licensing fees.
Once everything is submitted and confirmed, the contractor will receive their license.
Contractor Licenses in Indianapolis
As the capital of Indiana, Indianapolis has a strong eye on all contractors in the city. The Department of Business and Neighborhood Services oversees electric, HVACR, wrecking, and general contractors.
Any contractor engaging in construction, land alteration, driveway, sewer, or excavation work must be “listed” (AKA licensed).
Indianapolis GC Requirements
If you are applying for a license as a business, your business name should include the surname of the proprietor or partners. If it doesn’t or if you are an LLC or corporation, you must prove that your business is registered with the state.
Contractors must hold:
- A certificate of insurance covering General Contractor or General Contracting with no limited coverage
- General liability insurance of $500,000 per death/bodily injury and $100,000 per property damage OR
- $500,000 per occurrence of death/bodily injury and property damage combined
- Workman’s compensation coverage or a waiver if you don’t have employees
- A surety bond of $10,000
GCs do not require examination, although HVAC, electrical, and wrecking contractors do.
GCs will complete the application, pay a $247 licensing fee (prorated), and submit all documents to the City of Indianapolis. For more detailed application instructions, see here.
Contractor Licenses in Fort Wayne
Fort Wayne contractors fall under the jurisdiction of Allen County. Contractors must either have a license from another ID jurisdiction or be sponsored by the county to take the official contractor’s exam.
Applicants will need to review Chapter 1 of Allen County’s Building Regulations. Then, they’ll fill out the General Contractor Structural Application.
Mail the application with a $25 payment to:
Allen County Building Department Licensing
200 E. Berry St. Suite #180
Fort Wayne, IN 46802
If approved, you will need to schedule and pay for the General Contractor’s Exam through ICC. This exam is open-book and has a 4-hour time limit. If you need a specialty contractor’s license, such as those for electrical and HVAC contractors, you will also need to take an additional trade exam.
After passing all exams, you will receive your license.
Any additional questions or reciprocal licensing questions should be directed to Tina Gebert at Tina.Gebert@co.allen.in.us.
Contractor Licenses in Evansville
The City of Evansville, Indiana licenses all contractors and tradesmen. They offer Residential Building and Commercial Building GC licenses, as well as a variety of subcontractor and specialty contractor types.
Homeowners working on their current residence do not require a license unless they sell or move out of the home shortly thereafter.
If you plan to be the managing employee of the contracting company and need an additional license to complete your contracting work – such as a master level electrical license – you’ll need to have at least 4 years of experience in your trade OR have current registration as a professional engineer in your trade.
To complete the basic contractor’s license application without any additional licenses or trade specifications, you’ll need:
- Qualification information, including:
- Any certificates or diplomas you have earned
- 3 notarized letters of recommendation from past employers in the field
- General liability insurance of $1 million
- A bond of $25,000
- Worker’s Compensation insurance or an affidavit stating you are exempt
- To complete the Criminal History Record and have it notarized
Once submitted, you’ll be contacted with your approval and instructions on how to schedule your official exam. When you pass the exam, you’ll have to show proof of your insurance and bond and pay a fee. After this, you’ll receive your license.