Illinois Contractor License Requirements: 2026 Comprehensive Guide

No Statewide GC License - Roofing Is the Exception 

Illinois does not issue statewide GC licenses, home improvement contractor registrations, or handyman licenses. The one statewide trade requirement is roofing: IDFPR issues a statewide Roofing Contractor License that applies everywhere in Illinois regardless of the city or county. All other licensing for GC and specialty trade work comes from local jurisdictions. 

IDFPR Roofing Contractor License - Statewide 

Any contractor performing roofing work for compensation in Illinois must hold an IDFPR roofing license. 

Requirements: passing a PSI-administered exam, proof of $100,000 general liability insurance, proof of a $50,000 surety bond, and a $100 application fee. Licenses renew annually with a September 30 expiration. NASCLA is not accepted for the Illinois roofing exam. The license number must appear on all contracts and advertising. 

Chicago - General Contractor Licensing 

Chicago's Department of Buildings (DOB) issues contractor licenses for GC work and specialty trades. The General Contractor license requires: a proctored exam administered by a DOB-approved testing vendor, a $10,000 surety bond, $1,000,000 per occurrence / $2,000,000 aggregate GL insurance, $500,000 auto liability, and WC at $100,000 per person minimum. Application fee is approximately $485 - verify current fee at chicago.gov/buildings before applying as Chicago periodically updates fee schedules. Chicago licenses renew annually with an April 30 expiration for most contractor types. The contractor license number must appear on all contracts, vehicles, and advertising within the city. Chicago's MBE/WBE certification is available and required for some public projects - if you pursue city public work, factor this into your business setup timeline. 

Chicago - Specialty Trade Licensing 

Chicago issues separate licenses for Electrical Contractors, Plumbing Contractors, Refrigeration Contractors, and Fire Protection Contractors. Each has its own exam, bond, and insurance requirements. The Electrical Contractor license requires employing a licensed Master Electrician and carrying a $10,000 bond. Verify current requirements for each trade at chicago.gov/buildings - specialty trade requirements are updated independently of GC requirements. 

Cook County and Suburbs 

Cook County outside Chicago city limits has lighter requirements than the city proper. Evanston, Oak Park, Naperville, and other suburban municipalities each set their own contractor registration requirements - there is no unified Cook County system. Contractors working suburban Chicago must verify requirements with each municipality's building department before starting work. 

Insurance Requirements for Illinois Contractors 

Even without a statewide contractor license requirement, insurance is mandatory in Illinois at the local level. Most municipalities and counties that require contractor registration also require proof of general liability insurance and workers' compensation before issuing a registration or permit. 

Minimum limits vary by city - Chicago and Cook County municipalities each set their own thresholds. 

For a full breakdown of what Illinois contractors are required to carry and what it costs in the current market, see our guide to Illinois contractor insurance requirements. 

Illinois Home Repair and Remodeling Act 

Illinois has a Home Repair and Remodeling Act that requires written contracts for residential work over $1,000. This is a consumer protection law, not a licensing law - it does not require a license but sets binding contract requirements. Contractors who fail to provide required written contracts face civil liability and cannot enforce the contract for payment in some circumstances. 

Workers' Compensation 

WC is required for all employers with at least one employee in Illinois. Illinois has one of the higher WC cost environments in the Midwest. Private carriers. Out-of-state contractors bringing employees into Illinois must carry WC coverage with an Illinois endorsement.