Carpenter license requirements: State-by-state guide (2026)

Only a few states require a carpentry license, but others might require general contractor licenses if the work is over a particular amount. Licenses are usually required for jobs beyond minor construction. Definitions of carpentry and general contractor jobs vary state-by-state.

This guide breaks down state-by-state carpentry license requirements so you know who issues licenses, what experience or exams are needed and what carpenter business insurance can help protect your company. 

(We also have state guides for other trades, including handypersons, electricians, HVAC technicians, landscapers, roofing, painters and plumbers.)

The list is in alphabetical order and includes links for additional resources in each state.

Jump ahead:

• States A-E
• States F-J
• States K-O
• States P-T
• States U-Z

Alabama

License required: No

Licensing authority: Home Builders Licensure Board (HBLB) and The Alabama Licensing Board for General Contractors (LBGC) 

Alabama has two licensing boards for contractors, based on whether they perform residential or non-residential work. 

Residential contractors are licensed by the HBLB, which regulates the construction, remodeling, repair or improvement of residential structures exceeding $10,000. The LBGC licenses non-residential contractors, including specialty or trade contractors, working on commercial or public contracts over $100,000. 

Applying for either of these licenses requires providing financial statements, proof of experience, references (non-residential only), paying the application fee, proof of insurance in Alabama and passing exams.

Starting in 2025, Alabama contractors must include their license number in all ads and contracts and disclose proof of liability insurance before construction.

Required business insurance in Alabama:

• Workers’ compensation insurance is required for carpenter businesses with five or more employees.
• General liability insurance is not mandated by the state but is recommended and may be required for local permits or commercial contracts.

Alaska

License required: Yes

Licensing authority: Alaska Department of Commerce, Community and Economic Development

Carpenters in Alaska must hold a Specialty Contractor license issued by the state. This license covers work limited to one trade, such as framing, finishing or cabinet installation. 

To apply, you’ll need to submit a completed application, pay the required fees, post a $10,000 surety bond and provide proof of general liability insurance. There is no experience or exam requirement for the Specialty classification, but applicants must maintain compliance with all state business registration rules.

Required business insurance in Alaska:

• Workers’ compensation insurance is required for carpentry businesses with one or more employees.
• General liability insurance is required for state licensing and can help protect against third-party injuries or property damage.

Arizona

License required: Yes

Licensing authority: Arizona Registrar of Contractors

Carpenters must secure a state contractor license under the specialty classifications issued by the Arizona Registrar of Contractors — for example: 

Residential work:

• R-7 (Carpentry)
• R-60 (Finish Carpentry)
• R-61 (Carpentry — Remodeling & Repairs up to $50,000) 

Commercial work:

• C-7 Carpentry 
• C-60 Finish Carpentry 
• C-61 Carpentry, Remodeling and Repairs (Carpentry remodeling and repairs for projects worth $50,000 or less.)

Applicants must pass a statutes & rules exam and may need to pass a trade exam or demonstrate several years of experience.

License applicants must post a surety bond sized to their anticipated annual work volume. For example, specialty commercial contractors may require a bond starting at $2,500 for under $150,000 annual work volume.

Required business insurance in Arizona:

• Workers’ compensation insurance is required for carpentry businesses with one or more employees.
• General liability insurance is recommended, and although not always explicitly mandated for the specialty carpentry license itself, it may be required by local jurisdictions or by general contractors/subcontracts.

Arkansas

License required: Yes

Licensing authority: Arkansas Contractors Licensing Board (under the Arkansas Department of Labor & Licensing)

Carpenters working on residential projects valued over $2,000 (including labor and materials) must obtain a Residential Builders or Home Improvement license; for commercial or non-single-family projects valued at $50,000 or more, a Commercial Contractor license is required. 

Subcontractors aren’t required to carry licenses if they work for a licensed contractor. However, they must become certified by the licensing board and provide proof of a $10,000 contractor bond and workers’ compensation insurance.

Applicants must pass the Arkansas Business & Law exam, submit references, provide financial documentation and file a contractor bond (commonly $10,000 for specialty or subcontractor registration certificates).

Required business insurance in Arkansas:

• Workers’ compensation insurance for businesses with three or more employees.
• General liability insurance is recommended to help protect against third-party claims and may be required under local rules or commercial contracts.

California

License required: Yes

Licensing authority: Contractors State License Board (CSLB), Department of Consumer Affairs

Carpenters must obtain the C-5 Framing and Rough Carpentry Contractor license or the C-6 Cabinet, Millwork and Finish Carpentry Contractor license when doing work valued at $1,000 or more (labor + materials).

Applicants must show four years of journeyman-level experience within the last ten years, pass a law & trade exam, post a $25,000 surety bond and submit a worker’s compensation insurance certificate when required.

Effective January 1, 2028, all licensed contractors, regardless of whether they have employees, must file proof of workers’ compensation coverage with CSLB. 

Required business insurance in California:

• Workers’ compensation insurance is required for any contractor who employs one or more workers. 
• General liability insurance is not mandated by state statute for these licenses but is strongly recommended and may be required by local jurisdictions or client contracts.

Colorado

License required: No (state level)

Licensing authority: Licensing handled locally by each city or county

In Colorado, there is no statewide license required specifically for carpenters at the state level. Instead, individual cities or counties may require you to hold a local general-contractor or specialty trade license (depending on size/scope of work).

Required business insurance in Colorado:

• Workers’ compensation insurance: Required by state law for any business with one or more employees; local jurisdictions may enforce this when issuing licenses or permits.
• General liability insurance: Not mandated statewide for carpentry under a trade-specific license, but many municipalities require proof of liability insurance (e.g., minimum limits) as part of their local contracting/licensing requirements.

Connecticut

License required: No (state-level license)

Licensing authority: Connecticut Department of Consumer Protection (DCP)

Carpenters generally do not need a state contractor license in Connecticut, but many must register with the DCP under one of three classifications: 

• Home Improvement Contractor: Applies if a contract exceeds $200 or you do more than $1,000 annually in home-improvement work
• New Home Construction Contractor: When the work involves new single-family or multi-family homes.
• Major Contractor: Applies when your work involves larger structural, commercial or multi-story projects.

Required business insurance in Connecticut:

• Workers’ compensation insurance is required if the business has one or more employees. 
• General liability insurance is required for registrations like Home Improvement Contractor (minimum $20,000) and for Major Contractor registration, where you must submit proof of coverage.

Delaware

License required: No (state-level contractor license)

Licensing authority: Delaware Division of Revenue, Delaware Department of Labor 

In Delaware, carpenters do not need a state-issued contractor license. However, businesses performing construction or maintenance must register with the state. This includes obtaining a Delaware business license via the Division of Revenue and, under the Contractor Registration Act, registering through the Department of Labor before work begins.

Required business insurance in Delaware:

• Workers’ compensation insurance is required for any business with employees. 
• General liability insurance is not explicitly mandated statewide for all carpentry contractors, but proof of coverage may be required in the certification/registration process and by local municipalities.

Florida

License required: Yes

Licensing authority: Florida Department of Business and Professional Regulation (DBPR) — Construction Industry Licensing Board (CILB)

Carpenters may need a contractor license in Florida if their work involves constructing, repairing, altering, remodeling, adding to, demolishing, subtracting from or improving any building or structure for compensation. Minor, non-structural carpentry work (such as door repairs, paneling, tile installation, window repair) may fall under the “handyman” exemption and not require a state license.

To obtain a state-certified license you must pass a Business & Finance exam and a trade exam (or meet equivalent experience criteria); you also need to demonstrate financial responsibility, submit fingerprints/background check and meet insurance requirements.

Starting July 1, 2025, Florida will phase out most local specialty contractor licenses, including those covering carpentry work. Contractors must transition to state-certified licenses regulated by the CILB.

Required business insurance in Florida:

• Workers’ compensation insurance is required if the business has one or more employees (or must obtain an exemption if no employees). 
• General liability insurance is required for licensed contractors — applicants must attest to having public liability and property damage coverage before a license is issued.

Georgia

License required: No (state-level license)

Licensing authority: Georgia State Construction Industry Licensing Board

In Georgia, rough or finish carpentry work is classified as a “specialty trade,” which does not require a state residential or general contractor license when you subcontract under a licensed residential or general contractor. However, if you advertise or contract directly with homeowners for structural additions or major renovations, you may need a general contractor license.

Required business insurance in Georgia:

• Workers’ compensation insurance is required if the carpentry business has one or more employees.
• General liability insurance is not mandated by the state for specialty trade licenses but may be required by local jurisdictions or by general contractors you subcontract for.

Hawaii

License required: Yes

Licensing authority: Hawaii Contractors License Board, Department of Commerce & Consumer Affairs (DCCA)

Carpenters must obtain a specialty contractor license under classifications such as C-5 (Cabinet, Millwork & Carpentry Remodeling/Repairs) or C-6 (Carpentry Framing). 

Applicants are required to demonstrate four years of full-time supervisory trade experience within the last ten years, pass both the Business & Law exam and the appropriate trade exam. 

Required business insurance in Hawaii:

• Workers’ compensation insurance is required if the business has one or more employees. 
• General liability insurance is required for licensed contractors; for example, minimum coverage amounts for C-class licenses may include bodily injury $100,000 per person, $300,000 per occurrence and property damage $50,000 per occurrence.

Idaho

License required: No (state-level contractor license)

Licensing authority: Idaho Contractors Board

In Idaho, carpenters working as contractors do not need a specific state-issued license. However, if you operate as a contractor you’ll need to register with the Idaho Contractors Board.

Required business insurance in Idaho:

• Workers’ compensation insurance is required if the business has one or more employees.
• General liability insurance is not mandated statewide for carpenter contractors but is strongly recommended and may be required by local jurisdictions or commercial clients.

Illinois

License required: No (state-level license)

Licensing authority: Local municipalities

Illinois does not require a statewide license for carpenters or general contractors. However, many cities — including Chicago, Peoria and Aurora — have their own local licensing or registration rules for contractors. Always verify requirements with your city or county before starting work.

Required business insurance in Illinois:

• Workers’ compensation insurance is required for any business with one or more employees.
• General liability insurance is not required by the state but may be mandatory under local ordinances or client contracts. It’s recommended to help protect your business from third-party claims.

Indiana

License required: No (state-level license)

Licensing authority: Local municipalities

Indiana does not require a statewide license for carpenters. Licensing and registration are handled at the city or county level, so requirements can vary — for example, Indianapolis and Fort Wayne require local contractor registration or bonding before work begins.

Required business insurance in Indiana:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not required by the state but may be required by local jurisdictions or for commercial projects. It’s recommended to help protect against property damage or injury claims.

Iowa

License required: No (state-level license)

Licensing authority: Iowa Division of Labor

Carpenters in Iowa do not need a state-issued license, but anyone performing construction work — including carpentry — on property they don’t own and earning more than $2,000 annually must register as a contractor with the Iowa Division of Labor. 

Registration requires proof of unemployment insurance and, if applicable, workers’ compensation coverage.

Required business insurance in Iowa:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not mandated by the state for registration but is recommended and often required by clients or local building departments.

Kansas

License required: No (state-level license)

Licensing authority: Local municipalities

Kansas does not require a statewide carpenter or contractor license, but many cities and counties have their own registration or licensing requirements. For example, Wichita, Overland Park and Topeka each regulate contractor licensing locally, often requiring proof of insurance and bonding.

Required business insurance in Kansas:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not mandated by the state but may be required at the local level to obtain a contractor license or building permit. It’s recommended to help protect against third-party injury or property damage claims.

Kentucky

License required: No (state-level carpenter license)

Licensing authority: Local municipalities

Kentucky does not require a statewide license for carpenters. However, several cities and counties — such as Louisville and Lexington — may require local contractor registration, business licensing or proof of insurance before you begin work. Always verify local regulations before starting a project.

Required business insurance in Kentucky:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not mandated by the state but may be required locally or by clients. It’s recommended to help protect your carpentry business from property damage or injury claims.

Louisiana

License required: Yes

Licensing authority: Louisiana State Licensing Board for Contractors (LSLBC)

Carpenters in Louisiana may need a state license depending on the project scope and value. Home improvement projects valued between $7,500 and $50,000 require registration but not a full license. Residential contractors must be licensed for projects worth over $50,000, while commercial projects exceeding $50,000 also require a state license. 

Carpentry work falls under the Commercial Specialty Classification S-2 Carpentry. Applicants must pass a trade exam if applying for the specialty classification.

Required business insurance in Louisiana:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is required for licensed and registered contractors and can help protect against third-party injuries or property damage.

Maine

License required: No (state-level license)

Licensing authority: None at the state level; local municipalities may regulate

Carpenters in Maine do not need a state-issued license to perform residential or commercial work. However, home construction or improvement projects valued over $3,000 must include a written contract under state consumer protection laws. Always confirm whether your city or county requires local registration or building permits before starting work.

Required business insurance in Maine:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not required by the state but is recommended and may be required by local jurisdictions or client contracts to help protect against third-party property damage or injury claims.

Maryland

License required: Yes

Licensing authority: Maryland Home Improvement Commission (MHIC), part of the Department of Labor

Carpenters performing home improvement work in Maryland must hold an MHIC license, which covers the alteration, remodeling, repair or replacement of residential structures. 

To qualify, applicants need at least two years of experience, proof of financial solvency, a current certificate of general liability insurance and must pass both a trade and business and law exam.

Required business insurance in Maryland:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is required to obtain and maintain an MHIC license and can help protect against third-party injury or property damage claims.

Massachusetts

License required: Yes

Licensing authority: Office of Public Safety and Inspections (OPSI), Division of Occupational Licensure

Carpenters in Massachusetts must hold the appropriate credential depending on the scope of work. For non-structural home improvement projects (like repairing an existing deck or replacing trim), a Home Improvement Contractor (HIC) Registration is required — no exam is needed. 

For structural work such as framing, major renovations or building additions, you’ll need a Construction Supervisor License (CSL) issued by OPSI. Restricted CSLs apply to one- and two-family dwellings. 

Applicants must show three years of relevant experience and pass a trade and business exam.

Required business insurance in Massachusetts:

• Workers’ compensation insurance is required for any business with one or more employees.
• General liability insurance is required for both HIC registration and CSL licensing, and can help protect against third-party injury or property damage claims.

Michigan

License required: Yes

Licensing authority: Michigan Department of Licensing and Regulatory Affairs (LARA) – Bureau of Construction Codes

Carpenters in Michigan must hold a Maintenance and Alteration Contractor license to perform most construction or remodeling work. To qualify, applicants must complete 60 hours of approved pre-licensure education, pass a state licensing exam and register their business with LARA. Specialty classifications (including carpentry) fall under this license type.

Required business insurance in Michigan:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not required by the state for licensing, but many localities and clients require it. It’s strongly recommended to help protect against third-party property damage or injury claims.

Minnesota

License required: Yes

Licensing authority: Minnesota Department of Labor and Industry (DLI)

In Minnesota, carpentry is classified as a special skill area within the Residential Building Contractor category. These include rough and finish carpentry, decks, doors, windows, wood foundations and drywall installation. You don’t need a license if you earn less than $15,000 per year and provide only one specialty skill. 

However, if you perform more than one specialty skill or earn above that threshold, you must obtain a Residential Remodeler License (for existing structures) or a Residential Building Contractor License (for new construction). 

Applicants must provide proof of general liability insurance and workers’ compensation coverage, pass an exam and register their business with DLI.

Required business insurance in Minnesota:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is required for licensing and can help protect against third-party injury or property damage claims.

Mississippi

License required: Yes

Licensing authority: Mississippi State Board of Contractors (MSBOC)

Carpenters in Mississippi who perform remodeling or repair work on existing structures valued at more than $10,000 must hold a Residential Remodeling License from the MSBOC. This license covers carpentry and other improvement work on residential properties. 

Applicants must pass both a trade exam and a business and law exam, provide proof of general liability insurance and meet all financial and registration requirements.

Required business insurance in Mississippi:

• Workers’ compensation insurance is required for businesses with five or more employees.
• General liability insurance is required for state licensing and can help protect against third-party injuries or property damage.

Missouri

License required: No (state-level license)

Licensing authority: Local municipalities

Missouri does not require a statewide carpenter or contractor license. However, local governments — including Kansas City, St. Louis and Springfield — have their own contractor licensing or registration requirements, which may include proof of insurance or bonding. Always check with your city or county before starting a project.

Required business insurance in Missouri:

• Workers’ compensation insurance is required for businesses with five or more employees, or for any construction business with one or more employees.
• General liability insurance is not required by the state but is strongly recommended and often required at the local level to help protect against property damage or injury claims.

Montana

License required: No (state-level carpenter license)

Licensing authority: Montana Department of Labor and Industry (DLI) – Contractor Registration Unit

Carpenters in Montana are classified as construction contractors, which includes anyone who adds to or alters a structure or improvement attached to real estate. While a specific carpenter license isn’t required, contractors who have employees must register with the Department of Labor and Industry. Independent contractors without employees can obtain an Independent Contractor Exemption Certificate (ICEC).

Required business insurance in Montana:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is required to complete contractor registration and can help protect against third-party injury or property damage claims.

Nebraska

License required: No (state-level carpenter license)

Licensing authority: Nebraska Department of Labor – Contractor Registration Division

Carpenters in Nebraska do not need a state-issued license to perform work. However, anyone engaged in construction, alteration, renovation, addition, repair or installation work — including subcontractors — must register as a contractor with the Nebraska Department of Labor before starting projects. Registration helps ensure compliance with workers’ compensation and unemployment insurance laws.

Required business insurance in Nebraska:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not required by the state for registration, but it’s recommended and may be required by clients or local jurisdictions to help protect against third-party property damage or injuries.

Nevada

License required: Yes

Licensing authority: Nevada State Contractors Board (NSCB)

Carpenters in Nevada must hold a C-3 Specialty Contractor License to perform carpentry, maintenance and minor repairs. The C-3 classification includes several subcategories such as: 

• C-3a (Carpentry and Repairs)
• C-3b (Finish Carpentry)
• C-3c (Insulation and Weather Stripping)
• C-3d (Overhead Doors)
• C-3e (Drywall) 

A state license is required for any project valued at $1,000 or more, including labor and materials. 

Applicants must demonstrate four years of experience (with up to three years of college education accepted as equivalent), pass both the trade and business and law exams, provide proof of a surety bond and workers’ compensation coverage.

Required business insurance in Nevada:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not required by the state but is strongly recommended and may be required by clients or local building authorities to help protect against property damage or injury claims.

New Hampshire

License required: No (state-level carpenter license)

Licensing authority: Local municipalities

New Hampshire does not require a state-issued license for carpenters or general contractors. However, local governments may have their own permitting or registration requirements for building and remodeling work, so it’s important to verify city or county rules before beginning a project.

Required business insurance in New Hampshire:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not required by the state but is recommended and often required by local jurisdictions or clients to help protect against third-party property damage or injury claims.

New Jersey

License required: No (state-level license)

Licensing authority: New Jersey Division of Consumer Affairs – Regulated Business Section

Carpenters in New Jersey are classified as home improvement contractors, covering work such as remodeling, repairing, renovating, painting or modernizing residential structures.

While no state license is required, all home improvement contractors must register with the New Jersey Division of Consumer Affairs before performing work. Some municipalities may also require local licenses or permits.

Effective March 31, 2025, all New Jersey home improvement contractors must meet new registration and renewal requirements. These include carrying general liability insurance with at least $500,000 in coverage and maintaining a surety bond or other security ranging from $10,000 to $50,000, based on project size.

Required business insurance in New Jersey:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is required for state registration and can help protect against third-party injury or property damage claims.

New Mexico

License required: Yes

Licensing authority: New Mexico Regulation and Licensing Department – Construction Industries Division (CID)

Carpenters in New Mexico must hold a state contractor license under one of two primary classifications: GB-2 Residential Contractor or GB-98 General Building Contractor. 

Applicants must define the scope of their work and industry when applying, and specify whether they’ll act as a prime contractor. Depending on the classification, applicants need two to four years of verified experience, must pass both the trade exam and business and law exam and meet CID’s financial and bonding requirements.

Required business insurance in New Mexico:

• Workers’ compensation insurance is required for businesses with three or more employees.
• General liability insurance is not mandated by the state but is recommended and may be required by local jurisdictions or for commercial projects to help protect against property damage or injury claims.

New York

License required: No (state-level carpenter license)

Licensing authority: Local municipalities

New York does not require a statewide carpenter license. However, licensing and registration are managed locally — for example, New York City, Buffalo and Rochester each have their own contractor licensing or permit requirements. Always verify local carpenter license rules and insurance requirements before starting work.

Required business insurance in New York:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not required at the state level but is mandatory in many cities, including New York City, to register as a contractor. It helps protect against third-party injury or property damage claims.

North Carolina

License required: Yes

Licensing authority: North Carolina Licensing Board for General Contractors (NCLBGC)

Carpenters in North Carolina must hold a state contractor license if the total project value is $40,000 or more (up from $30,000 effective October 2024). 

Depending on the scope of work, carpenters may be classified as Residential Contractors (for home construction and remodeling) or Specialty Contractors, which include trades such as interior carpentry, flooring, finishing, window and door installation and cabinetry. 

Applicants must meet the minimum financial requirements set by the NCLBGC and pass a license exam for their classification.

Required business insurance in North Carolina:

• Workers’ compensation insurance is required for businesses with three or more employees.
• General liability insurance is not required by the state for licensing but is strongly recommended and may be required by clients or local building authorities.

North Dakota

License required: Yes

Licensing authority: North Dakota Secretary of State – Contractor Licensing Division

Carpenters in North Dakota are classified as contractors and must hold a state contractor license for any project valued at more than $4,000, including labor and materials. Licenses are issued based on the scope and value of the work performed. 

Applicants must register their business with the Secretary of State, provide proof of workers’ compensation and general liability insurance and maintain an active business license.

Required business insurance in North Dakota:

• Workers’ compensation insurance is required for businesses with one or more employees. Because North Dakota is a monopolistic state, coverage must be purchased through Workforce Safety & Insurance (WSI), the state-run workers’ comp fund.
• General liability insurance is required for licensing and can help protect against third-party property damage or injury claims.

Ohio

License required: No (state-level carpenter license)

Licensing authority: Local municipalities

Ohio does not require a statewide license for carpenters or general contractors. However, many cities — including Columbus, Cleveland and Cincinnati — have their own contractor registration or licensing requirements that often include proof of insurance or bonding. Always verify local rules before beginning a project.

Required business insurance in Ohio:

• Workers’ compensation insurance is required for businesses with one or more employees and must be purchased through the state-run fund, as Ohio is a monopolistic state.
• General liability insurance is not required by the state but is strongly recommended and may be required by local jurisdictions or clients to help protect against third-party property damage or injury claims.

Oklahoma

License required: No (state-level carpenter license)

Licensing authority: Local municipalities

Oklahoma does not require a state-issued license for carpenters or general contractors. However, many cities and counties — such as Oklahoma City and Tulsa — have their own contractor registration, permit or bonding requirements. It’s important to check local regulations before starting any project.

Required business insurance in Oklahoma:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not required by the state but is recommended and may be required by local governments or clients to help protect against property damage or injury claims.

Oregon

License required: Yes

Licensing authority: Oregon Construction Contractors Board (CCB)

Carpenters in Oregon must hold a Construction Contractor License from the CCB to perform any work involving improvements to real property. You can apply for a residential, commercial or dual residential/commercial license depending on your project type. 

Applicants must complete 16 hours of pre-license training, pass a CCB exam, register their business and provide proof of insurance and bonding before approval. Effective July 1, 2025, new license fees are $400 (previously $325)

Required business insurance in Oregon:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is required for all licensed contractors, with coverage minimums based on license type. It helps protect against third-party property damage or injury claims.

Pennsylvania

License required: No (state-level carpenter license)

Licensing authority: Pennsylvania Office of Attorney General – Bureau of Consumer Protection

Carpenters in Pennsylvania do not need a state-issued license. However, anyone performing $5,000 or more in home improvement work annually must register as a Home Improvement Contractor (HIC) with the Attorney General’s Office. This registration covers residential remodeling, repair and improvement work such as carpentry, cabinetry and finishing.

Required business insurance in Pennsylvania:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is required for HIC registration, with a minimum of $50,000 in coverage, and can help protect against third-party property damage or injury claims.

Rhode Island

License required: No (state-level carpenter license)

Licensing authority: Rhode Island Contractors’ Registration and Licensing Board (CRLB)

Carpenters in Rhode Island are not required to hold a state-issued license but must register with the CRLB if they perform construction, remodeling, alteration or repair work on residential or commercial properties.

Registration requires completing five hours of pre-education training, submitting a registration application and providing proof of general liability insurance.

Required business insurance in Rhode Island:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is required for contractor registration and can help protect against third-party injury or property damage claims.

South Carolina

License required: No (state-level carpenter license)

Licensing authority: South Carolina Department of Labor, Licensing and Regulation (LLR) – Residential Builders Commission

Carpenters in South Carolina do not need a state-issued license but must register with the Residential Builders Commission under the Department of Labor, Licensing and Regulation (LLR) before performing work. Registration is required for residential carpentry, remodeling and repair work valued at more than $200, including labor and materials.

Required business insurance in South Carolina:

• Workers’ compensation insurance is required for businesses with four or more employees.
• General liability insurance is required for registration and can help protect against third-party property damage or injury claims.

South Dakota

License required: No (state-level carpenter license)

Licensing authority: Local municipalities

South Dakota does not require a state-issued license for carpenters or general contractors. However, many cities — such as Sioux Falls — have their own contractor licensing or registration requirements that may include exams, proof of insurance or bonding. Always check local regulations before starting any project.

Required business insurance in South Dakota:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not required by the state but is recommended and often required by local jurisdictions or clients to help protect against property damage or injury claims.

Tennessee

License required: Yes

Licensing authority: Tennessee Department of Commerce & Insurance – Board for Licensing Contractors

Carpenters in Tennessee must hold a state contractor license if acting as a prime contractor on projects valued at $25,000 or more. Licenses are issued under several classifications depending on the type of construction work performed. 

Applicants must provide proof of insurance, meet financial requirements and pass both a trade exam and a business and law exam.

For remodeling projects valued between $3,000 and $25,000, a Home Improvement Contractor License is required in Bradley, Davidson, Hamilton, Haywood, Knox, Marion, Robertson, Rutherford and Shelby counties.

Required business insurance in Tennessee:

• Workers’ compensation insurance is required for businesses with five or more employees, or one or more employees in the construction industry.
• General liability insurance is required for licensing and can help protect against third-party property damage or injury claims.

Texas

License required: No (state-level carpenter license)

Licensing authority: Local municipalities

Texas does not require a state-issued license for carpenters or general contractors. However, local governments — such as Houston, Dallas, Austin and San Antonio — may have their own contractor registration, permit or insurance requirements. Always check with your city or county before starting work to ensure compliance.

Required business insurance in Texas:

• Workers’ compensation insurance is not required by the state, but businesses that choose to hire employees without coverage must notify the state and their workers in writing. Many commercial clients still require proof of coverage.
• General liability insurance is not required by state law but is strongly recommended and may be required by local jurisdictions or project owners to help protect against third-party injury or property damage claims.

Utah

License required: Yes

Licensing authority: Utah Division of Occupational and Professional Licensing (DOPL)

Carpenters in Utah must hold an S220 Carpentry Contractor License to perform framing, cabinetry or finishing work. A license isn’t required for projects valued at less than $3,000, provided no building permit is needed and no subcontractors or employees are used.

Applicants must have at least two years of experience within the past ten years, complete pre-licensure education and pass both the trade and business and law exams. 

Required business insurance in Utah:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is required for licensing and can help protect against third-party injuries or property damage claims.

Vermont

License required: No (state-level carpenter license)

Licensing authority: Local municipalities

Vermont does not require a state-issued license for carpenters or general contractors. However, local governments may have their own contractor registration, building permit or insurance requirements — especially for residential remodeling or new construction. Always verify local regulations before beginning any project.

Required business insurance in Vermont:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is not required by the state but is strongly recommended and may be required by municipalities or clients to help protect against third-party property damage or injury claims.

Virginia

License required: Yes

Licensing authority: Virginia Department of Professional and Occupational Regulation (DPOR) – Board for Contractors

Carpenters in Virginia are licensed under the Residential Building Contractor classification, which includes home improvement and remodeling work. There are three license classes based on project size and annual volume:

• Class C: Up to $10,000 per project and $150,000 per year (requires 2 years of experience)
• Class B: Up to $120,000 per project and $750,000 per year (requires 3 years of experience)
• Class A: Unlimited project value (requires 5 years of experience)

Applicants must complete a DPOR-approved pre-license education course and pass both a business and law exam (and, if required, a trade exam).

Required business insurance in Virginia:

• Workers’ compensation insurance is required for businesses with two or more employees.
• General liability insurance is not required by the state for licensing but is recommended and may be required by clients or local jurisdictions to help protect against property damage or injury claims.

Washington

License required: No (state-level carpenter license)

Licensing authority: Washington State Department of Labor & Industries (L&I)

Carpenters in Washington are classified as specialty contractors, typically under “Cabinets, Millwork and Finish Carpentry” or “Framing and Rough Carpentry.” While no separate carpenter license is required, all specialty contractors must register with the Department of Labor & Industries before performing work. 

Registration requires proof of a $15,000 surety bond, valid general liability insurance and compliance with all state safety and business regulations.

Required business insurance in Washington:

• Workers’ compensation insurance is required for businesses with one or more employees. Because Washington is a monopolistic state, coverage must be purchased through the state-run fund.
• General liability insurance is required for contractor registration and can help protect against third-party property damage or injury claims.

West Virginia

License required: Yes

Licensing authority: West Virginia Division of Labor – Contractor Licensing Board

Carpenters in West Virginia must hold a state contractor license for any project valued at more than $2,500, including labor and materials. Carpentry typically falls under the Finish Carpentry (058) specialty classification, which is an untested specialty—meaning applicants must only pass the business and law exam to qualify. 

Applicants must also register their business with the state and provide proof of insurance and workers’ compensation coverage (if applicable).

Effective July 1, 2025, the Universal Professional and Occupational Licensing Act will allow licensed contractors from other states to obtain a West Virginia license without retaking the full exam if they meet eligibility requirements.

Required business insurance in West Virginia:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is required for contractor licensing and can help protect against third-party property damage or injury claims.

Wisconsin

License required: Yes

Licensing authority: Wisconsin Department of Safety and Professional Services (DSPS)

Carpenters in Wisconsin must hold a Dwelling Contractor Qualifier License to perform construction, alteration or improvement work on residential, commercial or public projects valued at more than $1,000. 

Applicants must complete an approved 12-hour pre-license education course, pass a state exam and provide proof of financial responsibility. Both a Dwelling Contractor and a Dwelling Contractor Qualifier license are required for most residential projects.

Required business insurance in Wisconsin:

• Workers’ compensation insurance is required for businesses with one or more employees.
• General liability insurance is required for licensing and can help protect against third-party property damage or injury claims.

Wyoming

License required: No (state-level carpenter license)

Licensing authority: Local municipalities

Wyoming does not require a state-issued license for carpenters or general contractors. However, many local jurisdictions — including Cheyenne and Jackson — have their own contractor licensing or registration requirements that may include proof of insurance, bonding or local exams. Always check with your city or county before starting work.

Required business insurance in Wyoming:

• Workers’ compensation insurance is required for businesses with one or more employees. Because Wyoming is a monopolistic state, coverage must be purchased through the Wyoming Department of Workforce Services.
• General liability insurance is not required by the state but is recommended and may be required by municipalities or clients to help protect against third-party injury or property damage claims.

How NEXT helps carpenters protect their businesses

Licensing and insurance requirements for carpentry contractors vary across the U.S. Before starting work, verify your state’s rules and ensure you’re properly insured. NEXT makes it fast, easy and affordable to protect your small business — and you can do it all online.

We’ll ask a few questions about your business and give you a quote. You can select your coverage options and buy your policy in about 10 minutes. Your certificate of insurance will be available immediately, and you can access your policy 24/7 via web or mobile app.

If you have questions, our licensed, U.S.-based insurance professionals are available to help.

Start a free quote with NEXT.

This information has been provided as a service. It is correct and up-to-date to the best of our knowledge; however, it is in no way intended to offer legal advice and you must always consult with local authorities before you make any business decisions. Regulations and requirements may change at any time.