Surety bonds • Nebraska
Nebraska Public Works Bonds (Neb. Rev. Stat. § 52-118): Requirements and Claims
Under Neb. Rev. Stat. § 52-118, contractors on Nebraska public works must provide a payment bond of at least the contract price, protecting laborers, mechanics, and suppliers. Bonds are required on state projects over $15,000 and on county, city, school, and other local projects over $10,000.
This guide covers the bond, thresholds, claim rules, and cost. Blake Insurance Group is an independent agency and does not give legal advice; a licensed agent can help contractors set up bonding.
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The bond requirement
| Rule | Detail |
|---|---|
| State projects | Required when the cost is more than $15,000 |
| Local projects | Required when the cost is more than $10,000, or when specifications call for one |
| Amount | Payment bond of not less than the contract price, from a corporate surety |
| Protects | Laborers, mechanics, and suppliers of materials and equipment rentals |
Source: Neb. Rev. Stat. § 52-118.
Claims on the bond
- A claim may be made 91 days after the last labor was performed or material supplied.
- Claimants without a direct contract with the prime contractor must give written notice within four months, by registered or certified mail.
- A lawsuit must be filed within one year after final settlement of the public contract.
Source: Koley Jessen.
Who the bond protects
The payment bond protects workers and suppliers on the project. Many public owners also require a performance bond so the surety can finish the work if the contractor fails. See our performance bond and payment bond guides.
How much Nebraska contract bonds cost
Contract bonds are priced as a percentage of the bond amount, commonly about 0.5% to 3% based on the contractor’s finances and experience (NASBP).
Nebraska public works bond FAQs
When is a bond required on Nebraska public works?
On state projects over $15,000 and local projects over $10,000.
How much is the Nebraska public works bond?
A payment bond of at least the contract price.
How long do I have to sue on a Nebraska payment bond?
One year after final settlement of the public contract.
Related guides
Important information
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Cost figures. Published averages and ranges are cited from the sources named, as of the dates shown. They are not quotes and may not reflect your price, which depends on the insurer, the surety, your credit, the bond type, and underwriting.
Availability. Coverage, prices, discounts, and eligibility vary by insurer, state, and applicant, and are subject to underwriting. The issued policy controls.
Your next step
Tell us about your Nebraska public project, and a licensed agent will help you set up bonding.
