# Texas Electrical Contractor License

> A Texas electrical contractor license has no exam. The business must be or employ a Master Electrician of record, carry liability insurance of at least $300,000 per occurrence, $600,000 aggregate and $300,000 products and completed operations, show workers' comp coverage or an approved alternative, and pay $110 (as of November 2026).

Updated: 2026-11-09

In Texas, the person and the business are licensed separately. A master electrician license lets a person do and supervise electrical work. An Electrical Contractor license is the license for the business itself. This guide covers what the contractor license needs: a master of record, insurance, workers' comp and the fee. There is no exam.

## Key facts

- No exam for the contractor license (TDLR contractor apply page).
- The business must employ a licensed Master Electrician of record, or the owner must hold the master license (TDLR).
- Liability insurance: at least $300,000 per occurrence, $600,000 aggregate and $300,000 aggregate for products and completed operations, as of November 2026 (TDLR).
- Workers' comp: proof of coverage, a self-insurance certificate, or a non-coverage election filed with the Texas Department of Insurance (TDLR).
- Application fee $110; yearly renewal $110, as of November 2026 (TDLR apply and renew pages).
- No CE for the contractor license (TDLR CE page).

## The Master Electrician of record

The contractor license rests on one person: the Master Electrician of record. The contractor must either employ a licensed Texas master or the license holder must be a master. You become a master through hours and an exam, covered in [master electrician license requirements](https://texaselectricianexam.com/guides/texas-master-electrician-license-requirements/).

Two rules matter in practice:

- **One contractor per master.** A master's license may be assigned to only one electrical contractor, unless the master owns more than 50% of the contracting business (TDLR contractor and renew pages; TDLR FAQ).
- **Replacing the master.** If your master of record leaves, notify TDLR and name a new master. TDLR allows 30 business days to replace the master of record. The notice goes by mail on TDLR's Electrical Contractor Notice of Change and Duplicate License Request form.

If you are a master starting your own company, you can be your own master of record. If you are not a master, you must hire one, and that master cannot already be the master of record for another company unless they own more than half of it.

## Insurance requirements

As of November 2026, TDLR requires these minimum business liability amounts:

| Coverage | Minimum |
|---|---|
| Per occurrence (property damage and bodily injury combined) | $300,000 |
| Aggregate (total the policy pays for property damage and bodily injury) | $600,000 |
| Products and completed operations, aggregate | $300,000 |

Source: TDLR contractor apply and renew pages. The name, or assumed business name, on the certificate of liability insurance must match the business name on your application (TDLR renew page).

### Workers' compensation

TDLR also wants one of the following:

1. Proof of workers' compensation coverage.
2. A certificate of authority to self-insure.
3. A workers' comp non-coverage election filed with the Texas Department of Insurance (TDI), which can be filed electronically.

Ask your insurance agent which option fits your business.

## Fees

All as of November 2026, from TDLR's contractor apply and renew pages.

| Item | Fee |
|---|---|
| New application | $110 |
| Yearly renewal | $110 |
| Late renewal, 90 days or less | $165 |
| Late renewal, 91 days to 36 months | $220 |
| Expired more than 36 months | Must reapply as new |

If the license has been expired more than 18 months, renewal goes by mail with the application form (first 2 pages), a Request to Executive Director for Expired License Renewal form and a certificate of insurance.

## How to apply

1. Make sure your Master Electrician of record holds an active Texas master license and is not assigned to another contractor (unless they own more than 50% of yours).
2. Get a certificate of liability insurance with at least the amounts above, in the exact business name you will use.
3. Arrange workers' comp coverage, self-insurance authority, or a non-coverage election with TDI.
4. Apply to TDLR with the $110 fee.
5. If the applicant has a criminal conviction other than a minor traffic violation, include the Criminal History Questionnaire.

## Renewal and CE

The contractor license is valid one year and renews yearly. TDLR does not require CE for contractors. But your master of record must still complete 4 hours of CE to renew their own master license. Since the business needs a licensed master of record, a lapsed master license is a problem for the business too. See the [CE guide](https://texaselectricianexam.com/guides/texas-electrician-continuing-education/).

## Related licenses

- **Residential Appliance Installation Contractor.** TDLR's Residential Appliance Installer license is for people who work for a residential appliance installation contractor. That is a separate track; see [other TDLR electrical licenses](https://texaselectricianexam.com/guides/other-tdlr-electrical-licenses/).
- **Out-of-state contractors.** Contractor licenses do not transfer through reciprocity. Your master may qualify for a Texas master license through reciprocity; see the [reciprocity guide](https://texaselectricianexam.com/guides/texas-electrician-reciprocity/).

## Before you open for business

The contractor license is the business side of the path. The skill side is the master license, and that is where the exam is. In FY2025, TDLR reports a 19.08% pass rate on Master Calculations (see [pass rates](https://texaselectricianexam.com/pass-rates/)). If you are working toward master, our [master practice test](https://texaselectricianexam.com/practice-test/master/) and [code lookup drills](https://texaselectricianexam.com/code-lookup/) are free.

TexasElectricianExam is independent and not affiliated with TDLR, PSI or NFPA. Confirm current requirements with TDLR before you apply.

## Questions people ask

### Is there an exam for the Texas electrical contractor license?

No. The contractor license has no exam. The exam requirement sits with the Master Electrician of record, who must hold a Texas master license.

### What insurance does a Texas electrical contractor need?

As of November 2026, TDLR requires at least $300,000 per occurrence, $600,000 aggregate and $300,000 aggregate for products and completed operations, plus workers' comp proof, self-insurance authority or a non-coverage election filed with TDI.

### Can one master electrician be the master of record for two companies?

Only if the master owns more than 50% of the business. Otherwise a master's license may be assigned to one electrical contractor.

### What happens if my master of record leaves?

You must notify TDLR and designate a new Master Electrician of record. TDLR gives 30 business days to replace the master.

### Do electrical contractors need continuing education?

No. TDLR's CE page says contractors are not required to complete CE. The master of record still needs CE for their own master license.

### Does my out-of-state contractor license transfer to Texas?

No. TDLR's out-of-state page says contractor licenses do not transfer through reciprocity.

## Sources

- [TDLR: Apply for an Electrical Contractor license](https://www.tdlr.texas.gov/electricians/apply/businesses/contractor-elec.htm) (checked 2026-11-09)
- [TDLR: Renew an Electrical Contractor license](https://www.tdlr.texas.gov/electricians/renew/businesses/contractor-elec.htm) (checked 2026-11-09)
- [TDLR: Electrician FAQ](https://www.tdlr.texas.gov/electricians/elecfaq.htm) (checked 2026-11-09)
- [TDLR: Electrician Continuing Education](https://www.tdlr.texas.gov/electricians/elecce.htm) (checked 2026-11-09)
- [TDLR: Out-of-State Applicants](https://www.tdlr.texas.gov/electricians/out-of-state.htm) (checked 2026-11-09)
- [TDLR: Apply for a Master Electrician license](https://www.tdlr.texas.gov/electricians/apply/individuals/master-electrician.htm) (checked 2026-11-09)
- [TDLR: Electrician exam statistics FY2025](https://www.tdlr.texas.gov/electricians/elecExamStats2025.htm) (checked 2026-11-09)
- [TDLR: Apply for a Residential Appliance Installer license](https://www.tdlr.texas.gov/electricians/apply/individuals/appliance-installer.htm) (checked 2026-11-09)

Page: https://texaselectricianexam.com/guides/texas-electrical-contractor-license/