Contractor Licensing in Illinois: Roofers, Plumbers and Local Licenses

“Do I need a license in Illinois?” It depends on the trade and the town. The Illinois Attorney General’s guide for homeowners puts the state’s starting point plainly: “General contractors are not required to be licensed or certified; however, they may need to obtain a permit from the municipality in which they are to provide contracting services.” The same guide names two trades the state does license: roofers and plumbers. On top of that sits a consumer law that covers almost every home job, and then whatever the city requires. Here are the four layers, in order.

Roofing: a state license for the business

Under the Illinois Roofing Industry Licensing Act, it is unlawful to engage in the business of providing professional roofing services, or to hold yourself out as a roofing contractor, without a license from the Department of Financial and Professional Regulation (IDFPR), and no roofing or waterproofing work may be done except by a licensed roofing contractor or a qualifying party (225 ILCS 335/9).

Limited or unlimited

A limited license covers contractors whose roofing business is limited to residential properties of 8 units or less; an unlimited license covers residential, commercial and industrial work (335/2). The line carries through to permits: a limited licensee may only be issued permits for residential properties of 8 units or less (335/5(a-3)).

What the application takes

• Public liability and property damage insurance in the amounts IDFPR sets, workers’ compensation insurance for your employees, and an unemployment insurance employer account number (335/3(2)).
• A continuous surety bond of $10,000 for a limited license or $25,000 for an unlimited one (335/3(2)(d)). If the bond is terminated and not replaced, the license is cancelled without a hearing (335/3.2).
• A qualifying party, one person who passes the state exam for the business and takes part in its day-to-day operations (335/3 and 3.5). The Act says the qualifying party must be an employee on whom the business withholds tax and pays FICA and workers’ comp, and “shall not receive a Form 1099” from it (335/3(3.5)).

Where the number goes

The license number and the name as it appears on the license go on all contracts and bids (335/5(a)), in every advertisement (335/5(d)) and on all commercial vehicles used in the business (335/5.1, with a civil penalty of $250 to $1,000). Your license number in ads covers the same kind of rule in other states.

The contract

As amended in 2025, the Act says that before any roofing work the contractor must give the owner a written contract signed by both, stating at least the scope and materials, the approximate dates, the approximate cost for a repair, a street address (not a post office box), email address and phone number, the surety and liability insurer, and a cancellation policy that lets the owner rescind and get a full refund of any deposit within 72 hours. It must also say that if insurance pays for the work, the contractor cannot pay or rebate the deductible, and it must state in bold type that the contractor will hold the owner’s payments in trust until the materials are delivered to the site or a majority of the work is done (335/5.5). Roofers and insurance claims covers the deductible question nationally.

Exemptions and penalties

The Act does not require a license for work on your own property or done for no pay, and it lets a general contractor sell roofing it subcontracts to a licensed roofer (335/9(3) and 11). Unlicensed roofing can bring a civil penalty of up to $15,000 for each offense (335/10a), and the Act makes a first violation a Class A misdemeanor (335/9.8).

Plumbing: licensed plumbers and a registered contractor

The Illinois Plumbing License Law is run by the Department of Public Health (IDPH). It says “all planning and designing of plumbing systems and all plumbing shall be performed only by plumbers licensed under the provisions of this Act”: licensed plumbers and licensed apprentice plumbers (225 ILCS 320/3(1)). An owner who lives in a single-family home may do the plumbing in it, but may not hire anyone other than a licensed plumber to help (320/3(2)).

• The firm. Employees who do plumbing must be licensed plumbers or licensed apprentices, and at least one partner or corporate officer must be a licensed plumber (320/3(3)).
• Apprentices. At least 16 years old and sponsored, and no licensed plumber may supervise more than 2 licensed apprentices at the same time (320/3(4)).
• Contractor registration. A plumbing contractor registers with IDPH every year; registrations expire on the last day of September. It needs a certificate of insurance showing at least $100,000 per occurrence of general liability, $300,000 aggregate for bodily injury, property damage of $50,000 (or a $300,000 combined single limit), workers’ compensation with $500,000 employer’s liability, and a $20,000 indemnification bond or letter of credit (320/13.1).
• Advertising. A business that advertises plumbing displays a licensed plumber’s license at its place of business, keeps a register of its plumbers’ and apprentices’ license numbers, and puts the license number on its vehicles and in its ads (320/5).

Two local wrinkles. A city of 500,000 or more may run its own plumber licensing board, and a plumber licensed under such an ordinance or by IDPH may work anywhere in the state (320/16). Chicago, for one, issues its own plumbing contractor licenses. And a town that requires plumbing permits may not issue one without checking that the applicant holds a valid plumbing license or is the owner-occupant of the single-family home (320/18). Unlicensed or unregistered plumbing can bring a civil penalty of up to $5,000 for each offense (320/29.5).

Landscapers take note: the same law has every irrigation contractor who installs lawn sprinkler systems register with IDPH each year, with insurance, a $20,000 bond or letter of credit, and at least one employee who has passed an approved class in sprinkler design and installation (320/2.5).

Nearly every home job: the Home Repair and Remodeling Act

This one has no license, but it reaches most contractors who work on homes. It covers fixing, replacing, altering, improving or adding to a residence of up to 6 units, from roofs and windows to fences, driveways, furnaces and plumbing fixtures, but not maintenance, service or repairs under $500, landscaping, or carpet work (815 ILCS 513/10). The main duties:

1. A written contract over $1,000. Before starting work over $1,000, give the customer a written contract or work order to sign, with the total cost, the parts and materials “listed with reasonable particularity,” any charge for the estimate, and your business name and address (513/15).
2. The consumer rights pamphlet. Hand over the state’s “Home Repair: Know Your Consumer Rights” pamphlet before the contract is signed, with a signed acknowledgment form for contracts over $1,000, and the pamphlet alone for smaller ones (513/20).
3. Insurance. Liability coverage of $100,000 per person and $300,000 per occurrence for bodily injury and $50,000 per occurrence for property damage, unless your net worth is at least $1,000,000 (513/25).
4. Arbitration clauses. If your contract has binding arbitration or a jury-trial waiver, tell the customer, and have her write “accept” or “reject” and sign next to each; a clause she was not given that choice on is void (513/15.1).
5. Older customers. A buyer aged 65 or older who agrees to work at home with an uninvited solicitor may cancel within 15 full business days (513/22). The 3-day right to cancel covers the federal rule.
6. Storm work. No paying or rebating an insurance deductible, and no climbing a roof to inspect for damage without the owner’s permission (513/18).

A customer who suffers actual damage from a violation can sue under the state’s Consumer Fraud Act (513/30). What a home improvement contract must say covers contract terms more broadly.

The city: Chicago as the example

The roofing Act keeps local power over permits, fees and inspections, and lets cities pass stricter rules (335/11). Chicago is the clearest example of a city that licenses contractors itself.

General contractor license. The Department of Buildings requires one “to perform most types of building construction, alteration, repair, and demolition work within the City of Chicago,” including bidding on such work. The class depends on project size, and the city’s figures for 2026 are:

The license is valid for one year and is inactivated if the insurance policy expires. Electrical, plumbing and mason contractors, drain layers and some others hold their own city licenses for that work instead.

Home repair license. Other residential work can fall under a separate city business license for home repair, from the Department of Business Affairs and Consumer Protection. The city’s page for it says a general contractor license is required instead if the work needs a building permit, that a general contractor license holder does not need a home repair license, and that a home repair licensee may not pull building permits; the general contractor page also lists some permit-exempt work among the work its license covers, so read both pages for your jobs. The city lists a $1,000 fee for a two-year license, $300,000 per occurrence of liability insurance, and operating rules: the license number on contracts, estimates, ads and vehicles, a written estimate before any work, and the customer’s approval before charging more than the estimate.

Outside Chicago, ask the building department of each town you work in whether it registers or licenses contractors and what its permits require. Finding your state’s rule in 15 minutes has a method for checking, and Texas is a state with a similar pattern.

The short checklist

1. Roofing or waterproofing a roof? A state roofing license from IDFPR, limited or unlimited.
2. Plumbing or lawn sprinklers? A licensed plumber doing the work, and the contractor or irrigation registration with IDPH.
3. Any home job over $1,000? The written contract and the signed pamphlet acknowledgment, plus the required insurance.
4. Working in Chicago? A general contractor or home repair license, depending mainly on whether the work needs a permit.
5. Anywhere else? The town’s building department, before you bid.
6. License numbers on contracts, ads and trucks wherever a law asks for them.

General information, not legal or tax advice. Rules change and vary by state; check with the agency named above or a professional for your situation.