California Codes, Business and Professions Code - BPC, Division 3 — Professions and Vocations Generally, Chapter 9 — Contractors, Article 2 — Application of Chapter, Section 7027.4

(a) It is a cause for discipline for any contractor to advertise that he or she is “insured” or has insurance without identifying in the advertisement the type of insurance, including, for example, “commercial general liability insurance” or “workers’ compensation insurance” that is carried by the contractor. The contractor may abbreviate the title of the type of insurance.

(b) It is cause for discipline for a contractor to advertise that he or she is “bonded” if the reference is to a contractor’s license bond required pursuant to Section 7071.6 or to a disciplinary bond required pursuant to Section 7071.8.

(c) “Advertise,” as used in this section, includes, but is not limited to, the issuance of any card, sign, or device to any person, the causing, permitting, or allowing of any sign or marking on or in any building or structure or business vehicle or in any newspaper, magazine, or by airwave or any electronic transmission, or in any directory under a listing for construction or work of improvement covered by this chapter, for the direct or indirect purpose of performing or offering to perform services that require a contractor’s license.

Notes

Establishes disciplinary grounds when a contractor advertises being insured without identifying the insurance type, or advertises being bonded when referring to the required contractor license bond or disciplinary bond. Defines advertising broadly to include cards, signs, buildings, vehicles, print, airwaves, electronic transmissions, and directories used to offer contractor-licensed services.

Use as reference

Lexinter.net | California Code, Business and Professions Code - BPC § 7027.4 | https://laws.lexinter.net/codes/california/business-and-professions-code/division-3/chapter-9/article-2/section-7027-4

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