Do I Need a License or Certification to Operate an Engineering Firm?
- Nate Jones, CPCU, ARM, CLCS, AU
- Sep 8
- 3 min read
If you're planning to start an engineering firm, one of the first questions you’ll face is: Do I need a license or certification to operate legally? The answer is yes—in most cases, both the firm and the individual engineers must meet specific licensing and registration requirements.
At Wexford Insurance, we help engineering firms across civil, structural, mechanical, electrical, and specialty disciplines protect their businesses with tailored insurance solutions. But before you get insured, it’s critical to understand the legal and licensing requirements that apply to your firm.
Licensing Requirements for Engineering Firms
1. Individual Engineer Licensure (PE License)
All 50 U.S. states and Washington, D.C. require individual engineers to be licensed as Professional Engineers (PEs) to offer or supervise engineering services to the public.
To become a PE, you typically need to:
Earn a degree from an ABET-accredited engineering program
Pass the Fundamentals of Engineering (FE) exam
Gain four years of supervised experience
Pass the Principles and Practice of Engineering (PE) exam
👉Read More: How to Get Licensed – NCEES
2. Engineering Firm Licensure (Certificate of Authorization)
In 34 states, engineering firms must obtain a Certificate of Authorization (COA) or similar firm license from the state engineering board before offering services. In 8 additional states, firms must meet other registration requirements.
👉Read More: 50-State Engineering Firm Licensing Guide
Common requirements include:
Registering your business with the Secretary of State
Having a licensed PE in responsible charge
Meeting ownership or management criteria (e.g., majority ownership by licensed engineers)
Complying with naming conventions (some states require “engineering” in the firm name)
💡 Tip: Some states require firm licensure before registering with the Secretary of State—check the order of operations carefully.
3. Certifications for Government and Public Contracts
If your firm plans to bid on federal, state, or municipal contracts, you may need:
A D-U-N-S number and SAM.gov registration
ISO certifications (for quality assurance)
Prequalification with local agencies or DOTs
A Statement of Qualifications (SF 330) for federal A/E contracts
👉Read More Architect-Engineering Contracting – DAU
Why Licensing and Certification Matter
Operating without proper licensure can result in:
Fines and legal penalties
Loss of contracts or disqualification from bids
Damage to your firm’s reputation
Voided insurance coverage
Licensing also builds trust with clients, demonstrates professionalism, and is often a requirement for insurance coverage.
How Wexford Insurance Supports Licensed Engineering Firms
At Wexford Insurance, we understand the unique risks engineering firms face—from design liability to jobsite accidents. That’s why we offer specialized insurance programs tailored to firms in civil, structural, mechanical, electrical, and specialty engineering. We help you secure:
Professional Liability Insurance (Errors & Omissions) – protects against claims related to design flaws, miscalculations, or project delays.
General Liability Insurance – covers third-party injuries, property damage, and legal defense costs.
Commercial Property Insurance – protects your office, equipment, and physical assets from fire, theft, and natural disasters.
Workers’ Compensation Insurance – covers employee injuries and medical expenses.
Commercial Auto Insurance – insures vehicles used for site visits, client meetings, or transporting equipment.
Tools and Equipment Insurance – covers theft, loss, or damage to specialized engineering tools and technology.
Whether you're just starting out or expanding across multiple states, Wexford Insurance helps you stay compliant, credible, and protected.
Final Thoughts
Yes—you do need a license or certification to operate an engineering firm in most states. Both individual engineers and the firm itself must meet specific legal and regulatory requirements. Understanding these rules is essential to launching and growing a compliant, credible, and profitable business.
If you're starting an engineering firm and want expert guidance on insurance and compliance, Wexford Insurance is here to help.