An MHIC license provides a baseline requirement from the State of Maryland for those looking to perform construction work legitimately. The requirements for MHIC licensing protect consumers like you.
Do you want to know if your roofing company is going to follow quality and safety guidelines? Perhaps you want to verify they have the experience claimed in ads. Keep reading to find out about licenses that tell you these things!
In this article, we will discuss what an MHIC License is and why it matters. We’ll also include how to find out if a contractor is licensed or not.
What Is an MHIC License?
Applicants for an MHIC License must provide proof of at least two years of experience in home improvement-related work. On top of that, they need to prove they have some proof of financial solvency, usually in the form of an outline of total assets, liabilities, credit reports, and net worth.
If the contractor represents a corporation (a legal entity in the form of an LLC etc.) then the incorporation articles must also be in good standing with the state. And lastly, MHIC holders are required to hold a certain amount of insurance.
What is the MHIC?
The MHIC (Maryland Home Improvement Commission) is the regulatory agency that oversees contractors and salespeople in the home improvement space, including alterations, remodeling, repairs, etc. The agency often investigates complaints by homeowners.
MHIC Licenses Are Consumer Protection
Ultimately, the MHIC License is a form of protection to the consumer. We often hear fly-by-night contractors coming through a neighborhood after a storm to canvas work. They may, or may not, hire licensed sub-contractors to perform the job.
Why is this bad? Because all of the protections that the MHIC and the State of Maryland put into place are side-stepped.
Only Hire Licensed Contractors
Whenever you are looking to hire anyone for a remodeling job, whether it is a new roofing system, windows, or siding, it is imperative to hire someone with an MHIC number.
We also encourage you to request a copy of their insurance packet. This is standard practice and easy to do. All you have to do is ask, “Can you provide me with your current insurance declarations page?”
An independent insurance agent can help you decode the terms of the insurance document if you have questions.
Does My Roofer in Cecil County have MHIC Licensing?
The easiest way to determine if your contractor is licensed is to ask. Another is to look at any of their advertising.
Home improvement law requires that MHIC contractors include their trade name (or business name) along with the MHIC number on all advertising. This includes business cards, print and e-mail advertising, websites, social media, TV, and radio adverts.
The MHIC number must be displayed on both sides of company vehicles. So if you do not feel comfortable asking the person if they are licensed, look outside at their vehicle. Remember that not all contractors follow these guidelines, which doesn’t necessarily mean they aren’t permitted.
Another fast way to check out your contractor is to pull up their information online. https://www.dllr.state.md.us/ is an excellent resource for this.
You can type in the person’s name or their company’s name, and the site will provide additional information:
The person who owns the company
The trade name
Address of operations
The category in which they are filed with the state (such as contractor/salesman)
MHIC expiration date.
It is essential to check the date of the license expiration. If it is expired, it may mean they have yet to renew. If a contractor doesn’t show up, it may mean they aren’t licensed.
What is the MHIC Guaranty Fund?
The MHIC has a Guaranty Fund, funded by the fees of holding an MHIC license. Its purpose is to compensate homeowners for loss due to poor workmanship or failure to perform the job as agreed upon in your contract.
The MHIC can award monetary damage against licensed contractors and prosecute those violating the law and regulations of the MHIC. If you are working with a contractor who is not licensed, you are not protected by any MHIC statute.
An important note about the fund is that there is a maximum amount a homeowner may be able to recover, depending upon the circumstances.
Conclusion: MHIC Licensing Matters
Residents in Harford County and Cecil County, Maryland, need to know the roofing contractor they are working with and what protections and guarantees back their work. Always ask your roof repair and replacement service if they are licensed and insured.
Make sure to protect yourself and make informed decisions when choosing a company to perform your remodel in the Greater Baltimore region.
If you have any questions about Tar Heel Construction Group LLCs workmanship, licenses, guarantees, and general information please do not hesitate to call. Also, we have a lot of information on this website and have a great web presence across Google and other social media platforms.
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