When it comes to home remodeling projects, it is important to make sure that all subcontractors working on the project are properly licensed and insured. This is not only important for the safety of the project, but also for the protection of the property owner. In this article, we will discuss how to make sure that all subcontractors working on your home remodeling project are properly licensed and insured.First, the property owner can act as a home improvement contractor without a license. However, if you are hiring subcontractors to do any of the work, they must be duly authorized by the state in which you live.
This means that they must have a valid license from the state's Contractors Licensing Board. Additionally, they must have liability insurance to protect against any errors they may make.Second, duly authorized subcontractors of contractors are exempt from needing a home improvement license. This means that if you hire a contractor who has a valid license from the Contractors Licensing Board, they can hire subcontractors who do not need a home improvement license. However, these subcontractors must still be properly licensed and insured.Third, if you are licensed by another board or agency in the state of Arkansas and work within the scope of that license (such as licensed electricians, plumbers, or HVAC contractors), you are exempt from needing a home improvement license.
This means that if you have a residential builder's license, you are fully licensed to perform any type of home improvement work.Fourth, if you have a business license from the Contractors Licensing Board, you can perform home improvement projects within the scope of your license without needing a home improvement license. However, you cannot perform work outside the scope of your classification.Fifth, if you own your own home, you do not need to have a license to work in it unless the landlord is a duly authorized contractor. This means that if you are doing any work on your own home, you do not need to be licensed.Finally, there is a difference between a limited and unlimited home improvement contractor. An unlimited contractor can make any size and dollar value they want as long as they remain within their classification.
A limited contractor can only make projects up to a certain dollar amount.In order to get an unlimited home improvement license, you must provide proof of workers' compensation insurance and file a financial statement (balance sheet). If you apply for a limited license, then no proof of workers' compensation insurance or financial statement is required.When hiring contractors for your home remodeling project, make sure that they provide you with an updated copy of their license along with the rest of their documentation. Additionally, make sure that each subcontractor has their own liability insurance to protect against any errors they may make. If they don't have insurance, you can add them to your own policy as an additional insured for the duration of the project.Finally, make sure that your contractor is properly licensed.
Anyone can say they have a license so it is important to check their credentials and make sure that their license is valid and up-to-date.
