Why Hiring a Licensed Contractor Is Critical
With the rising cost of home remodeling and repair, it can be tempting to hire an unlicensed contractor. However, there are a wide variety of reasons why you should think twice before accepting an unlicensed contractor’s bid. Here are five of the major ones:
- Should a problem arise, you will not have any legal recourse, as a contract with an unlicensed contractor is not legally enforceable in California.
- The homeowner assumes all liability, should a worker be injured on their property. While your homeowner’s insurance might help cover some of the cost to pay the claim, it could result in a rate increase and make it more challenging to be insured in the future.
- If the project does not meet code or the necessary permits are not pulled, you will be responsible for making all repairs to meet code and/or be properly permitted at an additional cost to you.
- Work performed by an unlicensed contractor could potentially void your homeowner’s insurance policy.
- An owner assumes liability for payment to subcontractors, should their GC be unlicensed, and is subject to liens…even if you’ve already paid the General Contractor for performed work.
Before the Santa Barbara Contractors Association accepts a contractor into our membership–and every time we renew their membership–we check to make sure their license is current and active. Thankfully, the Contractors State License Board makes it easy for you to check a state license, as well. All you need to know is the eight digit numerical license.