Your home isn’t just a building — it’s an investment, a source of comfort, and a symbol of your hard work. When it’s time to remodel or repair it, choosing the right contractor determines not just how the project looks, but how secure you’ll feel afterward.

In Maryland, that decision carries legal weight. The Maryland Home Improvement Commission (MHIC) regulates the industry to ensure contractors meet professional, insurance, and ethical standards. Hiring an MHIC-licensed contractor is more than a good idea — it’s protection.

As a licensed general contractor (MHIC #05-164397), A.L. Brown Development Group LLC helps homeowners understand why MHIC licensing matters, what protections it offers, and how to confirm that your contractor is qualified before any work begins.

1. Legal and Contractual Protection

Maryland law requires that every home-improvement contract be written, signed, and transparent. It must include:

• The contractor’s name, address, and MHIC license number
• A detailed description of the work and materials
• Start and completion dates
• The total cost and payment schedule
• The homeowner’s right to cancel within three business days

Contractors cannot request more than one-third of the total cost as a deposit before starting work.

Licensed contractors follow these rules by law, giving homeowners clear protection and enforceable rights if disputes arise.

2. Access to the MHIC Guaranty Fund

Licensed contractors contribute to the Maryland Guaranty Fund, which protects homeowners financially.

If a licensed contractor fails to perform or abandons a project, you can file a claim and recover verified losses.

Unlicensed contractors are excluded from this protection — meaning if they disappear mid-job, you have no state-backed recourse.

3. Verified Insurance and Financial Stability

All MHIC-licensed contractors are required to carry liability insurance and meet financial standards.

If an accident, injury, or property damage occurs during your project, the contractor’s insurance covers it — not you.

Unlicensed contractors often lack coverage, leaving homeowners responsible for costly accidents or repairs.

Financial screening during licensing also helps reduce the risk of unfinished projects or bankruptcies.

4. Oversight and Accountability

Licensed contractors answer to the Maryland Home Improvement Commission.

The state can investigate complaints, issue fines, suspend, or revoke licenses for misconduct.

This system gives you a clear path for resolution if something goes wrong.

With unlicensed contractors, there’s no oversight, no enforcement, and no guaranteed accountability.

5. Professional Standards and Long-Term Value

Licensed contractors work within Maryland’s building codes and permitting systems.

That means safer, more durable projects and better long-term property value.

They understand the importance of:

• Pulling the correct permits
• Using code-compliant materials
• Following structural and safety standards

You’re not just paying for labor — you’re paying for peace of mind that your project is done right and holds its value.

The MHIC license is Maryland’s official requirement for anyone performing home improvement work on residential properties.

Under Maryland law, “home improvement” includes any alteration, repair, remodeling, or replacement of a structure designed for residential use — such as kitchens, basements, driveways, decks, or roofs.

To earn and maintain a license, contractors must:

• Pass a background and financial review
• Maintain liability insurance
• Register their business properly in Maryland
• Demonstrate professional competence in construction

When you hire someone licensed, you’re ensuring they meet state standards and can be held accountable for their work.

Legal and Financial Safeguards

Hiring a licensed contractor keeps your project within Maryland’s legal framework, giving you enforceable contracts and protecting you from fraudulent or unfair practices.

Guaranty Fund Coverage

Only licensed contractors give you access to this state-managed fund, which can reimburse you if work isn’t completed or done correctly.

Verified Insurance Coverage

Liability insurance ensures that accidents, injuries, or damages during your remodel are covered by the contractor — not your homeowner’s policy.

Accountability and Professionalism

Licensed professionals are bound by regulations and ethical standards. If issues arise, there’s a legal process for resolving them.

Property Value Protection

Code-compliant, documented work done by licensed professionals helps preserve your home’s resale value and prevents costly future problems.

While an unlicensed contractor might offer a lower upfront price, the risks are significant:

• No legal recourse if the project goes wrong.
• No access to the MHIC Guaranty Fund.
• Higher likelihood of poor workmanship or unfinished jobs.
• Possible fines or penalties if permits are mishandled.
• Insurance gaps that may leave you responsible for accidents.

In many cases, what looks like a “cheaper option” can cost homeowners thousands in repairs, legal fees, or lost investment.

Before signing any contract:

1. Ask for their MHIC license number. Legitimate contractors provide it proudly.
2. Check the license status. Verify that it’s active and in good standing.
3. Request proof of insurance. Ask for a valid Certificate of Liability Insurance.
4. Review the written contract. Make sure it includes the scope, cost, payment schedule, and cancellation rights.
5. Check for complaints. Ask the contractor about past disputes or disciplinary actions.
6. Confirm they handle permits. Proper contractors secure local building permits and inspections before starting.

These steps take only minutes and can save you from thousands in losses or legal issues later.

Hiring an MHIC-licensed contractor isn’t just about compliance — it’s about confidence. It’s the difference between risk and reliability, between uncertainty and peace of mind.

When you choose A.L. Brown Development Group LLC (MHIC #05-164397), you’re partnering with a team that:

• Maintains full licensing and insurance
• Complies with Maryland laws and MHIC regulations
• Delivers clear, transparent contracts
• Upholds craftsmanship, accountability, and trust

Your home deserves a contractor who values integrity and precision as much as you do.

Ready to start your next remodeling project with confidence?

Contact us today for a consultation.