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Licensing Flashcards

6 cards from real MHIC practice questions. Tap to flip, then mark Knew It or Still Learning โ€” missed cards come back until you master them.

Read the first 6 Licensing flashcards as text
  1. Under Maryland Home Improvement Law, which of the following is a prerequisite for obtaining an initial MHIC license?

    Answer: Passing the MHIC examination

    Passing the MHIC examination is a required step to obtain an initial Maryland home improvement contractor license.

  2. An MHIC licensee wishes to add a partner to their business. Under MHIC regulations, what must happen?

    Answer: The new partner must be listed on the MHIC license and meet all license requirements

    When ownership or management of an MHIC-licensed business changes, including adding a new partner, MHIC must be notified and the new partner must meet all applicable license requirements.

  3. Which of the following is TRUE about the MHIC license in Maryland?

    Answer: A separate MHIC license is required for each business entity a contractor operates

    Each distinct business entity (sole proprietorship, LLC, corporation) that performs home improvement work in Maryland must hold its own MHIC license.

  4. A Maryland home improvement contractor has their license suspended. During the suspension period, what are they permitted to do?

    Answer: Only complete work on contracts signed before the suspension

    During a license suspension, a contractor may only complete work already under contract as of the suspension date. They cannot solicit or enter into new home improvement contracts.

  5. Which of the following financial requirements must an MHIC license applicant meet?

    Answer: Demonstrate financial solvency and not be in bankruptcy

    MHIC applicants must demonstrate financial responsibility and solvency. Being in active bankruptcy proceedings is disqualifying.

  6. Under Maryland law, a subcontractor working for a licensed MHIC contractor on a residential project is:

    Answer: Required to hold their own MHIC license

    Subcontractors performing home improvement work in Maryland must hold their own MHIC license. They are not covered by the prime contractor's license.