MHIC EXAM QUESTIONS AND ANSWERS 100% PASS
1.resolve the claim, the commission may: - ANSWERDeny the claim
2.If If a contractor fails to pay an assessment to be credited to the Guaranty Fund within 60 days after
notice someone is found performing a home improvement without an MHIC License for the first time,
what penalty are the subjected to? - ANSWERA fine of up tp $1,000 and / or imprisonment not
exceeding 6 months
3.What is the penalty for accepting a false completion certification? - ANSWERA fine of up to $5,000 and
/ or imprisonment not exceeding 3 years
4.What is the penalty if someone is found performing a Home Improvement without an MHIC License
for the second time ? - ANSWERA fine up to $5,000 and / or imprisonment not exceeding 2 years
5.Upon conviction, what is the criminal penalty for advertising without a MHIC License number? -
ANSWERA fine of up to $1,000 and/ or imprisonment not exceeding 6 months
6.A mold remediation services licensee must be covered by any insurance of at least: -
ANSWER$1,000,000
7.Who signs a Home Improvement contract? - ANSWERContractor, homeowner, and salesperson
8.The mold remediation services subtitle of the Maryland Home Improvement Law does not apply to the
performance of mold remediation in areas less than __ square feet? - ANSWER10
9.The display of an MHIC number on both sides of a vehicle should be no smaller than: - ANSWER3
inches
10.Mr.Smith hired a contractor to build an addition to his house. Who should apply for the building
permit with the County? - ANSWERThe contractor
11.How long does one have to notify the Commission of an important change in their business
information? - ANSWER10 days
12.How long is the contractor given to disapprove a contract stipulates it is subject to their approval? -
ANSWER10 days
13.What address should the contractor submit to the commission - ANSWERPhysical address
14.If the commission approves a homeowners Guaranty Fund claim, what type of loss will be paid? -
ANSWERActual loss
15.What civil citation is imposed on a contractor who, for the first time, is found using misleading or
deceptive advertisements? - ANSWER$300
, 16.What civil citation does the Commission issue to a contractor, who, for a second time, does not give a
homeowner a copy of the contract ? - ANSWER$1,000
How long does a homeowner have to file a complaint against a licensee with the commission? -
ANSWER3 years from the date of the home improvement contract
The parties shall affix their initials and date immediately adjacent to any mandatory arbitration clause in
a home improvement contract: - ANSWERAt the time of theWhat does MHIC mean? -
ANSWERMaryland Home Improvement Commission
What is the primary function of the MHIC? - ANSWERTo protect the health and safety of the general
public
What type of home improvement licenses are there in Maryland? - ANSWERContractor and salesperson
The contractors license enables the licensee to work as: - ANSWERcontractor, subcontractor, and
salesperson
Don smith is applying with the commission to obtain his Home Improvement License. He took the exam
and failed on his first try. When will Mr.Smithh be able to retake his exam? - ANSWER30 days
When is an MHIC license applicant exempt from taking the Home Improvement Law and Regulations
exam? – ANSWERNever
John Thompson wants to apply for the Contractor's License, but he does not have the two years work
experience in construction required by the MHIC. Can he still apply? - ANSWERYes, if he can prove that
he has the amount of education and training that regulations adopted by the commission established as
being equal or comparable to two years work experience
Of the following, which are requirements that MUST be met when applying for and obtaining the
Contractor's license:
A) To Pass the test and pay fees
B) To prove two years worth of work experience in the construction field
C) To maintain a general liability insurance of at least $50,000 and to demonstrate financial solvency
D) All of the above - ANSWERAll of the aboveWho regulates Home Improvement businesses in
Maryland? - ANSWERThe Maryland Home Improvement Commission
Paula Johnson has resided in the state of Maryland for three years and six months, and she wants to
become a commissioner with the MHIC. Can she become a member? - ANSWERNo, she has to wait one
year and six months
When does the term of the commissioner begin and how long is it for? - ANSWERIt begins on the 1st of
July and the term is for one year
Who shall appoint the Commission's Executive Director? - ANSWERThe secretary of the labor
department
1.resolve the claim, the commission may: - ANSWERDeny the claim
2.If If a contractor fails to pay an assessment to be credited to the Guaranty Fund within 60 days after
notice someone is found performing a home improvement without an MHIC License for the first time,
what penalty are the subjected to? - ANSWERA fine of up tp $1,000 and / or imprisonment not
exceeding 6 months
3.What is the penalty for accepting a false completion certification? - ANSWERA fine of up to $5,000 and
/ or imprisonment not exceeding 3 years
4.What is the penalty if someone is found performing a Home Improvement without an MHIC License
for the second time ? - ANSWERA fine up to $5,000 and / or imprisonment not exceeding 2 years
5.Upon conviction, what is the criminal penalty for advertising without a MHIC License number? -
ANSWERA fine of up to $1,000 and/ or imprisonment not exceeding 6 months
6.A mold remediation services licensee must be covered by any insurance of at least: -
ANSWER$1,000,000
7.Who signs a Home Improvement contract? - ANSWERContractor, homeowner, and salesperson
8.The mold remediation services subtitle of the Maryland Home Improvement Law does not apply to the
performance of mold remediation in areas less than __ square feet? - ANSWER10
9.The display of an MHIC number on both sides of a vehicle should be no smaller than: - ANSWER3
inches
10.Mr.Smith hired a contractor to build an addition to his house. Who should apply for the building
permit with the County? - ANSWERThe contractor
11.How long does one have to notify the Commission of an important change in their business
information? - ANSWER10 days
12.How long is the contractor given to disapprove a contract stipulates it is subject to their approval? -
ANSWER10 days
13.What address should the contractor submit to the commission - ANSWERPhysical address
14.If the commission approves a homeowners Guaranty Fund claim, what type of loss will be paid? -
ANSWERActual loss
15.What civil citation is imposed on a contractor who, for the first time, is found using misleading or
deceptive advertisements? - ANSWER$300
, 16.What civil citation does the Commission issue to a contractor, who, for a second time, does not give a
homeowner a copy of the contract ? - ANSWER$1,000
How long does a homeowner have to file a complaint against a licensee with the commission? -
ANSWER3 years from the date of the home improvement contract
The parties shall affix their initials and date immediately adjacent to any mandatory arbitration clause in
a home improvement contract: - ANSWERAt the time of theWhat does MHIC mean? -
ANSWERMaryland Home Improvement Commission
What is the primary function of the MHIC? - ANSWERTo protect the health and safety of the general
public
What type of home improvement licenses are there in Maryland? - ANSWERContractor and salesperson
The contractors license enables the licensee to work as: - ANSWERcontractor, subcontractor, and
salesperson
Don smith is applying with the commission to obtain his Home Improvement License. He took the exam
and failed on his first try. When will Mr.Smithh be able to retake his exam? - ANSWER30 days
When is an MHIC license applicant exempt from taking the Home Improvement Law and Regulations
exam? – ANSWERNever
John Thompson wants to apply for the Contractor's License, but he does not have the two years work
experience in construction required by the MHIC. Can he still apply? - ANSWERYes, if he can prove that
he has the amount of education and training that regulations adopted by the commission established as
being equal or comparable to two years work experience
Of the following, which are requirements that MUST be met when applying for and obtaining the
Contractor's license:
A) To Pass the test and pay fees
B) To prove two years worth of work experience in the construction field
C) To maintain a general liability insurance of at least $50,000 and to demonstrate financial solvency
D) All of the above - ANSWERAll of the aboveWho regulates Home Improvement businesses in
Maryland? - ANSWERThe Maryland Home Improvement Commission
Paula Johnson has resided in the state of Maryland for three years and six months, and she wants to
become a commissioner with the MHIC. Can she become a member? - ANSWERNo, she has to wait one
year and six months
When does the term of the commissioner begin and how long is it for? - ANSWERIt begins on the 1st of
July and the term is for one year
Who shall appoint the Commission's Executive Director? - ANSWERThe secretary of the labor
department
