VA HIC License Exam Prep Study Guide | 2026 Insurance
Licensing Test
1. Which agency regulates Home Improvement Contractors in Virginia?
A. Virginia Department of Labor
B. Virginia Supreme Court
C. Virginia DPOR
D. Department of Housing and Urban Development
✅ Correct Answer: C
📘 Rationale: The Virginia Department of Professional and Occupational Regulation
(DPOR) oversees contractor licensing and enforcement.
2. A Home Improvement Contractor (HIC) in Virginia must be licensed when
the total contract value exceeds:
A. $500
B. $1,000
C. $2,500
D. $5,000
✅ Correct Answer: C
📘 Rationale: Any home improvement project $2,500 or more requires proper licensure.
3. How long is a Virginia contractor license valid?
A. 1 year
B. 2 years
C. 3 years
D. 5 years
✅ Correct Answer: B
📘 Rationale: Contractor licenses in Virginia must be renewed every 2 years.
4. What is the minimum age to obtain a contractor license in Virginia?
,A. 18
B. 19
C. 21
D. 25
✅ Correct Answer: A
📘 Rationale: Applicants must be at least 18 years old.
5. Which class of license allows projects up to $10,000 per contract and $150,000
annually?
A. Class A
B. Class B
C. Class C
D. Journeyman
✅ Correct Answer: C
📘 Rationale: Class C is for smaller-scale projects with limited monetary thresholds.
SECTION B: CONTRACT REQUIREMENTS &
CONSUMER PROTECTION
6. A written contract is required for home improvement projects valued at:
A. Over $500
B. Over $1,000
C. Over $2,500
D. All projects
✅ Correct Answer: C
📘 Rationale: Virginia law mandates written contracts for projects $2,500 or more.
7. Which item must be included in a valid HIC contract?
A. Contractor’s social security number
B. Estimated project completion date
C. Client’s credit score
D. Bank routing number
, ✅ Correct Answer: B
📘 Rationale: Contracts must include start and completion dates, scope of work, and payment
terms.
8. What is the maximum deposit a contractor may collect before work begins?
A. 5%
B. 10%
C. 25%
D. No limit
✅ Correct Answer: B
📘 Rationale: Virginia limits advance deposits to 10% of the contract price.
9. How many days does a homeowner have to cancel a home improvement
contract?
A. 1 day
B. 2 days
C. 3 business days
D. 7 days
✅ Correct Answer: C
📘 Rationale: The Virginia Consumer Protection Act grants a 3-business-day right of
rescission.
10. Failure to provide a cancellation notice may result in:
A. Automatic license renewal
B. Contract voidability
C. Tax penalties only
D. Federal prosecution
✅ Correct Answer: B
📘 Rationale: Without proper notice, the contract may be voidable by the homeowner.
Licensing Test
1. Which agency regulates Home Improvement Contractors in Virginia?
A. Virginia Department of Labor
B. Virginia Supreme Court
C. Virginia DPOR
D. Department of Housing and Urban Development
✅ Correct Answer: C
📘 Rationale: The Virginia Department of Professional and Occupational Regulation
(DPOR) oversees contractor licensing and enforcement.
2. A Home Improvement Contractor (HIC) in Virginia must be licensed when
the total contract value exceeds:
A. $500
B. $1,000
C. $2,500
D. $5,000
✅ Correct Answer: C
📘 Rationale: Any home improvement project $2,500 or more requires proper licensure.
3. How long is a Virginia contractor license valid?
A. 1 year
B. 2 years
C. 3 years
D. 5 years
✅ Correct Answer: B
📘 Rationale: Contractor licenses in Virginia must be renewed every 2 years.
4. What is the minimum age to obtain a contractor license in Virginia?
,A. 18
B. 19
C. 21
D. 25
✅ Correct Answer: A
📘 Rationale: Applicants must be at least 18 years old.
5. Which class of license allows projects up to $10,000 per contract and $150,000
annually?
A. Class A
B. Class B
C. Class C
D. Journeyman
✅ Correct Answer: C
📘 Rationale: Class C is for smaller-scale projects with limited monetary thresholds.
SECTION B: CONTRACT REQUIREMENTS &
CONSUMER PROTECTION
6. A written contract is required for home improvement projects valued at:
A. Over $500
B. Over $1,000
C. Over $2,500
D. All projects
✅ Correct Answer: C
📘 Rationale: Virginia law mandates written contracts for projects $2,500 or more.
7. Which item must be included in a valid HIC contract?
A. Contractor’s social security number
B. Estimated project completion date
C. Client’s credit score
D. Bank routing number
, ✅ Correct Answer: B
📘 Rationale: Contracts must include start and completion dates, scope of work, and payment
terms.
8. What is the maximum deposit a contractor may collect before work begins?
A. 5%
B. 10%
C. 25%
D. No limit
✅ Correct Answer: B
📘 Rationale: Virginia limits advance deposits to 10% of the contract price.
9. How many days does a homeowner have to cancel a home improvement
contract?
A. 1 day
B. 2 days
C. 3 business days
D. 7 days
✅ Correct Answer: C
📘 Rationale: The Virginia Consumer Protection Act grants a 3-business-day right of
rescission.
10. Failure to provide a cancellation notice may result in:
A. Automatic license renewal
B. Contract voidability
C. Tax penalties only
D. Federal prosecution
✅ Correct Answer: B
📘 Rationale: Without proper notice, the contract may be voidable by the homeowner.
