When it comes to home repairs and improvements, hiring the right professionals is critical. While you might feel tempted to hire an unlicensed handyman to save a few bucks, doing so could lead to significant risks and long-term costs. Here’s why working with a licensed, bonded, and insured handyman is essential for the safety, quality, and protection of your home.
What does licensed, bonded, and insured mean? Knowing what these terms mean will help you understand their importance.
Being licensed means that a handyman or contractor has met local or state authorities’ required standards and qualifications. Here are five important reasons to work with licensed contractors:
Remember, licensing requirements vary by state and sometimes by city or county. For example, in Indianapolis, where Healthy Home Construction operates, contractors must be licensed for most home improvement work, including plumbing, HVAC, electrical, and general contracting. Always check your local requirements before hiring a handyman or contractor.
By hiring a licensed professional, you’re not just paying for the work to be done; you’re investing in peace of mind, quality assurance, and legal protection for your home improvement project.
Bonding is like a financial safety net for homeowners. It protects you if the handyman doesn’t finish the job, does poor work, or breaks the contract. The handyman buys this bond, which works like insurance. If something goes wrong, you can get money from the bond to cover your losses. This way, you don’t end up paying extra because of bad or incomplete work.
As a homeowner or property manager, there are three main types of bonds you need to know:
The amount of the bond can vary, often ranging from $5,000 to $25,000 or more, depending on the state and type of work. Larger projects may require higher bond amounts. The handyman or construction company you work with will handle the cost of the bond, but they’ll likely factor it into their overall pricing.
To verify a bond, request proof and confirm with the bonding company. The handyman you work with should provide you with the bonding company’s name and contact information.
Working with a bonded handyman provides an extra level of assurance. It demonstrates that the company you’re working with is committed to fulfilling their obligations and providing you a financial safety net if something goes wrong. This is especially important for property managers and larger home improvement projects where the the financial stakes are higher.
When a handyman is insured, it means they have coverage to protect both themselves and you, the homeowner, from potential accidents, damages, and liabilities that may occur during the project. This is a critical aspect of protection for homeowners and property managers alike to understand.
Here's why you should never compromise on working with an insured contractor or handyman.
Property Protection
If a handyman accidentally damages your home (for example, if they break a pipe or damage a wall), their general liability insurance should cover the repair costs. In this all too common scenario, insurance protects you from unexpected expenses.
Worker Safety
Should the contractor or one of their employees get injured on your property, their workers' compensation insurance covers medical costs and lost wages. Without this coverage, you could potentially be held liable under your homeowner's insurance.
Neighbor Property Protection
If work done on your home damages neighboring property, the handyman's liability insurance typically covers these costs, preventing disputes with neighbors.
Quality Assurance
Insured contractors often meet higher professional standards, as insurance companies require certain qualifications and safety practices.
Peace of Mind
Knowing you're protected from potential financial risks allows you to focus on the improvements to your home rather than worrying about accidents or injuries.
Always ask for a certificate of insurance and contact the insurance company to verify the policy is current and adequate for your project.
Note: While the handyman's insurance is primary, your homeowner's insurance may provide secondary coverage. However, some policies may not cover work done by uninsured contractors, so hiring an insured handyman protects your own coverage. If you ever have questions about your insurance policy, contact your insurance agent with details on your home improvement project.
Before you’re tempted by low costs, here are some potential risks to consider when working with handymen or other home care professionals who are unlicensed, unbonded, and/or uninsured:
Lack of Expertise and Quality: Unlicensed handymen may lack the necessary training and expertise to perform the job correctly. This can result in substandard work that might not meet local building codes or safety standards, leading to further repairs and expenses down the line.
No Financial Protection: Without bonding, there is no guarantee that the job will be completed to your satisfaction or even finished at all. If the handyman disappears or does poor-quality work, you could be left with unfinished projects and out-of-pocket expenses.
Liability for Damages and Injuries: If a handyman is not insured, any accidents or damages that occur on your property could become your responsibility. You might have to pay for medical bills, lost wages, or property repairs out of your own pocket, which can be financially devastating.
Legal and Financial Risks: Hiring an unlicensed handyman can also expose you to legal risks. Many jurisdictions require contractors to be licensed for certain types of work. If an unlicensed handyman performs the job, you could face fines or legal action, and it might affect your insurance coverage or the resale value of your home.
Hiring a licensed, bonded, and insured handyman is essential for the safety and quality of your home. These credentials mean the work will be done right, and you are protected from any problems. Always check if a handyman has these credentials before starting a project. This helps ensure qualified professionals do your home improvements.
Ready to start your next home project with a trusted professional? Contact Healthy Home Construction in Indianapolis today and enjoy working with a licensed, bonded, and insured team dedicated to excellence.
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