CONTRACTOR LICENSE EXAM
QUESTIONS AND ANSWERS | 2026
UPDATE | 100% CORRECT.
Does home improvement include work done on an individual condominium unit? - ANS Yes
Does home improvement include work done on a swimming pool? - ANS Yes
Does a home improvement contract HAVE to be in writing in order to preserve your lien rights?
- ANS Yes
A county or municipality in Maryland _____________ require a contractor to get authorization
from an official in that city to be able to contract in that municipality. - ANS Cannot
A county or municipality in Maryland _______________ regulate the character, performance
and quality of home improvement. - ANS Can
How many members are there in the Maryland Home Improvement Commission? - ANS 9
Of the 9 members on the Commission, how many are experienced in home improvement? -
ANS 4
What is the term of a member on the Commission? - ANS 4 yrs.
@COPYRIGHT ALL RIGHTS RESERVED PAGE 1 OF 23
,How long must a person be a citizen and member of Maryland before they can be appointed to
the Commission? - ANS 5 yrs.
It is illegal for a member of the Commission to receive any compensation from a person
regulated by the Commission. - ANS True
How often does the Commission hold meetings at a minimum? - ANS 6 times a year
The _______________ is a full time employee of the State. - ANS Executive Director
People hired to investigate complaints about home improvement projects work under: -
ANS the Director of the Commission
If the Commission decides to sue a contractor because they believe that the contractor has or
will cause harm to another person, they can sue for: - ANS -injunctive relief against the
conduct,
-an order for satisfactory completion of the project,
-restitution.
Can the Commission request financial records at any time? - ANS Yes
The following are exempt from licensure requirements: - ANS -employees for labor services
-employees for clerical work
What is the minimum amount of liability insurance needed? - ANS $50,000
An applicant for licensure must have 2 years trade experience or comparable educational
training. - ANS True
The Commission can ask an applicant for information about the applicant's... - ANS -character
@COPYRIGHT ALL RIGHTS RESERVED PAGE 2 OF 23
, -experience
-financial stability
The financial information provided by an applicant is public information. - ANS No
If an application for a license is denied, the applicant can request a hearing within
______________ after the notice of denial is mailed. - ANS 10 days
A salesperson will not be issued a license until the salesperson becomes employed or
contractually involved with a licensed contractor. - ANS True
How many contractors may a salesperson represent? - ANS 2
Jim Smith is a Sales Representative for ABC Construction. Can he accept a position as a Sales
Representative for Top Notch Construction without first informing ABC Construction of his
intentions and also informing Top Notch Construction of his existing situation with ABC
Construction? - ANS No
When a sales person is no longer associated with a company they represented, the contractor
must: - ANS give the commission written notice
The Commission may suspend or revoke a license if the licensee: - ANS -lies on their
application
-practices fraud while being licensed
-is convicted of a felony
Licensed Home Improvement Contractors are also required to hold a construction license issued
by the Clerk of the Court under Title 17. - ANS False
@COPYRIGHT ALL RIGHTS RESERVED PAGE 3 OF 23
QUESTIONS AND ANSWERS | 2026
UPDATE | 100% CORRECT.
Does home improvement include work done on an individual condominium unit? - ANS Yes
Does home improvement include work done on a swimming pool? - ANS Yes
Does a home improvement contract HAVE to be in writing in order to preserve your lien rights?
- ANS Yes
A county or municipality in Maryland _____________ require a contractor to get authorization
from an official in that city to be able to contract in that municipality. - ANS Cannot
A county or municipality in Maryland _______________ regulate the character, performance
and quality of home improvement. - ANS Can
How many members are there in the Maryland Home Improvement Commission? - ANS 9
Of the 9 members on the Commission, how many are experienced in home improvement? -
ANS 4
What is the term of a member on the Commission? - ANS 4 yrs.
@COPYRIGHT ALL RIGHTS RESERVED PAGE 1 OF 23
,How long must a person be a citizen and member of Maryland before they can be appointed to
the Commission? - ANS 5 yrs.
It is illegal for a member of the Commission to receive any compensation from a person
regulated by the Commission. - ANS True
How often does the Commission hold meetings at a minimum? - ANS 6 times a year
The _______________ is a full time employee of the State. - ANS Executive Director
People hired to investigate complaints about home improvement projects work under: -
ANS the Director of the Commission
If the Commission decides to sue a contractor because they believe that the contractor has or
will cause harm to another person, they can sue for: - ANS -injunctive relief against the
conduct,
-an order for satisfactory completion of the project,
-restitution.
Can the Commission request financial records at any time? - ANS Yes
The following are exempt from licensure requirements: - ANS -employees for labor services
-employees for clerical work
What is the minimum amount of liability insurance needed? - ANS $50,000
An applicant for licensure must have 2 years trade experience or comparable educational
training. - ANS True
The Commission can ask an applicant for information about the applicant's... - ANS -character
@COPYRIGHT ALL RIGHTS RESERVED PAGE 2 OF 23
, -experience
-financial stability
The financial information provided by an applicant is public information. - ANS No
If an application for a license is denied, the applicant can request a hearing within
______________ after the notice of denial is mailed. - ANS 10 days
A salesperson will not be issued a license until the salesperson becomes employed or
contractually involved with a licensed contractor. - ANS True
How many contractors may a salesperson represent? - ANS 2
Jim Smith is a Sales Representative for ABC Construction. Can he accept a position as a Sales
Representative for Top Notch Construction without first informing ABC Construction of his
intentions and also informing Top Notch Construction of his existing situation with ABC
Construction? - ANS No
When a sales person is no longer associated with a company they represented, the contractor
must: - ANS give the commission written notice
The Commission may suspend or revoke a license if the licensee: - ANS -lies on their
application
-practices fraud while being licensed
-is convicted of a felony
Licensed Home Improvement Contractors are also required to hold a construction license issued
by the Clerk of the Court under Title 17. - ANS False
@COPYRIGHT ALL RIGHTS RESERVED PAGE 3 OF 23
