3/18/25, 8:01 MHIC Flashcards |
AM
MHIC EXAM QUESTIONS AND ANSWERS WITH COMPLETE
SOLUTIONS VERIFIED
Terms in this set (121)
the addition to or alteration, conversion, improvement, modernization, remodeling,
Home improvement
repair, or replacement of a building or part of the building
new home construction or work done to comply with the guarantee of completion
Excluded (is not a) home improvement
for a new building
sale of materials, if the seller does not arrange to perform, or does not perform,
Excluded (is not a) home improvement
either directly or indirectly, the installation of the materials
construction, improvement, or replacement on the land adjacent to the residents of
Included (is a) home improvement a driveway, fallout shelter, fence, garage, landscaping, deck, pier, porch or swimming
pool
Included (is a) home improvement installation in the residence of an awning, fire alarm, or storm window
Excluded (is not a) home improvement work done on commonly owned areas of condominiums
a person who performs or offers or agrees to perform a home improvement for an
Contractor
owner. And employee of the owner is not a contractor.
an agreement between a homeowner in a contractor to perform a home
Home improvement contract
improvement
Handyman licensing is required to hold a MHIC license, no matter how small the contract.
License renewal time frame every two years the licensee must apply
Licensing exemption an employee of a contractor who is not a salesperson
an employee of a licensed contractor who sells the home improvement at a retail
A licensing exemption
establishment
A licensing exemption a telephone solicitor
An exemption from licensing an employee of a subcontractor
A licensing exemption a security system technician
someone who holds another state license and who is working with in the scope of
An exemption from licensing by MHIC
that license, such as an architect or plumber, and their salesperson
Exam scores are good for how long? 2 years
Passing exam percentage 70%
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, 3/18/25, 8:01 MHIC Flashcards |
AM
Amount of general liability insurance $50,000
Experience required to be licensed 2 years of trade experience or comparable educational training
Trade experience includes participation in a registered apprentice program
Trade experience includes employment in performing home improvement
employment in performing commercial or residential construction, repairs or
Trade experience
renovations
Trade experience includes participation in a community service or charitable building or renovation program
performing repairs and improvements that require a building permit on one's own
Trade experience includes
home or the home of family members
Salespersons are licensed as an individual
Guaranty Fund compensates homeowners actual loss
for
protects homeowners who hire a licensed home improvement contractors against
Guaranty Fund
actual loss caused by an incomplete, incorrect or unworkmanlike job
Total maximum guaranty fund payment per $100,000
contractor
Contractor response time for a complaint 10 days
Limit at which commission may pay a claim $5,000
without a hearing
Who must receive a signed copy of the homeowner
contract prior to work starting?
Required to be in a home improvement contractors name, address, and MHIC license number
contract
Required to be in a home improvement consumer notice that gives telephone number for Commission
contract
Required to be in a home improvement notice of formal mediation of disputes, that the MHIC administers the guaranty
contract fund, homeowner may request that contractor purchase performance bond
Required to be in a home improvement dates of when performance will begin and when it will be substantially completed
contract
Required to be in a home improvement description of home improvement
contract
Required to be in a home improvement deposit, payment, and contractor cannot accept more than 1/3 of contract price as
contract deposit
Required to be on the first page of "this contract creates a mortgage or lien on the property to secure payment and may
contract cause a loss of your property if you fail to pay the amount agreed upon"
If a contract contains a the name of the person or organization that will conduct an arbitration
mandatory arbitration clause it
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7
AM
MHIC EXAM QUESTIONS AND ANSWERS WITH COMPLETE
SOLUTIONS VERIFIED
Terms in this set (121)
the addition to or alteration, conversion, improvement, modernization, remodeling,
Home improvement
repair, or replacement of a building or part of the building
new home construction or work done to comply with the guarantee of completion
Excluded (is not a) home improvement
for a new building
sale of materials, if the seller does not arrange to perform, or does not perform,
Excluded (is not a) home improvement
either directly or indirectly, the installation of the materials
construction, improvement, or replacement on the land adjacent to the residents of
Included (is a) home improvement a driveway, fallout shelter, fence, garage, landscaping, deck, pier, porch or swimming
pool
Included (is a) home improvement installation in the residence of an awning, fire alarm, or storm window
Excluded (is not a) home improvement work done on commonly owned areas of condominiums
a person who performs or offers or agrees to perform a home improvement for an
Contractor
owner. And employee of the owner is not a contractor.
an agreement between a homeowner in a contractor to perform a home
Home improvement contract
improvement
Handyman licensing is required to hold a MHIC license, no matter how small the contract.
License renewal time frame every two years the licensee must apply
Licensing exemption an employee of a contractor who is not a salesperson
an employee of a licensed contractor who sells the home improvement at a retail
A licensing exemption
establishment
A licensing exemption a telephone solicitor
An exemption from licensing an employee of a subcontractor
A licensing exemption a security system technician
someone who holds another state license and who is working with in the scope of
An exemption from licensing by MHIC
that license, such as an architect or plumber, and their salesperson
Exam scores are good for how long? 2 years
Passing exam percentage 70%
1/
7
, 3/18/25, 8:01 MHIC Flashcards |
AM
Amount of general liability insurance $50,000
Experience required to be licensed 2 years of trade experience or comparable educational training
Trade experience includes participation in a registered apprentice program
Trade experience includes employment in performing home improvement
employment in performing commercial or residential construction, repairs or
Trade experience
renovations
Trade experience includes participation in a community service or charitable building or renovation program
performing repairs and improvements that require a building permit on one's own
Trade experience includes
home or the home of family members
Salespersons are licensed as an individual
Guaranty Fund compensates homeowners actual loss
for
protects homeowners who hire a licensed home improvement contractors against
Guaranty Fund
actual loss caused by an incomplete, incorrect or unworkmanlike job
Total maximum guaranty fund payment per $100,000
contractor
Contractor response time for a complaint 10 days
Limit at which commission may pay a claim $5,000
without a hearing
Who must receive a signed copy of the homeowner
contract prior to work starting?
Required to be in a home improvement contractors name, address, and MHIC license number
contract
Required to be in a home improvement consumer notice that gives telephone number for Commission
contract
Required to be in a home improvement notice of formal mediation of disputes, that the MHIC administers the guaranty
contract fund, homeowner may request that contractor purchase performance bond
Required to be in a home improvement dates of when performance will begin and when it will be substantially completed
contract
Required to be in a home improvement description of home improvement
contract
Required to be in a home improvement deposit, payment, and contractor cannot accept more than 1/3 of contract price as
contract deposit
Required to be on the first page of "this contract creates a mortgage or lien on the property to secure payment and may
contract cause a loss of your property if you fail to pay the amount agreed upon"
If a contract contains a the name of the person or organization that will conduct an arbitration
mandatory arbitration clause it
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