The short version: Maryland licenses home improvement contractors through the Maryland Home Improvement Commission (MHIC). It is illegal to do home improvement work in Maryland without an MHIC license. Verify at labor.maryland.gov/license/mhic (Home Improvement Public Query). The $30,000 Guaranty Fund repays your losses from a bad contractor, but only if that contractor was licensed. Maryland caps deposits at one-third of the price, and gives buyers 65 and older seven days to cancel a contract signed at home.

Maryland requires an MHIC license, by law

Start here: in Maryland, it is illegal to act as a home improvement contractor, subcontractor, or salesperson without a license from the Maryland Home Improvement Commission (MHIC).1 The MHIC sits inside the Maryland Department of Labor. This is a real, enforced credential, not a registration formality.

That single fact makes Maryland easier than a no-license state. You do not have to guess whether a credential exists. It does, it is required, and you can look it up in about a minute.

What you want doneWho licenses it in Maryland
Home improvement (remodel, repair, additions)MHIC (state)
ElectricalMaryland State Board of Master Electricians (state)
Plumbing and HVACMaryland Board of Plumbing / HVACR (state)

This is the Maryland-specific companion to our national state contractor license lookup guide. For the full pre-hire workflow, see How to Find a Senior-Friendly Contractor.

How to verify: labor.maryland.gov/license/mhic

To verify: open the Home Improvement Public Query at labor.maryland.gov/license/mhic.1 Search by contractor personal name, business (trade) name, or license number.

Check:

  1. Status Active (not expired, suspended, revoked)
  2. License type contractor vs salesperson (the person selling you the job may hold a salesperson license under a licensed contractor)
  3. Name matches the business and person on your written quote
  4. Disciplinary history any recent MHIC action
  5. MHIC number write it down; it must appear in your contract

Since June 1, 2024, MHIC contractors must carry $500,000 in general liability insurance, raised from the old $50,000 floor.1 Still request a current Certificate of Insurance and confirm it with the carrier directly.

The Guaranty Fund: your $30,000 safety net (licensed only)

This is the part that matters most for a senior writing a five-figure check. The MHIC Guaranty Fund repays Maryland homeowners for actual losses caused by a licensed contractor who does unworkmanlike, incomplete, or abandoned work.2

  • Maximum recovery: the amount you paid the contractor, up to $30,000 per claim.
  • Pro-rated if total claims against one contractor top $250,000.
  • Covers restoration, repair, replacement, or completion of the botched work.
  • Does not cover attorney fees, court costs, or consequential damage.

The catch that protects your money: the Guaranty Fund does not reimburse a single dollar paid to an unlicensed contractor. Hire an unlicensed handyman to save 15 percent, and you have also waived your $30,000 state backstop. Verifying the MHIC license first is what keeps that protection alive.

What Maryland law puts in your contract

Maryland requires a legible written contract, signed by all parties, with a signed copy in your hands before work begins.3 The contract must include:

  • Contractor name, address, and MHIC license number
  • A description of the work and the materials
  • Approximate start and substantial completion dates
  • The total agreed price
  • The MHIC notice, with phone numbers and Guaranty Fund information

Two numbers seniors should memorize:

  • Deposit cap: a contractor cannot take more than one-third (1/3) of the contract price as a down payment.3
  • Senior cancellation: for a contract signed at your home, Maryland’s Door-to-Door Sales Act lets a buyer cancel until midnight of the fifth business day, or the seventh day if the buyer is at least 65 years old.3

A contractor who demands half down, or pushes you to sign without a written contract, is breaking Maryland law. That is your cue to stop.

Maryland senior scam patterns

  • Post-storm roofers Nor’easters and the remnants of Atlantic hurricanes drive door-to-door roofing crews through Baltimore County and the Eastern Shore. Out-of-state crews follow every big wind event.
  • Driveway sealcoating crews A Mid-Atlantic regular: a crew offers to seal or pave your driveway with leftover material at a discount. The work is thin and the crew is gone by morning.
  • Gutter and tree cleanup Fake crews follow storms, take a deposit, and vanish.
  • Your defenses the 7-day senior cancellation window and the MHIC complaint process. The Maryland Attorney General Consumer Protection Division handles broader fraud.2

If something goes wrong

  • MHIC violations or bad work: file at labor.maryland.gov/license/mhic, or call 410-230-6231 or 1-888-218-5925. MHIC can discipline the license and process a Guaranty Fund claim.
  • Consumer fraud generally: Maryland Attorney General Consumer Protection Division.
  • Elder financial abuse: also contact your county Adult Protective Services.
Maryland verification in 30 seconds:
  • Verify at labor.maryland.gov/license/mhic (Home Improvement Public Query)
  • Home improvement work without an MHIC license is illegal in Maryland
  • $30,000 Guaranty Fund covers losses, but only from a licensed contractor
  • Deposit is capped at one-third of the contract price
  • Buyers 65+ get 7 days to cancel a contract signed at home
  • Verify $500K general liability insurance with the carrier directly
  • Problems → MHIC complaint, then Maryland AG Consumer Protection

Citations

  1. Maryland Home Improvement Commission (MHIC) License Search. Maryland Department of Labor, Division of Occupational and Professional Licensing, retrieved June 11, 2026. .
  1. Guaranty Fund Frequently Asked Questions. Maryland Home Improvement Commission (MHIC), retrieved June 11, 2026. .
  1. Maryland Home Improvement Contracts. Maryland Home Improvement Commission (MHIC), retrieved June 11, 2026. .
  1. Home Improvement Scams Targeting Older Adults. AARP Fraud Watch Network, June 2024. .