Looking for the right contractor

As a contractor in business for over 10 years, I have seen a lot in regards to the economy, the housing market and the construction industry. As times get tough in the construction industry, contractors look for ways to trim costs. Often this is done by cutting insurance coverage. Verify your contractor has coverage. Requesting a “Certificate of Insurance” does this. The certificate of insurance (aka COI) shows the policy dates and the coverage amounts.

All contractors should have a general liability and workman compensation policy. If they do not have these two basic coverage’s and something happens to either an employee or your home while they are working, you could be held liable. In addition to this basic information, make sure your contractor is insured for the work he is performing. For example: Dryvit or Stucco repair contractors require special coverage to work on your home. In another example a roofing contractor should be covered to work on roofs. If he does not have this coverage and lets say a storm blows in while he has half your roof off and your home suffers severe water damage, your insurance could be liable. His insurance will deny coverage since his coverage did not include the roof. In the unfortunate event this happened at the renewal of your policy, your insurance company will more then likely not renew your home since it had a major claim that could have been avoided. In an extreme case, your insurance could also deny coverage, leaving you to cover all damage on your own.

In addition to insurance, the Illinois Attorney Generals Office requires you to receive a copy of the “Know Your Consumer Rights” on all projects over $ 1000.00. A contractor that does not provide you with this basic informational pamphlet is in violation of state law and can be fined under the law. To view this pamphlet and your rights visit: http://www.illinoisattorneygeneral.gov/consumers/homerep0505c.pdf

Most contractors are reputable and will often give you this information without you even asking.

Lastly, all contractors have the same expenses: labor, materials and insurance. Their bids should be within 5 – 10% of one another. If there is large discrepancy investigate – don’t just take the low bid. If you don’t understand the bids involve someone that does. Several home inspectors will review the bids and give you their opinion. They do charge for this service, but in could be well worth it.

Remember, if it looks to good to be true, it probably is and you always get what you pay for!