Top Philadelphia Remodeler Explains Why Homeowners Should Hire Licensed General Contractors with Sufficient Insurance

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VCG Construction, serving the Philadelphia tri-state region, gives tips for verifying a contractor's licensing and insurance status.

Homeowners confused about when and if a contractor needs to hold a license, or if it really matters, are not alone. Each state has its own set of licensing rules and regulations.

Fortunately, Pennsylvania enacted the Home Improvement Consumer Protection Act in an effort to thwart dishonest contractors and their fraudulent actions. In effect as of July 1, 2009, the Act requires all contractors who perform $5,000 or more in home improvements annually to register with the Attorney General’s office. Registered contractors must carry at least $50,000 of personal injury liability coverage and $50,000 of property damage coverage.

Why is this so important to residents in the Philadelphia tri-state region? There are several important reasons homeowners should hire a licensed contractor with sufficient insurance.

Why Licensing Matters

Using an unlicensed contractor can cost homeowners in a number of ways. Unlicensed contractors have not had to submit to any examination or review of their knowledge by a licensing board, therefore it is impossible to determine the quality of their work. In addition, licensing or registration protects the homeowner by helping ensure that contractors meet the minimum insurance requirements.

If a project requires a building permit but the contractor failed to obtain one due to being unlicensed, building inspectors can stop the work until they are satisfied a licensed contractor has obtained the proper permits. In addition, homeowners who use unlicensed contractors may find little recourse if a problem develops after the work is completed.

To avoid these potential hazards, Pennsylvania residents should check with the state licensing board before hiring any contractors to determine if their license is in good standing.

Why Insurance is Important

Liability insurance covers property damage and injuries caused by the contractor's work. When interviewing a prospective company, ask to see a current Certificate of Insurance then call the insurance company to verify that the policy is current and the coverage is sufficient for the project.

Additional Verification Tips:

Consumers in Pennsylvania are able to verify registration with the Attorney General's office by visiting the Registered Contractors page or by calling their toll-free hotline, 1-888-520-6680. Their office encourages consumers to use registered contractors when deciding to invest in home improvements.

Before hiring, check contractors' listings on which lists and verifies a contractor's licensing and insurance status as well as ratings with the Better Business Bureau.
VCG Construction is a general contracting company licensed, fully insured, with an excellent rating from the Better Business Bureau. To learn more about this company, visit their website at

About VCG Construction

VCG Construction is a general contracting company, licensed and insured, with the knowledge and experience to create spaces in your home that are functional, fashionable, and timeless. Every renovation, from kitchen remodels to window replacement, and everything in between, is expertly installed to last a lifetime and uses the best materials available.

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Vince Carneglia
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