Real Estate Agent · Drexel Hill, PA · Member since 2020 · 60 posts · 10 votes
Hi BP, quick question... If a GC is licensed and insured, can he/she sub out work to unlicensed repairmen? Would the repairmen ultimately be insured under the GC's insurance? If so, is there anything to stop someone from getting a GC license and getting insured, then subbing out all the work to uninsured workers?
Hi BP, quick question... If a GC is licensed and insured, can he/she sub out work to unlicensed repairmen? Would the repairmen ultimately be insured under the GC's insurance? If so, is there anything to stop someone from getting a GC license and getting insured, then subbing out all the work to uninsured workers?
Thanks BP!
1) A licensed General Contractor can only sub work to other licensed sub-contractors
2) No every contractor must have their own specific insurance
3) Yes the law will stop you eventually. Along with sting operations conducted by the state's License Boards. Or you work for a wealthy customer who knows the deal and checks up on you. The fines and jail sentences are getting larger as they get more tired of the backlash of dealing with unlicensed work.
4) You act like you can just waltz in and walk out with a GC license....? Have you actually checked into this? Typically you need to prove 4 years or more experience at a journeyman level or higher and have a currently licensed GC certify this in writing under penalty of perjury. Then there are the trade and law exams, the background checks, the $$$. Why not just hire a GC to do what you want and stay legal, legit and ethical? Just asking....
Investor · Columbus, GA · Member since 2014 · 2k+ posts · 1k+ votes
5y
This sounds like a question for your local code enforcement guy or an attorney, but definitely not something that anyone on this forum is qualified to answer.
Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
5y
Other than permitting issues, where certain trades have to be licensed to pull their own permits (electric,AC, plumbing, etc) your insurance companies will audit you annually to verify your subs have liability and workers compensation….since ultimately you and your insurance company will be on the hook.
Hi BP, quick question... If a GC is licensed and insured, can he/she sub out work to unlicensed repairmen? Would the repairmen ultimately be insured under the GC's insurance? If so, is there anything to stop someone from getting a GC license and getting insured, then subbing out all the work to uninsured workers?
Thanks BP!
Getting a license isn't the tough part. Performing the job effectively is the tough part.
Hi BP, quick question... If a GC is licensed and insured, can he/she sub out work to unlicensed repairmen? Would the repairmen ultimately be insured under the GC's insurance? If so, is there anything to stop someone from getting a GC license and getting insured, then subbing out all the work to uninsured workers?
Thanks BP!
1) A licensed General Contractor can only sub work to other licensed sub-contractors
2) No every contractor must have their own specific insurance
3) Yes the law will stop you eventually. Along with sting operations conducted by the state's License Boards. Or you work for a wealthy customer who knows the deal and checks up on you. The fines and jail sentences are getting larger as they get more tired of the backlash of dealing with unlicensed work.
4) You act like you can just waltz in and walk out with a GC license....? Have you actually checked into this? Typically you need to prove 4 years or more experience at a journeyman level or higher and have a currently licensed GC certify this in writing under penalty of perjury. Then there are the trade and law exams, the background checks, the $$$. Why not just hire a GC to do what you want and stay legal, legit and ethical? Just asking....