Know Your Rights

Insured and Bonded: Before you trust anyone to complete your project, ensure they are licensed and Insured with the Contractors State License Board (www.cslb.ca.gov). Many contractors in the State of California are in good standing. However, some contractors need the appropriate license and insurance to do business. "Anyone performing construction work in California that totals $500 dollars or more in labor and materials must be licensed by CSLB." - CSLB website.

Surety Bond: Required by the State of California to do business as a Licensed Contractor. This protects you in case of problems with performance or completion of your project.

General Liability Insurance: This covers any damages to your property or individuals (not employees) while work is in progress. Ask your contractor to provide proof of General Liability Insurance for smaller projects and request to be added as additional insured for larger projects with more than one contractor.

Worker's Compensation Insurance: Covers injuries to employees while on the job. An employee completes a W4, receives a paycheck, and has a W2 filed with the IRS by their employer.

Make sure that your contractor's worker's compensation covers all their employees. Some contractors hire families and exclude workers from compensation to save money. This opens you up as a property owner to financial liability if injuries occur to uninsured workers while on your property.