General Contractor License Requirements in Maryland
| Licensing Authority | Maryland Home Improvement Commission (MHIC) |
| License Type | MHIC Contractor License (Home Improvement) |
| Experience Required | No specific experience requirement for the MHIC license. Applicants must pass the MHIC exam and meet financial solvency requirements. The MHIC license covers all home improvement work on residential properties (1-4 units). |
| Exam Required | Yes — Maryland Home Improvement Exam |
| Bond Required | No |
| Insurance | General liability: required. Workers comp: required with employees |
| Continuing Education | Not required |
| Processing Time | 4-6 weeks |
Fee Breakdown
| Application Fee | $281.25 |
| Exam Fee | $63 |
| Guaranty Fund assessment (initial) | $100 |
| MHIC processing fee | $22.50 |
| Est. Initial Total | $466.75 |
Related & additional fees
Separate or ongoing costs — not included in the estimate above.
| Guaranty Fund assessment (renewal) | $175 |
Renewal: $250 every 2 years
Exam Requirements
Maryland Home Improvement Exam
Exam provider: PSI
Recommended exam prep
Formal prep pays for itself against a $100+ retake. Many states examine contractors on two separate papers — the trade exam and a business and law exam — so we list the course covering both first, with trade-specific depth after.
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Mometrix · SponsoredContractor License Online Study CourseFull online prep course covering the trade and business-and-law exams — video lessons, practice questions, and a study plan built for a first-try pass.See the course →
Mometrix · SponsoredContractor's Exam FlashcardsPortable flashcards for the high-frequency exam topics — a cheaper add-on for drilling terms and code references on the go.See the flashcards →Set up the business before you apply in Maryland
Most states license the company as well as the person, so the application usually asks for an LLC or corporation and a registered agent in Maryland. Northwest forms the entity and acts as your registered agent — a flat fee, no upsell funnel.
Some links below are affiliate links. If you buy through them we may earn a commission at no extra cost to you.
Form an LLC with Northwest→Notes
- MHIC license required for ANY residential home improvement work (repair, replacement, remodeling, alteration)
- Open-book exam — Maryland MHIC law reference materials allowed
- Subcontractors working for an MHIC-licensed contractor may be exempt from separate licensing
- Guaranty Fund protects consumers — contractors contribute $100 initially, $175 at each renewal
Local requirements on top of your Maryland license
The MHIC general contractor license is the credential that lets you work anywhere in Maryland. On top of it, most Maryland cities and counties require a local business license (a tax registration) to operate, and a few add their own contractor registration or permit. These are in addition to your state license, not a replacement — always confirm the rules with the city or county where the job is.
You're licensed in Maryland as a general contractor — the next 30 days
Most of the steps below are required before your first paid job; the order is the order the state and its counties will ask for them.
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Form the business and get an EIN.
The Maryland Home Improvement Commission issues the MHIC Contractor License (Home Improvement); the business that invoices Maryland customers is a separate decision. A sole proprietorship is the default, an LLC keeps business liability off your personal assets, and either needs an EIN before the first payroll. Settle it before the license number goes on an estimate.
Bond: none required by the state.
Maryland does not require a surety bond for this license — No bond required if financial solvency requirements are met. Applicants who do not meet MHIC financial solvency standards may provide a surety bond of $5,000-$20,000 based on financial condition.
Carry the insurance the license requires.
Maryland requires general liability insurance for this license. As of June 1, 2024, MHIC requires $500,000 minimum general liability insurance. Must provide Certificate of Insurance (COI) with application and at each renewal. Workers comp required for all employers. Contractor insurance requirements→
Register locally.
Most Maryland cities and counties require a local business license (a tax registration) on top of the state credential, and a few add their own contractor registration or permit — confirm with the city or county where the job is.
Set up quoting, scheduling and invoicing before the first call.
Your first customers will ask for a written estimate and expect to pay by card on site. Most one-truck general contractor businesses run that on field-service software; Housecall Pro is the one we link because it is built for this size of company and this link carries 20% off your first 12 months. Start a free trial of Housecall Pro→
Keep the license.
Renewal is every 2 years at $250.
Other licenses in Maryland
- Electrician license in Maryland
Statewide license required · $280 in initial government fees · SBME
- Plumber license in Maryland
Statewide license required · $153 in initial government fees · SBP
- HVAC Technician license in Maryland
Statewide license required · $225 in initial government fees · HVACR Board
- Roofing Contractor license in Maryland
Statewide license required · $466.75 in initial government fees · MHIC
Frequently Asked Questions
Do I need a general contractor license in Maryland?
Yes, Maryland requires a statewide general contractor license through the Maryland Home Improvement Commission.
How much does a general contractor license cost in Maryland?
The estimated initial cost is $466.75, including application, exam, and license fees.
What experience do I need for a general contractor license in Maryland?
No specific experience requirement for the MHIC license. Applicants must pass the MHIC exam and meet financial solvency requirements. The MHIC license covers all home improvement work on residential properties (1-4 units).
What exams are required for a general contractor license in Maryland?
You must pass the Maryland Home Improvement Exam exam. A passing score of 70% (39 correct answers) is required. Exams are administered by PSI.
How long does it take to get a general contractor license in Maryland?
Processing time is typically 4-6 weeks after submitting a complete application.
Is continuing education required for general contractors in Maryland?
No, Maryland does not currently require continuing education for general contractor license renewal.
Next steps
You know the requirements for general contractors in Maryland— here's how to actually pass and apply.
Data last verified: 2026-07-08 | Source: MHIC